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June 2, 2022

Shell secures final regulatory nod to develop new North Sea gas field

Production from the Jackdaw offshore field is planned to start in the second half of 2025.

Energy giant Shell has received final approval from Britain’s regulator for a revised plan to develop the Jackdaw gas condensate field in the UK North Sea.

The approval comes months after the project was rejected in October 2021 on environmental grounds.

UK Business Minister Kwasi Kwarteng said on Twitter: “Jackdaw gas field – originally licensed in 1970 – has today received final regulatory approval.

“We’re turbocharging renewables and nuclear, but we are also realistic about our energy needs now. Let’s source more of the gas we need from British waters to protect energy security.”

Th permit comes as the UK government looks to boost domestic energy production as gas prices continue to soar following Russia’s military action against Ukraine.

Production from the offshore field is planned to commence in the second half of 2025.

Shell, according to Bloomberg News, said it plans “to move ahead with the project, which has the potential to produce 6.5% of UK gas production at a time when UK energy security is critically required.”

However, environmental group Greenpeace opposed the approval and said it could be ‘unlawful’ and it plans to take legal action.

Greenpeace UK political campaigner Ami McCarthy said: “Approving Jackdaw is a desperate and destructive decision from Johnson’s government, and proves there’s no long-term plan.”

Located in blocks 30/02a, 30/02d and 30/03a of the UK central North Sea, the Jackdaw field is owned by Shell’s affiliate BG International (74%) and ONE-Dyas E&P (26%).

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