Orsted Anticipates $730 Million Impact on US Portfolio

© petert2 / Adobe Stock
© petert2 / Adobe Stock

Denmark's Orsted, the world's No. 1 offshore wind farm developer, said on Wednesday it anticipates impairments of up to 5 billion Danish crowns ($729.78 million) on its U.S. portfolio, as there is an increasing risk in its suppliers' ability to deliver on their commitments.

The Ocean Wind 1, Sunrise Wind, and Revolution Wind projects are adversely impacted by a handful of supplier delays, the company said in a statement.

The impairment charges were revealed after assessing the aggregate adverse impacts relating to the supply chain, lack of favorable tax credits and increased interest rates in the US, Orsted said.

In July, Orsted's Ocean Wind project won approval from the U.S. Interior Department, to help the country reach its goal of developing 30 gigawatts of offshore wind by 2030 on every shoreline.

Orsted bought its remaining stake in Ocean Wind 1, the 1,100 megawatt wind power project off the coast of New Jersey, from Public Service Enterprise Group earlier this year.

The company said it does not expect the anticipated impact to change its previously announced EBITDA guidance for the year.

(Reuters - Reporting by Gursimran Kaur in Bengaluru; Editing by Andy Sullivan)

Current News

SLB Narrowly Beats Quarterly Profit Estimates

SLB Narrowly Beats Quarterly P

Vard Books Construction Order for CSOV Pair

Vard Books Construction Order

ABL to Deliver Grid Works for 600MW French Offshore Wind Farm

ABL to Deliver Grid Works for

Cadeler Adds Wind Keeper WTIV to Fleet, Locking in Long-Term Vestas Deal

Cadeler Adds Wind Keeper WTIV

Subscribe for OE Digital E‑News

 
Offshore Engineer Magazine