Oil giant Equinor backs crisis-stricken Orsted as Trump lashes out at offshore wind

Norwegian energy group Equinor on Monday committed nearly $1 billion in fresh equity to Denmark’s Orsted, reinforcing its support for the embattled offshore wind leader amid ongoing criticism of clean-energy projects by the Trump administration.

Equinor confirmed that it will subscribe to its portion of Orsted’s upcoming rights issue, sized at 60 billion Danish kroner ($9.4 billion), and that it intends to maintain its existing 10 percent ownership stake.

The state-backed oil producer described the capital infusion as a vote of confidence in Orsted’s core operations and in the competitiveness of offshore wind power within the broader energy transition.

As part of the agreement, Equinor will nominate one of its own executives for a seat on Orsted’s board of directors, ensuring a direct role in the company’s governance.

Orsted’s shares initially jumped 3.6 percent on the news before trimming their gains, while Equinor’s stock ticked up 0.2 percent in early trading.

Shares of Orsted have tumbled nearly 90 percent from their 2021 high and hit a fresh record low last month, following a directive from the Trump administration to halt construction on an almost finished U.S. wind farm.

Both Equinor and Orsted say they are monitoring U.S. policy developments closely and will remain in ongoing dialogue to manage regulatory and market challenges.

Offshore wind has been a frequent target of President Trump, most recently when the U.S. Department of Transportation withdrew $679 million in federal grants for a dozen coastal infrastructure projects tied to wind-power development.

“Wasteful, wind projects are using resources that could otherwise go towards revitalizing America’s maritime industry,” Transportation Secretary Sean Duffy said in a statement explaining the funding cuts.

Analysts at RBC Capital Markets view Equinor’s move as potentially paving the way for a future consolidation of their respective U.S. offshore wind portfolios, but cautioned that it also increases Equinor’s exposure to two wholly owned American projects whose political support remains uncertain.

They added that Equinor’s board representation at Orsted provides an incremental strategic benefit, allowing the company to influence decisions during a turbulent period for the industry.

When approached for comment, representatives of both Equinor and Orsted declined to respond.