Orsted – Ørsted implements changes to executive management
By mutual agreement, two members of executive management are stepping down and leaving Ørsted with immediate effect: Daniel Lerup, Chief Financial Officer (CFO), and Richard Hunter, Chief Operating Officer (COO).
Ørsted has initiated the processes of identifying a new CFO and a new COO and expects the processes to be concluded as soon as possible in 2024.
Mads Nipper, Group President and CEO of Ørsted, says:
“Ørsted, along with the rest of the industry, is experiencing a challenging and volatile business environment. Therefore, the Board of Directors and I have agreed with our current CFO and COO that we need new and different capabilities to lead the Finance and EPC & Operations functions to strengthen Ørsted’s journey into the future. I would like to thank both Daniel Lerup and Richard Hunter for their contributions to Ørsted. I’ve enjoyed working with both of them for the past years and wish them all the best with their new endeavours.”
From today, Rasmus Errboe will serve as interim CFO and member of the Executive Board. Currently, Rasmus Errboe is CEO of Region Europe and Executive Vice President at Ørsted and has been with the company since 2012 in different management positions, including as CFO for Ørsted’s offshore wind business. Together with the Finance team and the Group Executive Team, Rasmus Errboe will lead the work on supporting Ørsted’s capital structure and long-term commitment to its credit rating. While Rasmus Errboe serves as interim CFO, Olivia Breese will act as CEO of Region Europe while continuing in her current role as Senior Vice President and Head of Power-to-X at Ørsted.
Andrew Brown, member of Ørsted’s Board of Directors, has been appointed interim COO and member of the Group Executive Team, expectedly until 1 March 2024. Andrew Brown has extensive international executive experience from leading positions in large global organisations such as Shell and most recently as CEO of the Portuguese energy company Galp. Together with the EPC & Operations team, Andrew Brown will ensure a continued focus on managing the delivery of our EPC projects while also further advancing and implementing a strengthened project management and supply chain strategy to reflect anticipated industry developments.
The information provided in this announcement does not change Ørsted’s previous financial guidance for the financial year of 2023 or the announced expected investment level for 2023.
More information on Ørsted: See the full profile on EMR Executive Services
More information on Mads Nipper (Group President and Chief Executive Officer, Ørsted): See the full profile on EMR Executive Services
More information on Rasmus Errboe (Interim Chief Financial Officer, Ørsted): See the full profile on EMR Executive Services
More information on Olivia Breese (Group Executive Team – Senior Vice President and Head of Power-to-X + Acting Chief Executive Officer of Region Europe, Ørsted): See the full profile on EMR Executive Services
More information on Andrew Brown (Member of the Board of Directors, Ørsted + Interim Chief Operating Officer and member of the Group Executive Team, expectedly until 1 March 2024): See the full profile on EMR Executive Services
EMR Additional Notes:
- EPC (Engineering, Procurement and Construction):
- An Engineering, Procurement and Construction Contract (“EPC Contract”), occasionally known as a “Turnkey Contract”, is a construction contract where the contractor (“EPC Contractor”) holds the responsibility towards the design, procurement, construction, commissioning and handover of a project (“Project”).
- An EPC contractor performs the engineering, procurement and construction scope(s) for a project, i.e. the EPC executes the actual work.
- Engineering, Procurement, Construction and Installation (EPCI):
- Also referred to as an engineering, procurement, construction and installation contract, this is a contract under which a principal engages a contractor to design, build, deliver and install the asset in order for it to be operational.
- EPCI contracts are often used for large-scale mining infrastructure such as mineral processing plants.
- EPCI contracts are complex because they encompass the design, detailed engineering and construction of infrastructure, including the supply of materials and services (for example, testing and installation) to ensure the smooth operation of the infrastructure.
- Under an EPCI contract, the contractor may perform all the services itself; however, EPCI contracts usually give the contractor a right to subcontract part of the work.
- However, the contractor bears the project risk because most EPCI contracts are for a fixed price (irrespective of subcontractor agreements) and based on a schedule mutually agreed in the EPCI contract. The contract price paid by the principal to the contractor is usually paid in stages on the completion of certain project milestones.
EMR Additional Financial Notes:
- Major financial KPI’s since 2017 are available on EMR Executive Services under “Financial Results” and comparison with peers under “Market Positioning”
- Companies’ full profile on EMR Executive Services are based on their official press releases, quarterly financial reports, annual reports and other official documents like the Universal Registration Document.
- All members of the Executive Committee and of the Board have their full profile on EMR Executive Services
- Ørsted Q3 2023 investor presentation can be found here: https://via.ritzau.dk/ir-files/13560592/7372/11321/%C3%98rsted%20-%20Q3%202023%20-%20Investor%20presentation.pdf
- Ørsted Q3 2023 Interim Financial Report can be found here: https://via.ritzau.dk/ir-files/13560592/7372/11320/Interim%20financial%20report%209M%202023.pdf
- Ørsted Q4 2022 investor presentation can be found here: https://via.ritzau.dk/ir-files/13560592/6237/9076/%C3%98rsted%20-%20Q4%202022%20-%20Investor%20presentation.pdf
- Ørsted interim report for the first nine months of 2022 – Full-year EBITDA guidance increase and strategic milestones achieved with new partnerships and acquisitions can be found here: https://via.ritzau.dk/ir-files/13560592/5809/8459/Interim%20report%20for%20the%20first%20nine%20months%20of%202022%20%E2%80%93%20full-year%20EBITDA%20guidance%20increased%20and%20strategic%20milestones%20achieved%20with%20new%20partnerships%20and%20acquisitions.pdf
- Ørsted 2022 Annual Report can be found here: https://via.ritzau.dk/ir-files/13560592/6237/9071/%C3%98rsted%20annual%20report%202022.pdf
- Ørsted 2021 Annual Report can be found here: https://orstedcdn.azureedge.net/-/media/annual2021/annual-report-2021.ashx?la=en&rev=9d4904ddf4c44594adab627f7e4c62be&hash=BD463F56D8BEF7EB591136136FEFDF44