Unbiased British vitality agency Viaro Power has acquired one hundred pc curiosity in license P.2593 within the West of Shetland by way of its wholly owned subsidiary, RockRose Power.
License P.2593 is “an vital addition” to Viaro’s portfolio and is strategically near RockRose-owned present producing belongings and infrastructure, the corporate mentioned in a current information launch. The license consists of the Tuck discovery, a Cretaceous gas-bearing reservoir, trapped on the North West flank of the Rona Ridge. The invention is supported by an amplitude anomaly, which signifies thicker and better-quality reservoir sands, up dip and alongside strike from the invention properly, in line with the discharge.
Additional, Viaro mentioned the license space holds a number of different prospects and leads, together with the Boulmer prospect, a “drill-ready” Devonian construction with as much as 2,625 toes (800 meters) of Decrease Clair sediments.
The corporate mentioned it’s evaluating present plans and “essentially the most advantageous alternatives” within the license to progress to the subsequent section.
“The West of Shetland continues to be a strategic hub for exploration alternatives, and the Tuck discovery might maintain appreciable assets”, Viaro CEO Francesco Mazzagatti mentioned. “The license’s proximity to our present belongings within the Better Laggan Space affords vital potential for extending the lifetime of the infrastructure, together with the Shetland Gasoline Plant. The work program will even give attention to exploring electrification and different technological improvements to cut back emissions within the space”.
In December 2023, RockRose signed an settlement with EnQuest to amass a 15 p.c curiosity within the Bressay discipline and its EnQuest Producer FPSO for a complete consideration of $58.26 million (GBP 46 million).
The early manufacturing facility improvement beneath evaluate has capital expenditure estimated at $759.89 million (GBP 600 million), with $113.98 million (GBP 90 million) being RockRose’s internet share, Viaro mentioned in a separate information launch.
Bressay is taken into account one of many largest undeveloped oil fields in the UK Continental Shelf (UKCS) with greater than 115 million barrels of internet 2C reserves and with an estimated potential to extract round 200 million barrels of oil equal. Found in 1978, Bressay lies in UKCS Blocks 3/28a, 3/27b, 3/28b, 9/2a, and 9/3a of the Northern North Sea, east of the Shetland Islands, in line with the discharge.
Pending regulatory approval of the transaction, operator EnQuest will maintain the remaining 85 p.c stake within the discipline. Viaro mentioned its partnership with EnQuest paves the best way for a discipline improvement plan (FDP) to be superior in step with EnQuest’s ongoing plans.
The Bressay acquisition marks Viaro’s entry into the Northern North Sea, together with important operations within the surrounding Central North Sea, Southern Gasoline Basin and the West of Shetland, the corporate famous.
“We’re grateful to the workforce at EnQuest for the sleek negotiation course of on the Bressay acquisition”, Mazzagatti mentioned. “Lengthy thought-about one of many largest developments on the UK Continental Shelf, Bressay is an integral part of the nation’s effort to safe viable vitality sources in the long run. Aside from its important potential to contribute to the UK’s vitality safety, making certain the event of Bressay is essential so as to encourage extra investments within the UKCS, the place we hope the tax regime will quickly stabilize”.
“It is a vital addition to our portfolio, because it not solely confirms our critical dedication to assist the event of North Sea belongings to their fullest potential, but additionally matches into our technique to repeatedly reinvest into new belongings and improvement alternatives. Contemplating EnQuest’s profitable monitor file with the encompassing developments within the space, we’re assured they’re the precise accomplice to make sure that the extraction might be aligned with the best trade requirements”, he added.
To contact the writer, e-mail rocky.teodoro@rigzone.com