South Korean steel specialist SeAH Wind and offshore wind developer Ørsted have mutually agreed to discontinue monopile production on Teesside
SeAH Wind photographed in August 2025 (Image: TVCA)
Teesside windfarm manufacturer SeAH Wind has lost work on a significant UK windfarm with offshore developer Ørsted – the first contract it was awarded – after agreeing to cease production.
The South Korean steel expert, which launched construction on its £900m factory on the Teesworks site in 2022, and the Danish developer released a joint statement announcing a mutual agreement had been reached to suspend work on the production of monopiles for Ørsted’s Hornsea 3 offshore wind farm.
This decision follows “a shared assessment of factory readiness against the programme requirements of Hornsea 3”. The statement indicates that halting production on the Hornsea 3 deal allows SeAH Wind to concentrate on completing the backlog of orders it has pending, and to progress its future pipeline. Ørsted, on the other hand, stated that the Hornsea 3 project has not been impacted by the production stoppage at SeAH.
The Ørsted’ deal was the first contract that the SeAH Wind Teesside factory secured, but other work includes the construction of monopiles for RWE’s Norfolk Vanguard project this year. It remains unclear whether jobs will be lost due to the contract’s termination, reports Teesside Live.
The statement read: “SeAH Wind and Ørsted confirm that they have mutually agreed to discontinue monopile production for the Hornsea 3 offshore wind project. This decision reflects a shared assessment of factory readiness against the programme requirements of Hornsea 3.
“It ensures that the project schedule for the world’s largest offshore wind farm remains protected and uncompromised. The agreement allows SeAH Wind to focus on the safe and reliable delivery of its secured order backlog through to 2027, whilst continuing to progress a strong pipeline of opportunities beyond that period. This underlines confidence in SeAH Wind’s technical capability, manufacturing scale, and long-term role in the UK and European offshore wind supply chain.”
The development represents a significant setback for the North East and Britain’s green energy sector, arriving more than three years after Ørsted signed the ‘industry first’ contracts. Under the original arrangement, SeAH Steel Holdings was to manufacture the enormous seabed-piercing structures, alongside Spanish partner Haizea Wind Group.
The Danish energy giant finalised the agreement with SeAH Wind in September 2022, shortly after construction commenced at SeAH’s XXL monopile facility at the Teesworks site. Workers at the vast Teesworks plant began the maiden project last July, commemorating the occasion with a ceremony featuring the cutting of the first steel plates.
When the agreement was finalised, business leaders praised Ørsted for becoming the first major client for the developing facility in the North East. The two companies stated the partnership would “contribute significantly to the UK’s ambitious goal of achieving 50GW of operational offshore wind capacity by 2030”, describing it as representing “represents not only a significant leap forward in the right direction for the development of offshore wind in the United Kingdom, but acts as a benchmark for the future scale of the industry at a global level”.
Tees Valley Combined Authority declined to comment on the suspension of the contract. Ben Houchen wrote in a Facebook post last Friday: “One year ago today, it was an honour to welcome His Majesty The King to Teesside and to visit the SeAH Wind factory. It was a huge moment for everyone involved, from the apprentices just starting out to the experienced engineers helping build the future of offshore wind. His Majesty’s visit shone a spotlight on the scale of what’s happening here.
“World-class manufacturing. Serious investment. And real, well-paid jobs for local families. Twelve months on, production is progressing, skills are being developed, and this site is playing a key role in powering Britain’s clean energy future.”
The announcement follows Ørsted’s receipt of six monopiles for Hornsea 3 – produced by Haizea Wind at their Bilbao facility in Spain – which arrived at the Teesworks location.