Equinor has announced its intention to uphold its 10% ownership in Ørsted by participating in the upcoming rights issue, following the proposal by Ørsted's board of directors.

This move aligns with Equinor's strategy as a long-term industrial shareholder and its commitment to strengthening Ørsted's balance sheet amidst current industry challenges.

The energy giant also plans to nominate a candidate for Ørsted’s board at the next annual general meeting (AGM).

Equinor's decision comes after discussions with Ørsted in the face of consolidation and the emergence of new business models within the offshore wind sector.

Equinor is closely monitoring offshore wind sector developments in the US and will continue its dialogue with Ørsted as the industry evolves.

The company has expressed its readiness to subscribe for new shares in Ørsted for an amount up to DKr6bn ($939m), subject to the final terms of the rights issue.

The commitment to the rights issue will be managed within Equinor's communicated financial framework.

Equinor's current focus includes completing ongoing development projects in north-west Europe and the Empire Wind 1 project in the US.

Additionally, this June, The Crown Estate awarded seabed rights to Equinor and Gwynt Glas, a joint venture between EDF Renewables UK and ESB, to develop two 1,500MW floating wind farms in the Celtic Sea.

This decision was part of the fifth round of the UK’s offshore wind leasing programme, with each bidder agreeing to pay an annual option fee of £350 per MW.