Norwegian-based energy company Equinor has opted to fight to save its multi-billion-dollar Empire Wind project. Based off the coast of New York, Chief Executive Officer Anders Opedal has noted that they will petition the decision to halt the project. “We are working on two tracks, working with Bureau of Ocean Energy Management. At the same time, taking the stop-work order through the courts,” he noted. These remarks were issued during an interview at a conference south of Oslo on Tuesday.

The Norwegian energy company said in a legal filing last week that the offshore wind project faces likely termination. Currently at 60% completion, it could be terminated if Trump administration’s decision to halt it stands. A complete loss of the project off New York could cost the company about $5.3 billion, it said. The halt announced in December was the second time the project was put on hold by authorities.

The first stop-work order in the first half of last year was lifted after a flurry of negotiations. It included the Norwegian Prime Minister Jonas Gahr Store. Furthermore, Finance Minister Jens Stoltenberg and New York Governor Kathy Hochul were also involved.

The State of Affairs Regarding the $5B Empire Wind Project

Opedal has noted that the halt of the Empire wind project feels to be unlawful from their perspective. The avenue to leverage a political approach was expected to provide stability until the project is completed. However, this did not turn out to be the case despite much deliberation. The US in December also suspended the leases of five other wind farms under construction off the East Coast.

They cited the reason as national security concerns that the turbines may interfere with radar systems. “We have long experience with handling security-critical infrastructure and long experience with handling offshore wind parks,” Opedal said. “We think this can be resolved. But as I said, the stop work order itself, we consider unlawful.” The company is also working with the relevant authorities in the US and Norway, the executive said.

A US judge on Monday ruled that another Nordic developer, Orsted A/S, can resume building its wind project off the coast of Rhode Island. The move provides hope to Equinor in battling the stop-work order and completing the project. However, Opedal remains open minded. “Each case is its own,” Opedal said, when asked about the Orsted victory. “They won and we will just have to see what the outcome is for our case tomorrow.”

Project Factsheet

Empire Wind Offshore Wind Project- New York, USA –

• Developer: Equinor (Norway)
• Type of Project: Offshore wind power project.
• Project Value: US$5.3 billion
• Location: Off New York, USA.
• Status of Project: Suspended by the U.S. government; in courts.
• Completion Level: 60% complete

Reason for Halt:

• Stop-work order issued by the U.S. government
• Basis of national security on possible disruption of the radar systems.

Equinor’s Position:

• Finds the stop-work order illegitimate.
• Offshore wind projects are also able to coexist with infrastructure that is security critical.

Response Strategy:

• Engaging with the Bureau of Ocean Energy Management (BOEM).
• Appealing the stop-work order to court.

Financial Risk:

• Risk of losing up to US 5.3 billion in the event of termination of the project.

Background:

• The second is the second halting in 2025.
• However, the stop-work order in 2025 was removed following political and regulatory discussions.

Significance:

• One of the biggest investments in the U.S. offshore wind.
• One of the major projects that Equinor has in its renewable energy.
• Also a trial case on strike between offshore wind development and national security policy.