Danish renewable energy developer Ørsted A/S has inaugurated its inaugural Houston office, following through on its expansion strategy announced a year and a half ago.
Situated within the 3 Houston Center, also recognized as the Fulbright Tower, at 1301 McKinney St., the new 1,000-square-foot office will serve as the home base for approximately 30 Houston-based staff. These professionals will support both onshore and offshore projects along the Texas Gulf Coast, while also engaging in endeavors within the power-to-X domain, focusing on converting electricity into synthetic chemicals for various applications.
Initially planned to accommodate 80 to 100 employees, Ørsted has decided to commence operations with a smaller team, with intentions to gradually bolster its workforce. Presently boasting a global workforce of about 8,900 individuals, the company is poised for growth in its new Houston venture.
Ørsted mentioned that it couldn’t disclose the identities of the brokers or contractors involved in the office lease process. The property, owned by New York’s Brookfield Properties, underwent significant renovations last year, including improvements to the lobby and second-floor outdoor patio at 3 Houston Center, enhancing tenant amenities.
Responding to inquiries from HBJ via email, a spokesperson for Ørsted highlighted the growing pool of renewable energy talent in Houston as the primary driver behind the company’s expansion. This trend mirrors similar moves by other renewable energy firms in the city, aligning with Houston’s surge in clean energy job opportunities, marking its highest figures since 2016.
“Houston is the ideal location to base our growing Power-to-X operations, especially due to the existing energy workforce that will be needed for the engineering, construction, and operations of Ørsted’s future facilities,” Melissa Peterson, vice president and head of onshore and P2X Americas at Ørsted, said in a press release.
“Expanding our footprint in Houston is a testament to our commitment to decarbonizing the most hard-to-electrify sectors and our continued growth in Texas and throughout the Gulf region,” the company mentioned in a press release.
Ørsted’s inauguration of its office aligns with the progress of the HyVelocity hydrogen hub, part of the Department of Energy’s initiative to enhance renewable hydrogen production through seven designated hubs. HyVelocity, slated for the Texas Gulf Coast, is overseen by a consortium comprising nonprofits, academia, and seven industry partners, including Ørsted, AES Corp., Air Liquide, Chevron Corp., Exxon Mobil Corp., Mitsubishi Power Americas, and Sempra Infrastructure, all with significant local presence or based in the Houston area.
The hub is poised to receive federal funding of up to $1.2 billion, with Brett Perlman, CEO of the Center for Houston’s Future, indicating a forthcoming announcement regarding the total amount later this year.
Ørsted’s office launch comes in the wake of AES Corp., headquartered in Arlington, Virginia, expanding its Houston office space and bolstering its workforce. AES Chief Commercial Officer Kleber Costa highlighted that, like Ørsted, AES opted to retain its downtown office due to its convenience for employees and proximity to business partners.
Source: Orsted Energy