Orsted asks for money in connection with the problems on the wind energy market in the USA

The ORSsted energy group asked shareholders on Monday, including the Danish state to increase capital by 60 billion crowns ($ 9.4 billion). The company is in connection with the reluctance of President Donald Trump to the wind farm implemented by the Danes on the east coast of the USA.

“Orsted and our industry are in a unique situation due to the adverse development of the market in the US,” emphasized the president of Rasmus Errboe in a statement. Among other factors, he mentioned macroeconomic problems and disruptions of supply chains that have taken place in recent years due to pandemic.

In January, President Donald Trump, who was in favor of mining fossil fuels, decided to suspend the issuing of concessions on wind farms. In April, the minister of US internal resources Doug Burgum ordered the immediate suspension of construction works on the Empire Wind wind farm design, the Norwegian Equinor group, despite having all permits. The work was allowed to continue after over a month, but this caused anxiety on the market.

Recently, ORSsted unsuccessfully tried to find business partners to continue its Sunrise Wind investment on the east coast of the USA. Ready in 35 percent The project is to provide clean energy for 630 thousand. households in New York. The company, raising capital, wants to continue work.

According to the Danish media, 60 billion crowns – this is the highest amount in history that the company in Denmark has ever applied for its shareholders. Over half of the shares in Orsted belong to the Danish state, therefore over 30 billion crowns will be listed by taxpayers. The Minister of Finance Danish Nicolai Wammen in an interview with TV 2 pointed out that Orsted is a strategic company for the country in connection with the green transformation and the need to become independent of Russian energy sources.

The decision to increase the company's capital by issuing new shares resulted in a decrease in the value of shares by almost 30 percent on Monday.

Orsted together with the Polish Energy Group is currently implementing the project of the largest wind farm in Polish Baltic waters. Baltica 2 will consist of 107 turbines with a power of 14 MW each, located on an area of approx. 190 km km.

Denmark and the USA from the beginning of the year, after Trump's return to the White House, remain in the best diplomatic relations. The US President announced the need for Greenland annexing several times.

Daniel Zyśk (PAP)

Zys/ Mal/ MHR/