Ørsted shares plunge in Copenhagen after the USA Bureau of Ocean Energy Management (BOEM) ordered an immediate stop to offshore construction at the Revolution Wind project off Rhode Island. In Monday trading, the stock fell as much as 18–19%, touching a record low, as investors weighed fresh policy risk in the U.S. offshore wind market.
Ørsted shares plunge: record low and valuation hit
Ørsted’s share price drop wiped out several billion kroner in market value, with the company briefly trading near DKK 175 (about €23). The sell‑off follows weeks of volatility linked to U.S. policy uncertainty and a large, state‑backed recapitalisation plan.
What the stop‑work order means for Revolution Wind
The BOEM order pauses offshore activities on a project that Ørsted says is roughly 80% complete, with most foundations and turbines already installed. The halt raises the risk of delay costs and contractual penalties on a site designed to supply electricity to Rhode Island and Connecticut. Federal authorities have not published detailed reasons beyond a review citing national‑security and permitting concerns.
Political leaders in Rhode Island and Connecticut criticised the stop, arguing it threatens regional supply, grid planning and local jobs. Both governors urged federal authorities to reconsider and allow construction to resume quickly.
Financing plan: rights issue and Danish state support
Ørsted confirmed it will proceed with a DKK 60 billion (€8.0 billion) rights issue to strengthen its balance sheet and fund ongoing projects, despite the USA setback. The Danish state—which owns 50.1% of Ørsted—has indicated it will subscribe pro‑rata, implying a commitment of about DKK 30 billion (€4.0 billion) to maintain majority ownership. Denmark’s Minister for Finance (Finansministeren) has described the capital injection as necessary to stabilise the company after cumulative USA headwinds.
Analysts warned the pause could add billions of kroner in incremental costs if the site remains idle, even if construction later resumes. The order also adds uncertainty to Ørsted’s broader USA portfolio after a series of policy reversals and reviews affecting offshore wind projects in recent months.
