Backgroud

Shearwater lies in the Central Graben area of the central North Sea, approximately 200km east of Aberdeen in 90m (995ft) of water. The Shearwater platform is located 140 miles east of Aberdeen, and currently uses the Shearwater Elgin Area Line (SEAL) to flow dry gas to the Bacton Gas Terminal. December 10, 2018, Shell has made the final investment decision (FID) for the Shearwater gas infrastructure hub in the UK North Sea. Apr 25 2019, Shell is reported to be in talks to buy BP's stake in the Shearwater oil and gas field in the British North Sea for around $250 million.

Brief Introduction

Location of oil field: 225 kilometres (140 miles) east of Aberdeen, Central North Sea

Block: 22/30b

Export Method: Gas piped via 34” SEAL pipeline to Bacton via a 463km (288 miles) line. Oil via 24” GAEL pipeline into the Forties pipeline then onto Cruden Bay and Grangemouth

Gas treatment facilities: Gas sweetening process, dehydration process and then NGL recovery system prior to export

Current rights and interests

Shell: Operator with 28% interest

BP: 27.5% interest

Exxon Mobil: 44.5% interest

Expected workload

Shell, the field's operator, announced plans last year to expand a gas hub around Shearwater, including the construction of a new pipeline. Dry gas produced by the Shearwater platform currently flows via the Shearwater Elgin Area Line (SEAL) pipeline to Bacton, on the east coast of England. As part of the newly sanctioned project, the Shearwater platform will be modified and a 23-mile (37-kilometer) pipeline from the Fulmar Gas Line (FGL) to Shearwater installed, enabling wet gas to flow into the Shell Esso Gas and Associated Liquids (SEGAL) pipeline. The gas will initially be processed at the St Fergus plant in Scotland prior to onward transmission of natural gas liquids (NGLs) to the Fife Natural Gas Liquids plant (FNGL) and Fife Ethylene Plant (FEP) at Mossmorran where they will be separated and exported to customers.