TIDMORSTED 
 
   In connection with the company's Capital Markets Day, the Board of 
Directors today approved Ørsted's new strategic ambition and 
financial guidance. 
 
   Over the past decade, Ørsted has built a global market-leading 
position in renewable energy with a total of 12 GW of installed 
renewable capacity. 
 
   Looking ahead, the global build-out of renewable energy is expected to 
accelerate significantly, supported by governments around the world 
committing to ever more ambitious renewable-specific targets to limit 
global warming. By 2030, the global installed capacity of renewable 
energy is expected to almost triple. Offshore wind is expected to grow 
by a factor of 7 and onshore renewables by a factor of 2.5-3. This 
massive build-out of renewable energy presents unparalleled growth 
opportunities for Ørsted. 
 
   To continue to lead in the global green energy transformation and 
realise its full potential as a global green energy major, Ørsted 
now accelerates its global build-out of renewable energy and sets the 
ambition to reach approx. 50 GW of installed capacity by 2030. To 
support this ambitious build-out, Ørsted plans to invest approx. 
DKK 350 billion in green energy from 2020 to 2027, accelerating average 
yearly investments by approx. 50 % since the last Capital Markets Day. 
 
   Mads Nipper, Group President and CEO of Ørsted, says: 
 
   "Our aspiration is to become the world's leading green energy major by 
2030. With the offshore wind industry's largest concrete development 
pipeline, our global development organisation, and our industry-leading 
commitment to innovation, it's our clear aspiration to remain the global 
market leader in offshore wind. In onshore wind and solar PV, with our 
proven track record in scaling and delivering attractive value and as a 
top-5 developer in the US, it's our aspiration to become one of the 
world's top 10 players in onshore renewables. In renewable hydrogen and 
green fuels, we've built a strong platform with industry-leading 
offtakers, and we intend to grow this platform to become a global leader 
in renewable hydrogen. 
 
   With the opportunities we see across all of our segments, we now set the 
ambition of reaching approx. 50 GW of installed renewable energy 
capacity by 2030, more than quadrupling our installed capacity over the 
next decade. 
 
   With this strategic ambition, we're positioning Ørsted to be a 
leading player in a future energy system with more renewable energy 
which will be much more integrated across technologies and tied together 
by new infrastructure and increased digitalisation. 
 
   Being named the world's most sustainable energy company for now three 
years in a row, it's our aspiration to be a globally recognised 
sustainability leader and to accelerate our efforts to operate our 
company in an even more sustainable way. That's why we now set the 
ambition that no later than 2030, all new projects commissioned must 
have a net-positive biodiversity impact, fully supporting that the 
transformation to green energy must take place in a sustainable way and 
in harmony with nature. 
 
   Furthermore, we are today, with immediate effect, announcing a ban on 
the landfilling of wind turbine blades. Going forward, Ørsted 
commits to either reusing, recycling, or recovering 100 % of all blades 
coming from repowering or end-of-design-life decommissioning of our 
onshore and offshore wind farms. 
 
   It's our aspiration to be a leading catalyst for the global green energy 
transition towards a world that runs entirely on green energy and to be 
the preferred partner for our customers, local communities, suppliers, 
and joint venture partners, enabling all our stakeholders to realise the 
green transformation and its benefits." 
 
   New ambitions and financial guidance 
 
   Ørsted's strategic ambition for build-out of renewable energy is 
raised from +30 GW announced at the Capital Markets Day in 2018 to 
approx. 50 GW by 2030, of which approx. 30 GW will come from offshore 
wind, approx. 17.5 GW from onshore wind and solar PV, and approx. 2.5 GW 
from other renewables, including sustainable biomass, renewable hydrogen, 
and green fuels. This ambition corresponds to an investment level for 
the period 2020-2027 of approx. DKK 350 billion of which approx. 80 % is 
expected to be within offshore wind, including renewable hydrogen, and 
approx. 20 % within onshore. 
 
   In the period 2020-2027, Ørsted expects a growth in operating 
profit (EBITDA) from offshore and onshore assets in operation of approx. 
12 % a year on average, reaching a level of DKK 35-40 billion in 2027. 
The growth rate assumes that all offshore projects where Ørsted 
does not already have a joint venture partner are farmed down to a 50 % 
ownership stake. 
 
   Ørsted has high visibility on future earnings with approx. 90 % on 
average of Ørsted's operating profit (EBITDA) for the period 
2020-2027 coming from regulated or contract-based activities. 
 
   Going forward, Ørsted's targeted range for the fully loaded 
unlevered lifecycle spread to weighted average cost of capital (WACC), 
at the time of bid/final investment decision (FID) whichever comes first, 
for our offshore and onshore projects will be 150-300 basis points, 
which is consistent with the implied value creation spread from our last 
guided return. The targeted rate is not a hurdle rate and, consequently, 
there could be projects that deviate from the targeted range. 
 
   The average return on capital employed (ROCE) for 2020-2027 is expected 
to be 11-12 %. 
 
   Summary of new ambitions and financial guidance 
 
 
   -- Ambition to have installed approx. 50 GW of renewable capacity by 2030. 
 
   -- Growth in EBITDA from offshore (incl. hydrogen) and onshore assets in 
      operation of an average of approx. 12 % for the years 2020-2027, 
      corresponding to an EBITDA of DKK 35-40 billion in 2027. 
 
   -- Fully loaded unlevered lifecycle spread to WACC: targeted range of 
      150-300 bps at the time of bid/FID (whichever comes first) for our 
      offshore and onshore projects. 
 
   -- ROCE: 11-12 %, average for 2020-2027. 
 
   -- Share of regulated or contract-based operating income (EBITDA): approx. 
      90 %, average for 2020-2027. 
 
   -- Dividend policy until 2025 (unchanged): annual dividend increased with 
      high single-digit percentage. 
 
   The Capital Markets Day 
 
   Today, on 2 June 2021 at 12:00-15:30 CEST, Ørsted will explain the 
new strategic ambition and financial targets and host a Q&A session. 
 
   All presentations will be recorded and made available after the Capital 
Markets Day. The presented material is available now at: 
https://orsted.com/-/media/www/docs/corp/capital-markets-day/orsted-cmd-2021.pdf 
 
 
   The Capital Markets Day can be followed live -- register and follow it 
here: https://orsted.com/en/capital-markets-day-2021 
 
   Media Q&A 
 
   A joint Q&A session for the media will be held on 2 June 2021 at 
16:15-17:00 CEST with participation of members of Ørsted's 
Executive Committee. 
 
   Dial-in information for media: 
 
   Denmark: +45 78 73 78 92 
 
   International: +44 (0) 33 0551 0203 
 
   The information provided in this announcement does not change 
Ørsted's financial outlook for the 2021 financial year or the 
expected investment level announced for 2021. 
 
   For further information, please contact: 
 
   Media Relations 
 
   Martin Barlebo 
 
   + 45 99 55 95 52 
 
   Investor Relations 
 
   Allan Bødskov Andersen 
 
   + 45 99 55 79 96 
 
   ir@orsted.dk 
https://www.globenewswire.com/Tracker?data=2J8atwTdvzJRV9Y1r4oIdmXW0J24iCzKQcLsGZV6MWt_VgpJ730xo62HgHJq2r6E8fLug-KLMKnXpf2CQo-3YA== 
 
 
   About Ørsted 
 
   The Ørsted vision is a world that runs entirely on green energy. 
Ørsted develops, constructs, and operates offshore and onshore wind 
farms, solar farms, energy storage facilities, and bioenergy plants, and 
provides energy products to its customers. Ørsted ranks as the 
world's most sustainable energy company in Corporate Knights' 2021 index 
of the Global 100 most sustainable corporations in the world and is 
recognised on the CDP Climate Change A List as a global leader on 
climate action. Headquartered in Denmark, Ørsted employs 6,311 
people. Ørsted's shares are listed on Nasdaq Copenhagen (Orsted). 
In 2020, the group's revenue was DKK 52.6 billion (EUR 7.1 billion). 
Visit orsted.com or follow us on Facebook, LinkedIn, Instagram, and 
Twitter. 
 
   Attachment 
 
 
   -- Ørsted Capital Markets Day 2021_Company announcement 
      https://ml-eu.globenewswire.com/Resource/Download/dc1b1474-eb22-4d9c-8786-207d32829aab

(END) Dow Jones Newswires

06-02-21 0544ET