What Happened to TotalEnergies US Offshore Wind Projects?

TotalEnergies' foray into US offshore wind energy has concluded with the company's complete withdrawal from the sector as of March 2026. This significant pivot was formalized through settlement agreements with the United States Department of the Interior (DOI), leading to the termination of TotalEnergies' two major offshore wind leases: OCS-A 0538 in the New York Bight and OCS-A 0545 in Carolina Long Bay.

The decision to exit the US offshore wind market was primarily driven by TotalEnergies' assessment that, unlike in Europe, offshore wind developments in the United States were proving to be "costly and might have a negative impact on power affordability for U.S. consumers." This internal evaluation aligned with a broader shift in US energy policy under the current administration, which has openly criticized offshore wind as "expensive, unreliable, environmentally disruptive, and subsidy-dependent." The administration actively pursued a strategy to prioritize conventional energy sources, offering TotalEnergies a reimbursement for its lease fees in exchange for their withdrawal.

Key turning points in this trajectory include TotalEnergies securing the New York Bight lease for $795 million and the Carolina Long Bay lease for approximately $133.3 million in 2022, during the previous administration. However, challenges began to emerge, with New York State not proceeding with a contract award for the Attentive Energy One project (within the New York Bight lease) in early 2024. Although a second project, Attentive Energy Two, secured a contract with New Jersey in January 2024, TotalEnergies CEO Patrick Pouyanné paused progress on all US offshore wind projects in November 2024, citing growing political uncertainty following the US presidential election. Further setbacks occurred in early 2025 when New Jersey canceled its fourth offshore wind solicitation, which Attentive Energy had entered.

The culmination of these factors led to reports in mid-March 2026 about a potential buyout. On March 23, 2026, the DOI and TotalEnergies officially announced the settlement agreements. Under the terms, TotalEnergies will receive a reimbursement of $928 million, equivalent to the lease fees paid. In a strategic redirection, the company has pledged not to develop any new offshore wind projects in the United States and will instead invest the reimbursed capital into US oil and gas production. This investment will specifically target the development of the Rio Grande LNG plant in Texas and upstream conventional oil and shale gas production.

As of March 24, 2026, the current status is that TotalEnergies has completely exited the US offshore wind market. This move underscores a significant shift in the energy landscape and policy direction within the United States, with a clear emphasis on fossil fuel development over certain renewable energy projects by the current administration.