TotalEnergies has signed settlement agreements with the US Department of the Interior (DOI) to relinquish its offshore wind leases. The group will recover USD928m of paid lease fees to invest in the development of US gas and power production and exports (TotalEnergies, 23/03/2026).
The leases, which are the Carolina Long Bay lease (Lease OCS-A 0545) and the New York Bight lease (Lease OCS-A 0538), were both awarded in 2022 to TotalEnergies and its partners. According to the company, studies on these leases shown that offshore wind developments in the US are “costly and might have a negative impact on power affordability for US consumers”. According to the US DOI, the company has pledged not to develop any new offshore wind projects in the US considering the country’s national security concerns.
The refunded lease fees will be used to finance the construction of the 29 Mt/year Rio Grande LNG plant and the development of its oil and gas activities in the Gulf of Mexico, helping the development of US gas production and export.
The company also announced the signing of a Letter of Intent (LOI) with Glenfarne, the lead developer of the Alaska LNG project, for the long-term offtake of 2 Mt/year of LNG over 20 years, subject to the project’s final investment decision (FID).
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