Viaro Energy has been given the regulatory green light to join one of the largest undeveloped oil finds in the UK North Sea.
The North Sea Transition Authority (NSTA) has approved its deal to acquire a 15% stake in the Bressay project and the EnQuest Producer FPSO in a £46m deal.
Bressay, in the Northern North Sea, was discovered in 1978 and has estimated potential for 200 million barrels of oil equivalent to be extracted.
Viaro said the early production system has an estimated cost of £600m, of which the majority will go through operator EnQuest.
RockRose Energy, Viaro’s subsidiary, will take on a £90m net share and collaborate with Enquest of the field development plan.
The aim is to access 115 million barrels of 2C resources through that early system, while the initial plan also includes a potential gas tie-back to the Kraken oil field nearby.
This deal marks the entry of Viaro into the Northern North Sea. The firm has non-operated interests across 30 assets in the Central and Southern sector, West of Shetland and the Netherlands.
According to its website, Viaro has output of “up to 30,000 barrels per day” and has a medium-term target to increase that to 100,000 barrels per day.
The EnQuest- Viaro Bressay deal was first unveiled in December.
Recommended for you
