A coalition of UK energy producers, manufacturers, trade unions and industrial organizations has urged Labour MPs to support continued North Sea oil and gas development, arguing domestic production remains essential to the country’s energy security, industrial competitiveness and long-term economic growth.
British Petroleum (bp) is in talks with Ithaca Energy, a North Sea oil and gas operator and producer, regarding the sale of its UK North Sea assets in a deal worth nearly $2.69 billion, according to Reuters.While negotiations failed to reach a final agreement in recent weeks, the company continues to explore other options for the assets and could pursue a transaction with other interested parties.
Equinor and its Fram partners will invest more than $2 billion (NOK 21 billion) in a new subsea development. The plan for development and operation was today submitted to the Minister of Energy, Terje Aasland.
Britain’s Chancellor Rachel Reeves has raised the Energy Profits Levy on North Sea oil and gas producers to 38% in her first budget for the Labor government.
One of the North Sea’s biggest gas producers is threatening to end investment in Britain because the tax regime has become too unstable to support offshore energy producers.
The U.K.’s new chancellor, Rachell Reeves, recently announced that the windfall tax (formally known as the Energy Profits Levy) will be increased to 38 percent (up from 35 percent) on November 1, bringing the rate of tax on upstream oil and gas activities to 78 percent. The tax will also be extended to 31 March 2030 and the government stated that it would remove certain so-called ‘unjustifiably generous investment allowances’ from the EPL.
Tenaz Energy Corp. has entered into an agreement with Nederlandse Aardolie Maatschappij B.V. (“NAM”), a 50/50 joint venture between Shell and ExxonMobil, to acquire all of the issued and outstanding shares of NAM Offshore B.V. (“NOBV”) for $246 million.