A US decision to halt a major offshore wind project from Norway's Equinor is causing unrest among investors in Danish Ørsted, which is in the middle of building two similar projects in the country. This is reported by the daily newspaper Børsen.
The Trump administration has decided to put Empire Wind 1 in New York on hold, even though the project had already obtained all necessary permits. According to a letter from the US Secretary of the Interior, the approval will now be reviewed again, as it was allegedly rushed through under the Biden administration.
The development follows Trump's decision in January to halt new offshore wind projects. It now appears that existing permits will also be reassessed. This creates uncertainty around Ørsted's ongoing construction of Revolution Wind and Sunrise Wind, which were approved in 2023 and 2024 respectively.
- There is a huge amount of nervousness – also because there are very large amounts at stake for Ørsted if they have to turn down these projects, says Jacob Pedersen, head of equity research at Sydbank.
Ørsted's share price fell by 7 percent on Tuesday. According to Bank of America, the company could risk new write-downs of up to 35 billion kroner if the projects are cancelled.
jel
Text, graphics, images, sound, and other content on this website are protected under copyright law. DK Medier reserves all rights to the content, including the right to exploit the content for the purpose of text and data mining, cf. Section 11b of the Copyright Act and Article 4 of the DSM Directive.
Customers with IP agreements/major customer agreements may only share Danish Offshore Industry articles internally for the purpose of handling specific cases. Sharing in connection with specific cases refers to journaling, archiving, or similar uses.
Customers with a personal subscription/login may not share Danish Offshore Industry articles with individuals who do not themselves have a personal subscription to Danish Offshore Industry.
Any deviation from the above requires written consent from DK Medier.
