Shell to pump billions into ‘very high quality’ North Sea business

Shell CEO Ben van Beurden
Shell CEO Ben van Beurden

Shell’s boss said yesterday that the energy major will invest “billions of dollars” in the UK North Sea in the coming years.

Ben van Beurden said the firm had “significantly rejuvenated” its conventional oil and gas business in different regions, and that the UK had been “no exception”.

During a webcast at the company’s management day in London, Mr van Beurden said: “What we have at the moment is a very high quality (UK North Sea) business.

“If you look back over the last 12 months or so, you will have seen us take quite a few investment decisions on UK resources.

“So we think we will be investing billions of dollars still in the years to come in the conventional oil and gas business in the North Sea.”

In January 2018, Shell said it would redevelop the Penguins field – involving the construction of the firm’s first new manned installation in the northern North Sea in nearly 30 years.

Shell also approved the development of the Arran and Fram fields last year, both of which will be tied back to the Shearwater platform 140 miles east of Aberdeen.

The company has a 50% stake in the BP-operated Alligin project, sanctioned in April 2018.

In November, Shell was involved in the delivery of first oil from Clair Ridge, a major development west of Shetland. The firm has a 28% working interest in the field, which is operated by BP.

The acquisition of a 30% stake in the Cambo field from Siccar Point Energy further strengthened Shell’s presence in the highly prospective west of Shetland basin.

Cambo is thought to contain more than 800 million barrels of oil.

 

 

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