Privately owned explorer Neptune Energy will spend over $1bn over the next five years to boost energy supply and speed up the transition to net zero. It is considering carbon capture and storage, hydrogen production and platform electrification plans, it said May 10.
CEO Pete Jones said: “Securing lower carbon energy supplies is a national priority for the UK and Neptune has an important role to play. The government’s energy security strategy gives clarity on the key role of the North Sea in providing this security and its importance in the energy transition.”
The biggest item is the $1bn Seagull development (Neptune 35%), which will add around 50,000 barrels of oil equivalent/day for the UK from 2023, using existing infrastructure to bring production forward quickly and efficiently.
Neptune and partners will spend another $120mn on an appraisal well in the second half of this year at the Isabella prospect (Neptune 50%) in the Central North Sea. Should it prove economic to develop, Neptune and its partners would invest a further $1bn to bring the development onstream.
It also plans to spend around $300mn in the next three years developing the Gjøa hub in Norway which exports gas to the UK via St Fergus terminal. It has also confirmed its interest in the UK government’s plans for a new licensing round, focused around Neptune’s existing assets and core areas in the UK North Sea.
Neptune’s Cygnus field in the UK southern basin will have its 10th well onstream in October, with the 11th to be brought onstream next year. (Picture credit: Neptune.)
For more, please see here.