Danish energy company Ørsted said Monday it is proceeding with a planned 60 billion Danish kroner rights issue, days after the U.S. government ordered a halt to offshore construction on its Revolution Wind project.
The company confirmed it has appointed a syndicate of banks to underwrite the share sale, which is intended to strengthen its capital structure after scrapping plans to sell a stake in another U.S. project, Sunrise Wind.
The U.S. Bureau of Ocean Energy Management issued the stop-work order for the Revolution Wind project on Aug. 22.
The project, a joint venture with Global Infrastructure Partner’s Skyborn Renewables, is 80% complete, according to Ørsted.
“Revolution Wind is fully permitted and 80 % complete with all foundations installed and 45 of the 65 wind turbines installed,” Group President and CEO Rasmus Errboe said.
“We’re complying with the order and will work with our US partners and stakeholders to identify a solution as quickly as possible for completing the project.”
The company said it is evaluating all options to resolve the matter, including potential legal proceedings, and that the order does not change its 2025 financial guidance.
The halt is the latest setback for Ørsted in the U.S., where it canceled its Ocean Wind 1 and 2 projects in late 2023.
The rights issue has the support of Ørsted's majority shareholder, the Danish state, and is scheduled for approval at a Sept. 5 shareholder meeting.
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