WASHINGTON, D.C. — Invenergy has agreed to terminate four offshore wind leases valued at approximately $765 million and redirect investment toward natural gas and geothermal energy projects, marking one of the largest voluntary withdrawals from the U.S. offshore wind sector under the Trump administration’s energy policy agenda.
The Department of the Interior disclosed the settlement agreement, which covers offshore wind leases in the New York Bight, off California’s Central Coast, and in the Gulf of Maine.
Under the agreement, Invenergy affiliates will voluntarily relinquish the leases and instead invest in domestic energy projects, including natural gas-fired generation facilities in Indiana, Wisconsin, Iowa, Kansas, and Missouri, along with geothermal projects in the western United States.
The announcement represents a notable setback for planned offshore wind development while signaling continued federal support for dispatchable power generation and other energy sources favored by the administration.
Federal officials characterized the agreement as a move away from projects they contend relied on government support and toward energy infrastructure capable of providing continuous electricity generation.
“The offshore wind leases were sold under the assumptions that taxpayers would indefinitely subsidize costly, unreliable projects and that no national security concerns were implicated,” Interior Secretary Doug Burgum stated. “Under President Trump, companies are shifting investment back toward dependable, secure energy infrastructure.”
The Interior Department described the settlement as providing partial reimbursement for the offshore wind leases, though officials did not disclose the financial terms of any reimbursement or specify how much of the $765 million investment would ultimately be recovered.
The Department of Justice participated in the agreement and framed the move as consistent with the administration’s broader energy strategy.
Associate Attorney General Stanley Woodward indicated the department expects continued cooperation from companies reassessing energy investments in response to changing federal priorities.
Invenergy did not disclose a timeline for the cancellation of the offshore wind leases or the construction of replacement energy projects.
Daniel Runyan, Invenergy’s senior vice president for development, cited growing electricity demand and the need for projects that can be delivered on commercially viable timelines.
“Invenergy is focused on delivering reliable, affordable energy for our customers and supporting disciplined investment at scale,” Runyan stated.
The agreement involves affiliates of Invenergy, one of North America’s largest privately held energy developers, owners, and operators. The company said it will continue evaluating investment opportunities as market conditions evolve.
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