North Sea oil and gas company Ithaca Energy announced on Wednesday an agreement with oil major Shell UK to buy a 50 per cent interest in Tobermory gas discovery, located in the West of Shetland basin, offshore Scotland.
Following completion of the farm-in, Shell UK will continue to hold a 50 per cent stake in the Tobermory discovery and act as licence operator.
"The announcement of the Tobermory farm-in, together with the group’s existing 50/50 joint venture partnership with Shell in the group’s Tornado discovery, further strengthens Ithaca Energy’s position as a strategic partner in the area," said Ithaca.
"We are delighted to announce the farm-in to the Tobermory discovery and to continue our strategic partnership with Shell UK in the area," added Yaniv Friedman, Executive Chairman, Ithaca Energy.
"The West of Shetland represents a key basin for the group’s long-term growth, with the ongoing development of the Rosebank field and the continued progression of the Cambo and Tornado discoveries towards final investment decision.
"Our investment in the West of Shetland basin is critical not only to the UK’s Energy Security strategy, but also in supporting thousands of highly skilled jobs and our world-class supply chain and providing significant gross value add to the UK economy.”
(Reporting by Simone Lobo in Bengaluru)
