Equinor Warns of ‘Significant Impact’ Following US Halt of Offshore Wind Farm

Equinor, a Norwegian energy firm, has already warned that a “stop work” notice issued by the United States Department of the Interior may have “significant effects” on their project for the development of an offshore wind farm close to the coast of the US.

The order, which was issued by the Bureau of Ocean Energy Management (BOEM), was targeted at the subsidiary of the Norwegian energy company, Equinor, and called for a suspension of construction work in the Outer Continental Shelf. The reason that was cited for the suspension was security concerns.

Empire Wind is one of the five wind projects that received similar stop-work orders from the U.S. government.

Threatens
“The stop-work order poses a risk to the progress of these operations, and if not resolved immediately, serious implications could arise for the project," Equinor said.

The Empire Wind project is already over 60% complete. Major construction milestones such as trenching, cable lay, and cable pull are completed. The project now employs the use of over a dozen vessels, 1,000 personnel, and over 100 companies operating within the USA and globally.

Requesting an explanation from an authority
Equinor stated that it is currently engaging with U.S. authorities in an effort to understand the reason for this decision. Equinor stated that it had complied with all national security-related regulatory requirements throughout the regulatory process and had contributed to federal security review since winning the lease in 2017.

After its completion, Empire Wind will be linked to the electricity grid in New York and will have the potential to produce electricity for as many as 500,000 homes. It is being developed under contract for the New York State Energy Research and Development Authority and so far has helped create close to 4,000 employment opportunities.

As of September 30, the gross book value of Empire Wind was approximately $3.1 billion, including South Brooklyn Marine Terminal investment. In the last 35 years, the total investment in the United States by Equinor has been in excess of $60 billion in the areas of oil, gas, and renewables.