The opening of Total’s Shetland Gas Plant was hailed as a “phenomenal” milestone for the UK energy sector.
Industry leaders, politicians and the local community gathered to officially open the site, which supports the French operator’s mammoth Laggan-Tormore development.
Total chief executive, Patrick Pouyanne, said: “We are gathered on the very edge of Europe in one of the most remote communities.
“With the new Shetland gas plant there is every reason to be optimistic and excited about the future of the industry.
“Once these islands saw Vikings with their ships. They made their home here, but they also used the Shetlands as a launchpad to new adventure.
“I hope Total emulate the Vikings, without the violence, and embarks on the adventure to be committed to better energy.”
The Shetland gas plant is one biggest individual building programmes in the UK since the London Olympics.
The £3.5billion project took five years to complete.
It was designed to process 500 million cubic feet of gas a day.
Supplies from the Laggan-Tormore discoveries are transported via a 90-mile pipeline to the plant.
Laggan-Tormore’s daily production averages 90,000 barrels of oil equivalent per day.
Shetland Councillor Alastair Cooper said the development was a welcome addition to the community.
“This project helped cushion the blow when there were cuts elsewhere,” he said.
“I think it’s been a good thing for the community and it’s helped provide permanent jobs for the area.”
UK and Canada vice-president of Subsea 7 – one of the contractors on the scheme – Phil Simmons, added: “I think this project proves we are still a viable industry in the North Sea, and Shetland still has a part to play in strengthening the market.
“Laggan-Tormore has effectively opened up the west of Shetland area for future years.”
Gunther Newcombe, OGA’s exploration and production director, said there could be an additional three billion barrels of oil equivalent in the area still be to discovered and brought on line.
He said the Shetland gas plant would play a vital role in developing new tie-ins.
“It’s great to see something like this happen, because it’s very much MER UK for us and will unlock a lot of potential.”
Oil & Gas UK’s chief executive, Deidre Michie, added: “It’s phenomenal what Total has managed to achieve.
“If we stay the course with our operational focus and cost efficiencies, and if we work closely with government on the fiscal side and the regulator does its part then we will get through this.”
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