As a result of changes in terms made by the state and delay in schedule of the project, the company has decided not to proceed with the project.

In January, Statoil had received state regulatory approval to build four wind turbines 12 miles off the coast, as part of its 20-year contract.

In July, the company had decided to put the project on hold, after Republican government Paul LePage signed legislation to reopen the competitive bidding process, to permit the University of Maine to submit a proposal.

Maine Renewable Energy association executive director Jeremy Payne was quoted by as saying that the exit of Statoil is a sad news for Maine, as it is looking to attract investment.

"Anytime you have a huge international player that was looking to Maine as a potential host for its investment and it shifts course, that calls into question whether this is a hospitable place for any type of investment," Payne added.