EnQuest sells 15% interest in UK field and FPSO

EnQuest has reached an agreement with Viaro Energy for the sale of a 15% working interest in a North Sea field and floating production, storage and offloading vessel (FPSO).

EnQuest reported it had reached an agreement with Viaro Energy’s subsidiary RockRose UKCS 10 today, December 22, to sell a 15% working interest in each of the Bressay field and the EnQuest Producer FPSO, both located in the UK North Sea.

Under the terms of the agreement, total consideration in respect of the Bressay field and FPSO is £46 million and will involve an initial payment by RockRose to EnQuest of £34.75 million, which will be used for general corporate purposes, with the remaining £11.25 million to be paid from future Bressay cash flows.

RockRose will pay its equity share of capital expenditure associated with the Bressay development, pursuant to an agreed schedule and approvals.

Steve Bowyer, GM North Sea for EnQuest, said: “We continue to progress the development of the wider Kraken area, including a Bressay gas tie-back solution to reduce Kraken emissions, as well as an early production solution project at Bressay. We look forward to working with Rockrose, Waldorf (our Kraken JV partner) and the NSTA to move the project forward.”

Bressay is a heavy oil field east of the Shetland Islands, approximately 12 kilometers northeast of the Kraken field. EnQuest is the owner and operator of the field having acquired an interest in it from Equinor in January 2021.

Discovered in 1976, Bressay is believed to be one of the largest undeveloped oil fields in the UK continental shelf (UKCS) with more than 115 MMbbls of net 2C resources.