Richard Eldred: BP Puts North Sea Business Up for Sale, Ending 60 Years of Production

BP is putting its entire North Sea business up for sale, drawing a line under 60 years of production in the region. The BBC has the story:

The decision follows a review of BP’s operations as it seeks to slim down the group. Its North Sea business has five production hubs – two in the central North Sea and three west of Shetland – and employs about 1,100 people. …

“The UK has been our home for more than 100 years and will continue to play an important role in our future,” BP Chief Executive Meg O’Neill said.

“We’re proud of the jobs we create, the contribution we make to the UK economy and the work we do to keep energy flowing every day,” she said.

The company said it remained committed to operating the business safely and reliably throughout the sale process.

Its North Sea business produced 117,000 barrels of oil equivalent per day in 2025, a small fraction of the oil giant’s 2.3 million barrels of daily production.

O’Neill, who took the helm at BP in April, said earlier this year there was “untapped potential” in the North Sea.

However, in announcing Friday’s decision she said: “As we focus our portfolio and direct capital to our highest-value opportunities, we believe our North Sea business will be better positioned as part of another company.

“It has world-class people, resilient assets and a proud heritage, and it is precisely these qualities that can attract an owner ready to back its next chapter. We are seeking an outcome that recognises that value.”

The sale could potentially bring in £2 billion to BP. Last month, the FT reported the company was in talks with Ithaca Energy to sell its North Sea assets for around this amount, although the talks fell through. …

Oil and gas companies have also criticised the UK’s windfall tax – the Energy Profits Levy – which they argue means the North Sea has lost some of its appeal in recent years. …

The Scottish Greens said 80% of the oil from the North Sea was shipped overseas, therefore it was “doing very little to improve our energy security”.

Worth reading in full.

Richard Eldred is an Associate Editor of the Daily Sceptic. He spent close to two decades working in broadcast journalism in Hong Kong before returning to the U.K. in 2022. This article was first published HERE