Dutch Geological Data Specialist Fugro Optimistic About Offshore Development

Dutch geological data specialist Fugro has announced the restart of multiple projects in the U.S. hydrocarbon and LNG sectors since Donald Trump’s election. The company’s CEO, Mark Heine, expressed optimism about offshore wind development in Asia and Europe during an interview with Reuters on Friday.

U.S. Projects Restarted

Heine revealed that the U.S. government has issued licenses that were previously put on hold by the former administration of Joe Biden. While specific details on the U.S. projects were not disclosed, Fugro’s re-entry into these sectors signals a positive outlook for the company.

Renewables Projects in Doubt

Heine also mentioned that U.S. renewables projects that had not secured permits or power purchase agreements were now in doubt. He predicted that operators would shift their focus to Europe, where offshore wind represents 7% of Fugro’s turnover in the Americas.

Optimism in Offshore Wind Markets

Despite challenges in the U.S., Fugro remains “very optimistic” about offshore wind market trends in Europe and Asia. The company sees significant potential in countries like South Korea and Japan, which are actively developing offshore wind projects.

EU Clean Industrial Deal

Fugro expects the recently announced EU Clean Industrial Deal to boost offshore wind development in Europe and support the transition to cleaner fuels within the 27-member bloc. This development is seen as a positive move that will benefit the group and contribute to renewable energy growth in Europe.

Financial Performance and Outlook

In the fourth quarter, Fugro posted adjusted EBIT at 71.8 million euros, surpassing analyst expectations. The company’s shares rose significantly following the announcement. However, political uncertainties in the U.S. impacted fourth-quarter revenue, with further setbacks anticipated in the first half of the year.

Despite challenges in the Americas, Fugro remains resilient and committed to driving growth in offshore wind markets globally. With a strong focus on Europe and Asia, the company is well-positioned to capitalize on emerging opportunities in the renewable energy sector.

(Reuters – Reporting by Anna Peverieri and Alban Kacher; Editing by Himani Sarkar, Mrigank Dhaniwala, Philippa Fletcher)