Equinor weighs selling stake in Rosebank oil project

Equinor is planning to sell a part of its stake in the Rosebank oil project, reported Reuters, citing sources.

The Norwegian oil and gas company owns an 80% stake in the project, which is in the UK North Sea.

Equinor, which is the operator of Rosebank, is considering selling a quarter of its stake or 20% stake in the project, sources said.

The divesture could fetch around $1.5bn (Nkr16.8bn) for Equinor, they added.

Equinor refused to comment on the news, reported the media outlet.

The news comes after the North Sea Transition Authority (NTSA) approved the development and production of Rosebank this September.

Located over 128km west of Shetland, Rosebank is claimed to be the UK’s largest untapped oilfield.

Earlier this year, the Norwegian company doubled its shareholding in the project following the acquisition of Suncor Energy’s UK business in a deal valued at $850m.

UK-based Ithaca Energy owns the remaining 20% stake in Rosebank.

It is anticipated that the field will start production in 2026–2027, producing 300 million barrels of oil over its lifetime.

The field’s development is projected to cost $3.8bn.

Equinor has cut costs by streamlining the field’s development and redeploying a floating production, storage, and offloading vessel.

In April this year, the International Energy Agency declared that to keep global warming to 1.5°C, no new oil and gas resources should be developed.

Over 200 million metric tonnes of carbon dioxide might be released when Rosebank oil is burnt, making the proposed project controversial, reported CNBC.

Earlier this week, Equinor found oil close to the Gina Krog oil and gas field in the Norwegian North Sea.

The discovery is estimated to contain recoverable amounts of five to sixteen million barrels of oil equivalent.

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