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Maersk has terminated a USD 475 million contract with Seatrium for a nearly finished offshore wind vessel intended for the Empire Wind project off New York. The 98.9% completed vessel faced cancellation due to construction delays, causing Seatrium shares to drop 6.5%. The U.S. offshore wind sector has faced regulatory challenges, including a stop-work order earlier this year under the Trump administration. Seatrium is assessing options, including legal action, while Equinor is reviewing alternatives for the vessel, which was originally scheduled for deployment in 2026, highlighting ongoing operational and regulatory complexities.
Seatrium reported that Denmark-based Maersk has terminated a USD 475 million contract for an offshore wind turbine installation vessel that was intended for a project off the coast of New York. The vessel, which is 98.9% complete, was specifically built for Equinor's Empire Wind project, according to Seatrium. Advertisement
Maersk confirmed the cancellation, citing construction delays and related issues, but did not disclose whether it had paid for the work already completed. In an official statement, the company explained that the termination was due to these delays and construction challenges. Following this announcement, Seatrium shares fell 6.5% on the Singapore stock exchange.
This incident highlights ongoing challenges in the U.S. offshore wind sector. Earlier this year, the Trump administration issued a stop-work order on the Empire Wind project, reflecting the regulatory and political uncertainties that have affected offshore wind development in the country.
Seatrium said it is carefully evaluating its options for the nearly finished vessel, including discussions with Empire Wind. The company also mentioned it might pursue legal action over the termination. Equinor confirmed it is reviewing the situation and weighing alternatives for the wind installation vessel, which was originally planned for deployment in 2026.
Details regarding the financial terms of the contract and any payments remain unclear. Seatrium has not provided additional information on whether Maersk compensated for the completed work, while Maersk has refrained from commenting further on financial matters.
The cancellation of such a near-complete vessel is rare and underscores the operational, contractual, and regulatory complexities in large offshore wind projects. Seatrium has experience with international offshore construction, but this setback may affect timelines, investor confidence, and coordination with project partners like Equinor.
Source Reuters
5th Jun, 2025
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