*
Equinor ( EQNR ) resumes Empire Wind construction after month-long
halt
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Interior Secretary halted project over environmental
concerns
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Equinor ( EQNR ) spent $50 million weekly during construction halt
(Adds background and detail from statement in paragraphs 3, 5,
8-9 and 16-17)
By Nichola Groom
May 19 (Reuters) - The Trump administration lifted a
month-old stop-work order on a major offshore wind facility
planned off the coast of New York, the project's developer said
on Monday.
Norwegian energy company Equinor ( EQNR ) said construction
activities were allowed to resume on Empire Wind, a $5 billion
project that is expected to one day provide power for half a
million New York homes.
The reversal marks a critical reprieve for the offshore wind
industry after Equinor ( EQNR ) had warned it stood to lose billions of
dollars due to the order which sent shockwaves through the
offshore wind industry, raising concerns that fully permitted
developments representing billions in investment are not safe.
"I would like to thank President Trump for finding a
solution that saves thousands of American jobs and provides for
continued investments in energy infrastructure in the U.S.,"
Equinor ( EQNR ) CEO Anders Opedal said in a statement.
He also thanked Norway's leadership for raising the issue
with the Trump administration. Norway's Prime Minister Jonas
Gahr Stoere and Finance Minister Jens Stoltenberg met with the
president in Washington last month.
New York Governor Kathy Hochul was also instrumental in
getting the project back on track, Opedal said.
Officials from the U.S. Interior Department, which issued
the order last month, were not immediately available for
comment.
Equinor ( EQNR ) said it would make an updated economic assessment in
the second quarter, while aiming to proceed with offshore
installation in 2025 and achieve commercial operation by 2027.
The Norwegian energy company, which had
warned
it was spending $50 million weekly to keep the project
afloat during the suspension, will now work with suppliers and
regulatory bodies to minimise impacts from the delay, it said.
Equinor ( EQNR ) purchased the Empire Wind lease during Trump's first
administration in 2017, and the 810-megawatt project was
approved under former President Joe Biden in 2023.
The project, which will use wind turbines from Vestas
, is 30% complete, according to the company.
On April 16, Interior Secretary Doug Burgum told Equinor ( EQNR ) to
halt construction, saying the Biden administration had rushed
the project's approval without sufficient environmental
analysis.
He cited concerns raised in an internal report by the
National Oceanic and Atmospheric Administration (NOAA), which
assists the Interior Department's Bureau of Ocean Energy
Management in permitting offshore wind projects by assessing
impacts on marine mammals and fisheries.
Trump has vowed to expand domestic energy production as part
of his energy dominance agenda, but wind is excluded from that
effort. He issued an executive order on his first day in office
pausing new leasing and permitting of wind projects, which he
says are ugly, expensive and harmful to wildlife.
An industry group praised the administration for lifting the
stop-work order.
"The administration is clearing the way for major
investments to move forward - activating American shipyards,
creating high-quality jobs, and accelerating the buildout of
infrastructure needed to deliver reliable, domestic energy to
the East Coast," National Ocean Industries Association President
Erik Milito said in a statement.
The United States has four operating offshore wind farms.
Aside from Empire Wind, another three are under
construction. Two are owned by Denmark's Orsted:
Sunrise Wind off the coast of New York and Revolution Wind off
the coast of Rhode Island. Dominion Energy's ( D ) Coastal
Virginia Offshore Wind is also underway.