TotalEnergies Faces $795M Wind Lease Lawsuit While Securing Caspian Gas Deal and Arctic Exit
TTE•TotalEnergies was reimbursed $795 million to cancel its US offshore wind lease and now faces a seven-state lawsuit alleging improper use of the Judgment Fund. Meanwhile, it secured a long-term agreement to export gas from the 350 bcm Absheron field from 2029 and gained approval to sell its 10% Arctic LNG 2 stake.
1. Lawsuit Over US Wind Lease Cancellation
In late March the US government canceled an offshore wind lease held by TotalEnergies’ US subsidiary, reimbursing the company $795 million and securing a pledge not to pursue new US offshore wind projects. Attorneys general from seven northeastern states have filed suit, alleging violations of the Outer Continental Shelf Lands Act and improper use of the Judgment Fund without required hearings or legal proceedings.
2. Caspian Gas Supply Agreement
TotalEnergies partnered with SOCAR, ADNOC’s XRG and Turkey’s BOTAŞ to lock in long-term gas exports from the Absheron offshore field, which contains an estimated 350 billion cubic metres of gas and 100 million tonnes of condensate. Supplies are slated to start in 2029 pending a final investment decision later this year and will bolster the Southern Gas Corridor to Turkey and Europe.
3. Arctic LNG 2 Stake Exit Approval
Russian President Vladimir Putin approved TotalEnergies’ sale of its 10% stake in the Arctic LNG 2 project, offering a rare exit from a major Russian venture. The transaction reduces the company’s exposure to geopolitical and sanction risks, though details on the buyer and closure timeline remain undisclosed.
