Oil major BP has signed a deal to increase its stake in the Foinaven oil field, located in the UK continental shelf (UKCS), by purchasing a 28% interest from Viaro Energy’s subsidiary RockRose.
The sale of the 28% non-operated interest in the Foinaven field forms part of RockRose’s efforts to focus on further growth opportunities in the country’s offshore sector.
Viaro CEO Francesco Mazzagatti said: “The Foinaven field is an iconic development in the UKCS, and we are proud to have played a part in its story.
“We have established a very strong production base and continue to seek opportunities to build our portfolio further as we pursue further growth in the UKCS.”
Discovered in 1990, the Foinaven field started production in November 1997.
BP operates the Foinaven area which comprises the Foinaven and Foinaven East fields. It holds a stake of 72% in the Foinaven field and a 43% stake in Foinaven East field.
RockRose Energy holds the remaining 28% interest in the Foinaven field and holds a stake of 47% in the Foinaven East field.
Upon completion of the latest transaction, BP will hold 100% interest in the Foinaven field and 90% interest in the Foinaven East field.
DNO owns the remaining 10% stake in the Foinaven East field.
The transaction is scheduled for completion in the first quarter of 2022. The financial terms of the deal were undisclosed.
In April this year, the field’s production was suspended following a decision by BP to retire the Petrojarl Foinaven FPSO on the grounds of safety issues.
The FPSO, which is nearing the end of its 25-year design life, is scheduled to be handed back to its owner Teekay in 2022, once it has been decommissioned.