Shell scraps plans to develop Cambo North Sea oilfield

Private equity-backed Siccar Point, which owns a majority stake in the field, confirmed in a separate statement that "Shell has taken the decision to not progress its investment at this stage." The Cambo project off the Shetland Isles has been at the centre of a political debate on whether Britain should develop new fossil fuel resources as it seeks to sharply reduce its greenhouse gas emissions in the coming decades.


Reuters | Updated: 03-12-2021 00:25 IST | Created: 03-12-2021 00:25 IST
Shell scraps plans to develop Cambo North Sea oilfield

Royal Dutch Shell said on Thursday it had scrapped plans to develop the Cambo North Sea oilfield, which became a lightning rod for climate activists seeking to halt Britain's development of new oil and gas resources.

Following "comprehensive screening" of the Cambo field, Shell "concluded the economic case for investment in this project is not strong enough at this time, as well as having the potential for delays," the company said in a statement. Private equity-backed Siccar Point, which owns a majority stake in the field, confirmed in a separate statement that "Shell has taken the decision to not progress its investment at this stage."

The Cambo project off the Shetland Isles has been at the centre of a political debate on whether Britain should develop new fossil fuel resources as it seeks to sharply reduce its greenhouse gas emissions in the coming decades. "Cambo remains critical to the UK's energy security and economy," Siccar Point Chief Executive Officer Jonathan Roger said in a statement.

"Whilst we are disappointed at Shell’s change of position ... we will continue to engage with the UK Government and wider stakeholders on the future development of Cambo," he said. Shell owns 30% in the project, while Siccar Point, which operates it, holds the remaining 70%.

(This story has not been edited by Devdiscourse staff and is auto-generated from a syndicated feed.)

Give Feedback