BP has been granted regulatory approval for the £230 million development of a new oilfield in the North Sea. The Oil and Gas Authority gave the green light for the Alligin field, 140km west of Shetland, which is expected to start up in 2020 and produce 12,000 barrels of oil a day at its peak. The field, which is half-owned by BP and half by Royal Dutch Shell, is expected to tap reserves of 20 million barrels by connecting to the production facilities for the much larger Schiehallion field nearby. The watchdog also yesterday gave approval for a second new North Sea project: the Finlaggan gas condensate field in the Central North Sea, which is being developed by Zennor Petroleum, a small private equity-backed firm. BP and Shell are the two biggest oil companies listed in the UK. Between them they employ about 150,000 people globally in operations spanning from drilling for oil and gas to fuel retailing. Both companies have been streamlining their presence in the North Sea in recent years, offloading older assets to smaller specialists and focusing on bigger developments, primarily in the less-exploited areas west of Shetland.
Times 23rd Oct 2018 read more »
Scotsman 22nd Oct 2018 read more »
Herald 23rd Oct 2018 read more »
The news did not go down well with environmental campaigners who have been pushing for oil to be left unextracted in an effort to tackle climate change. “This oil needs to stay under the seabed,” said Friends of the Earth Scotland director Dr Richard Dixon. “The world cannot afford to burn even a fraction of the fossil fuels we already have, never mind approving the extraction of another 20 million barrels of oil. He added: “The major warning from the IPCC report has shown we are long past the time for business as usual, fossil fuel firms should not be searching for and exploiting new reserves.”
The iNews 22nd Oct 2018 read more »
The National 23rd Oct 2018 read more »
An oil leak that has flowed unchecked into the Gulf of Mexico for 14 years is set to become one of the worst in US history, according to government analysis. Satellite images of coastal Louisiana from 2005 to 2018 show a slick that at times spans hundreds of square miles, suggesting a leak of up to 700 barrels a day, according to a recent court filing by the government. The estimates suggest that the spill from a drilling platform operated by Taylor Energy, a company in New Orleans, could soon surpass the 3.19 million barrels that leaked into the gulf after the BP Deepwater Horizon disaster in 2010.
Times 23rd Oct 2018 read more »
That the Nord Stream 2 pipeline will increase Europe’s dependence on Russian natural gas is a geographic and arithmetical fact. But buried in the heated rhetoric – now rising to US sanction threats – over how much that matters, is just how inexpensive it would be for Europe to purchase supply diversity with liquefied natural gas from the US. Of course gas-by-ship costs more than gas-by-pipe. But at today’s prices and the spread between gas from Russia’s Gazprom and US LNG, the EU’s total annual energy import bill would rise by less than 5 per cent – or around $20 per head of population annually – by purchasing a volume of US gas equal to both the existing Nord Stream 1 and the planned second pipeline. Critically, Europe would also need to spend nothing to build LNG import terminals because the two-dozen that exist already are running, collectively, at barely one-fourth capacity. Operating all those terminals at full tilt could bring in triple the supply the Nord Stream 2 pipe will if it is ever completed.
FT 23rd Oct 2018 read more »