Fossil fuel developmente positions itself as a bridge to the transmission of energy, which is already underway, as a major source of foreign exchange for financing projects with low environmental impact. Along these lines, Senior Vice President of Upstream at Shell UK, Simon Roddy Which “still need” to invest in gas and oil.
“The UK still needs domestically produced oil and gaswhich would otherwise only be replaced by imports with higher emissions,” Rudy noted.
The Director considered that Great Britain should encourage the development of new oil and gas fields in the North Sea, even while implementing renewable carbon capture and storage projects. He added, “Last year, only one major development project for the North Sea was approved. Basically I don’t think this is a defensible position“.
The Anglo-Dutch company plans to invest up to 25,000 million pounds in the UK energy system over the next decade. Of this amount, 75% will be allocated to low-carbon products and projects.
Recently the company Won a tender to install wind turbines in an offshore project It is involved in the Acorn Carbon and Hydrogen Sequestration Project in Scotland. In parallel, they also plan to continue developing oil and gas in the North Sea, albeit at a slower pace than a few years ago.
At the beginning of this year, Shell has received government permission to develop the Jackdaw gas condensate field, after a failed attempt last year. The project, which will connect to existing infrastructure at the Shearwater Offshore Center, is the only major development to receive the green light this year, on the back of global gas supplies.
There are two other large projects in various management stages that have great potential and are operated by Equinor and Ithaca Energy. No progress has been made yet and it is not known if they will be able to obtain approvals.
Investment in the North Sea has declined steadily in recent years and has been exacerbated by the pandemic. Compared to last year, the region’s production decreased by about 15%.
“It is clear that if this trend continues, the North Sea continental shelf will retreat very quickly,” Rudy concluded.
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