A Shetland councillor has described the change in ownership of the Sullom Voe Terminal (SVT) as the “end of an era”, after it was revealed it would change hands from BP to EnQuest.
Gary Robinson, leader and chair of the development committee of the Shetland Islands Council, spoke with BP North Sea vice president Tim Smith earlier today.
The council has been working with both the oil major and the Oil and Gas Authority (OGA) over the terminal’s future and life extension of the North Sea assets.
Earlier today it was revealed EnQuest has taken over a 25% interest in the energy giant’s Magnus field, with the possibility of exercising an option to take on the remaining 75% next year.
The independent oil and gas producer has also taken a 3% interest in the Sullom Voe oil and gas processing terminal on Shetland, again with the possibility of taking on more responsibility down the line.
Around 100 BP staff are currently associated with Magnus and associated infrastructure, and approximately 240 with the SVT.
Councillor Robinson said:“This is the end of an era for the oil and gas industry but it is also the beginning of a new era. The significance for Shetland cannot be underestimated. This is a positive opportunity for the future of Shetland. It’s a big change for Shetland and for SVT. EnQuest are known for managing end of life assets and extending their life. They will have the opportunity to focus on SVT and attracting new business, particularly from the West of Shetland.
“The Council and the wider Shetland Partnership will be working with them to realise that opportunity. We are now looking to EnQuest to develop the arrangements at SVT to provide a competitive environment for opportunities to the west of Shetland.”