Shell UK and Esso Exploration and Production UK have agreed to sell to RockRose Energy their interests in various Shell-operated gas field developments in the UK Southern North Sea (SNS).
Pending regulatory approval, Viaro Energy (RockRose’s owner) will acquire operatorship of the Barque, Brigantine, Caravel, Carrack East, Carrack Main, Clipper, Corvette, Galleon, Leman, Shamrock and Skiff fields.
All are tied back to the Shell-operated onshore Bacton gas processing terminal on the coast of Norfolk via the Leman and Clipper field complexes. The fields’ combined production in 2023 was about 28,000 boe/d, equivalent to roughly 5% of the UK’s total gas output.
Viaro sees further growth potential through near-field exploration opportunities.
The SNS fields and Bacton have a record of reliable throughput and about 90% production efficiency since the start of operations in the late 1960s.
Currently a tight gas development is also underway in Galleon and Barque, with other tight gas prospects and near-field candidates identified in the Greater Sole Pit area.
Viaro estimates the total 2P volumes of the assets at 58 MMboe, with the potential to develop more than 120 MMboe of net 2C resources. The company intends to maximize volumes extracted while increasing low-emissions production in the area via a redevelopment, using existing infrastructure.
The Bacton terminal provides a direct route for gas produced from both the southern and central North Sea to the UK National Transmission system, operated by the National Grid, which allows for gas flows between the UK and the Netherlands.
In recent years, the Bacton Rejuvenation project received about £300 million ($385 million) in investment to upgrade and extend the life of the terminal for future use.
According to Viaro, Bacton gas is used to generate about 40% of Britain’s electricity and is the main supply of gas to homes and businesses in East Anglia and North London.
The North Sea Transition Authority also sees potential to develop Bacton as a hydrogen production site for London and southeast England and to support carbon capture storage and offshore wind developments supplying renewable power to Bacton.
Viaro intends to perform feasibility studies on decarbonization of the complex through use of "clean" technology.
The company is an established player in the UK with interests in various producing gas fields and exploration prospects in the southern sector around Bacton, the Easington Capture Area off the Yorkshire coast, the Sean Field, and the Anning and Somerville development.
In the Central North Sea, it has stakes in the Arran, Nelson/Howe and Blake/Ross fields as well as a share in the undeveloped Bressay heavy oil field in the East Shetland basin. In addition, West of Shetland, it is a partner in producing gas fields the Greater Laggan Area.
Lastly, in the Dutch North Sea, the company has non-operated interests in the A&B blocks, the K4b-K5a area and the Hanze oil field. Its overall production currently averages up to 25,000 boe/d.
