Viaro Energy's subsidiary Rockrose UKCS 10 Ltd has struck a deal to sell its 28% non-operated stake in the Foinaven offshore oil field, west of Shetland, to BP.
The Foinaven oil field sits 190 kilometers west of Shetland in water depths of between 350 and 520 meters and is operated by BP.
The field was discovered in 1990 and sanctioned for development in 1994. It was the first deepwater development on the UKCS and the first west of Shetland. First oil from the field was in November 1997.
The Foinaven area comprises the Foinaven and Foinaven East fields, located 160 kilometers (100 miles) west of Shetland in water depths of up to 600 meters.
Viaro Energy said that the completion of the sale of its Foinaven stake to BP is expected in Q1 2022. It did not provide financial details.
Chief Executive of Viaro, Francesco Mazzagatti, said: "The Foinaven field is an iconic development in the UKCS and we are proud to have played a part in its story. We have established a very strong production base and continue to seek opportunities to build our portfolio further as we pursue further growth in the UKCS.”
In April 2021, BP suspended production from the Foinaven fields, as the long-serving FPSO Petrojarl Foinaven through which the fields are producing oil is nearing the end of its 25-year design life, and will be removed from site.
While the FPSO will be removed, it's not the end for the Foinaven fields. Namely, given that there's an estimated 200 million of oil still in the area, BP and its partners are looking at options on how to produce what's left.