Westminster’s oil and gas regulator is set to approve a major North Sea gas project it previously rejected on environmental grounds amid increased concerns about UK energy security.
The Sunday Times reports that approval for Shell’s Jackdaw gas field, 150 miles east of Aberdeen, is now “imminent” following Russia’s decision to cut off gas supplies to a number of European countries.
The project, which could create up to £500million worth of work in the North-east supply chain, was originally rejected on environmental grounds.
However, the new plan changes the way Shell processes natural gas at the Shearwater hub.
Rather than removing all naturally-occurring CO2 from the gas offshore, some of it will be exported to the onshore St Fergus terminal where it will be further treated.
The field has reserves of between 120 million and 250 million barrels of oil equivalent.
It will supply 6.5% of Britain’s gas output and is scheduled to start production in 2025.
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