Replying to media reports, the company has confirmed that it is reviewing strategic options regarding the future of the oil & gas business.
It has also roped in JP Morgan to conduct a preliminary market assessment of its assets.
DONG Energy confirmed “its intention to build a world-class clean energy company with a portfolio based on leading competences in offshore wind, bioenergy and green distribution and customer solutions.”
It said that it would run its oil & gas business for cash, which will be used to fund its investments in renewable energy.
The firm said in a statement: “As such, it was confirmed that the oil & gas business was not considered a long-term strategic commitment for DONG Energy.”
However, it clarified that no final decision has been taken to divest the oil and gas business.
Dong’s wind farm business was the biggest contributor to its profits in the first half of 2016.
In September, Dong announced plans to build an offshore wind operations and maintenance (O&M) hub in Grimsby, on England's east coast.
Subject to planning approval, the hub will initially support the 210MW Westermost Rough, 580MW Race Bank and 1.2GW Hornsea Project One offshore wind farms.
In May, signed an agreement with Denmark’s state owned company Energinet.dk to sell its 100% stake in gas distribution business in Denmark and related operational activities for DKK2.3bn ($351m).
The sale of Dong Gas Distribution was part of the political agreement regarding its initial public offering (IPO).
Image: The SmartWind-built BEACon radar. Photo: courtesy of DONG Energy A/S.
