The boss of Equinor’s UK operations has warned investment in the North Sea is at “an all-time low” during meetings with the Scottish and UK governments.
Equinor senior vice-president for UK and Ireland Arne Gurtner seperately met First Minister Humza Yousaf and UK Energy Secretary Claire Coutinho to discuss the Norwegian state-owned firm’s operations in Britain.
Posting on social media after the talks, Mr Gurtner said simply issuing more North Sea exploration licences is not enough to support this country’s oil and gas sector.
‘Candid’ message for first minister
He added: “In both meetings I was candid on the fact the #UKCS (UK continental shelf) is on a sharp decline and investments into the basin at an all-time low.
“Although certainly welcomed, exploration licensing alone will not change that picture.
“I also asked for focus on political and fiscal stability to ensure domestic energy production and security.”
Mr Gurtner said in the “frank and open discussions” he emphasised the UK and Equinor risked losing a high quality supply chain and workforce, without support.
He continued: “Climate leadership is not turning off the UK oil and gas industry, while still using the 75% oil and gas products in our everyday lives.
“Climate leadership is to use the competence and skills of the oil and gas sector to reduce emission from production, to transition into CCS (carbon capture and storage)/hydrogen and offshore wind – that is where the UK is a grand example.”
During a “productive meeting” with Mr Yousaf, the pair discussed progress on energy transition and the role oil and gas “is going to continue to play” in the future energy mix, Mr Gurtner said.
He added: “We discussed at length our various projects across Scotland, including Rosebank and the benefits it will bring to the country in terms of jobs and investment.”
“We also spoke about our future plans, including the electrification of Rosebank, growing our offshore wind projects and developing carbon capture and storage.”
Mr Gurtner hailed the meeting as a “great opportunity” to discuss Scotland’s energy future and how the country can “ensure it continues to be a climate leader”.
Mr Yousaf has previously criticised Equinor’s Rosebank plans, saying he is “not convinced” development of the controversial oilfield is necessary.
Following his meeting with the first minister in Edinburgh, Mr Gurtner travelled to Downing Street in London to meet Ms Coutinho.
The pair discussed the benefits of continuing to produce oil and gas from the UK North Sea in terms of jobs, investment, energy security and production emissions.
In contrast to Mr Yousaf, Ms Coutinho is an ardent supporter of continued oil and gas exploration in the North Sea.
Earlier this week, the UK Government unveiled plans to enact legislation mandating awarding new North Sea oil and gas licences annually.
Following the announcement, the energy secretary said: “As energy markets become more unstable it’s just commonsense to make the most of our own homegrown advantages, and use the oil, gas, wind and hydrogen on our doorstep in the North Sea.
“Rather than importing dirtier fuels from abroad, we want to give industry the certainty to invest in jobs here and unlock billions of pounds for our own transition to clean energy.”
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