Britain delays decision on Jackdaw and Rosebank — OilPrice

In the United Kingdom, a decision on granting permits for further drilling at the Jackdaw gas field and the Rosebank oil field in the North Sea near Aberdeen is being delayed. Prime Minister Andy Burnham explained the postponement by government procedures and lengthy bureaucratic approvals, OilPrice reports.

A decision is expected in the coming weeks

Energy Minister Miatta Fahnbulle is expected to make a decision on the projects within several weeks. Consultations on drilling at both sites were completed in August. She must take into account the projects’ potential impact on economic growth and the country’s environmental commitments.

The previous Conservative government had already approved the development of Rosebank and Jackdaw. At the same time, the Labour Party stated during the 2024 election campaign that it would not issue new licences for oil and gas extraction. According to the publication, Scottish courts blocked work at the two fields in 2024 on environmental grounds.

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Companies’ position and economic estimates

Shell and Equinor are expected to be the main operators of the projects. Equinor Chief Executive Officer Anders Opedal said that a refusal to grant the permits would be a “significant blow” to the United Kingdom’s investment attractiveness. According to him, Adura, a joint venture between Shell and Equinor, has met all the requirements set out under the approval procedure.

Industry representatives said that Jackdaw could begin production as early as this winter if it receives permission, as much of the infrastructure is already ready. According to a Public First report commissioned by Adura, the two projects could add £35 billion in gross value added to the UK economy in 2026–2035. The study’s authors also estimate potential additional tax revenues at £12.1 billion over the next decade.