The Trump administration reached a settlement on Thursday with an offshore wind developer, which will reimburse the company for money it invested in an offshore lease in exchange for the company relinquishing those leases and resolving legal claims. 

The federal government will pay RWE U.S. Offshore $1.22 billion in the settlement. The company said it had invested $1 billion in a long-term commitment to develop offshore wind capacity in American waters. 

"After careful consideration, it was determined there is no path forward to permit these projects in the U.S. for the foreseeable future," the company said in a statement. 

The settlement will allow the company to direct resources toward energy projects that can be advanced with certainty, the company said. That includes liquefied natural gas infrastructure and natural gas turbine reservations. 

The company is also developing a pipeline of 15 natural gas peaking projects across target markets in the U.S., and securing the turbines amid a shortage will be an important step in their development.