OGA opens investigation into possible loss of value as a result of a failure to collaborate
The Oil and Gas Authority (OGA) has opened an investigation into a possible failure to maximise economic recovery for the UK due to a commercial disagreement.
The OGA considers there to be sufficient initial evidence and will now open a sanctions investigation.
The investigation will now, among other things:
gather and assess further information to enable the OGA to reach a decision
offer the companies concerned the opportunity to provide written representations
decide how the case should be resolved
A June 2019 OGA letter to licensees and infrastructure owners outlined the OGA’s regulatory approach. While praising a great deal of constructive engagement, the letter noted that: “Despite good progress we still see too many issues taking too long to resolve or ending up in deadlock between disputing parties, threatening MER UK.”
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Published: 11-06-2021