UK’s contested Cambo oil field secures license extension

UK’s contested Cambo oil field secures license extension

Energy, Uncategorized















Bloomberg

A controversial UK oil project won a license extension, keeping open the possibility of development even after Shell Plc retreated amid a backlash from climate protesters.

The Cambo field has received a two-year extension from the energy regulator, operator Siccar Point Energy Ltd said. The project was put on ice late last year after minority owner Shell chose to ditch its investment. The UK major is now reconsidering that decision as the government seeks to spur domestic production after Russia’s invasion of Ukraine, the BBC has reported.

“Siccar Point continues to work with its co-venturer Shell and the UK government to map out the next steps,” the operator said. Shell said that there’s “no change to our position of December,” but the license extension “will allow time to evaluate all potential future options.”

Despite being a relative minnow globally, the North Sea field is one of Britain’s biggest potential oil and gas developments, with the first phase targeting the equivalent of 170 million barrels of crude. Climate protesters have argued that it’s at odds with the UK’s goal of reaching carbon neutrality by 2050.

The field’s two licenses