International offshore contractor Van Oord has signed an agreement with Saare Wind Energy for the joint development of the proposed Saaremaa offshore wind farm in Estonia.

Saare Wind Energy started the development of the project in 2015 with the analysis of the 154 km2 project site south-west of Saaremaa island.

Under their agreement, Van Oord and Saare will take the project through to the next phase of development, which includes an environmental impact assessment that will be initiated after receiving consent from Estonian authorities.

The wind farm could have a capacity of up to 600 MW and could also kick-start the development of an offshore grid in the Baltic Sea.

The two companies will seek to intensify cooperation with local and national Estonian stakeholders during the permitting and construction phases of the project.