Trump $1.22B deal with RWE to cancel offshore wind leases

The Trump administration has reached a $1.22 billion settlement with German energy giant RWE to cancel three offshore wind leases and redirect the funds to natural gas infrastructure, marking the fifth such deal this year. The agreement, announced on August 6, 2026, effectively ends RWE's planned wind projects off the coasts of New York, Louisiana, and California.

Under the settlement, RWE will relinquish its leases and invest the funds in fossil fuel projects. The company stated it will allocate $900 million to acquire a 16% stake in a liquefied natural gas export terminal project in Louisiana and spend $300 million on natural gas-fired turbines for a pipeline of 15 peaking power plants across the United States. RWE said it made the decision after determining there was no foreseeable path to permitting its offshore wind projects in the U.S., citing strong opposition from the administration.

The deal continues a pattern initiated by the administration earlier this year, bringing the total amount spent on similar lease buyouts to approximately $3.9 billion. Previous agreements include a roughly $1 billion settlement with France's TotalEnergies in March, an approximately $885...