Harbour Energy’s (LON: HBR) reported plans to sell stakes in its North Sea assets is a “stark warning” to the UK government, politicians have warned.
Reuters reported that Harbour is aiming to divest from projects on the UK continental shelf and is reviving plans for a US listing.
Its decision comes as more companies look to scale back their operations or leave the North Sea entirely over plans to expand the taxes on the sector, such as the Energy Profits Levy (EPL).
Finance Minister Rachel Reeves is expected to announce these tax increases in the budget on 30 October.
SNP MP for Aberdeen South Stephen Flynn criticised the plans, saying that Harbour’s move provides “a stark warning for the Labour Government – they’ve a week to fix their energy tax plans or jobs, investment and the transition to net zero will all be at risk”.
In addition, Harbour listing in the US will allow the company to move its headquarters to the country, away from its current location in London.
Harbour Energy was involved in a major deal with Wintershall DEA, which saw Harbour acquire the German company’s non-Russian portfolio for $11 billion.
Completed last month, the deal diversified Harbour’s portfolio outside the North Sea and more than doubled its production.
Reuters’ source also said that Harbour has started a sale process of its stakes in the Armada, Everest, Lomond, Catcher and Tolmount fields.
While Harbour said it does not comment on M&A speculation, a spokesperson said: “We are a London listed company and as long as our geographical centre of gravity is in Europe it wouldn’t really make sense to move the listing.”
Harbour Energy previously reported earnings of $1.2 billion for the first half of 2024. Globally, its tax bill for 2023 was reported at $335 million, compared to 2022’s $437m.
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