The UK’s newest gas field was today officially opened by Amber Rudd MP, the UK Government Secretary of State for Energy.
The inauguration of the Laggan-Tormore gas fields took place at the new Shetland Gas Plant into which the fields will feed in before being processed and transported into the grid.
The gas field, 125km west of the Shetland Islands, is operated by Total with SSE owning a 20% stake. It began producing gas in February this year.
Jim Smith, SSE Managing Director of Generation and Patrick Pouyanné, Chairman and CEO of Total joined Ms Rudd for the opening ceremony. Ms Rudd said it was good news for North Sea production. She said: “This vote of confidence in the offshore oil and gas industry is great news for the Shetland Islands and for the UK as a whole, creating jobs and providing secure, affordable energy to the UK’s families and businesses for decades to come.
“North Sea oil and gas is crucial to our energy mix and this Government is clear that the broad shoulders of the UK are firmly behind this vital industry and the thousands of workers and families it supports. We are 100% committed to helping our oil and gas industry attract investment, unlock new potential and remain competitive for the future.”
The Laggan-Tormore fields are now running at full capacity, producing 90,000 barrels of oil equivalent per day. This will help to secure energy for SSE’s customers and help meet the needs of SSE’s gas-fired power stations contributing to security of electricity supply. The nearby Edradour and Glenlivet fields being developed by the same partners are expected to start in 2017 and 2018 respectively keeping production at peak rates through to 2020.
SSE’s Managing Director of Generation, Jim Smith said: “We are proud to be a partner in the ground breaking Laggan-Tormore gas fields and the new Shetland Gas Plant. SSE has a long-standing relationship with the Shetland community which we are pleased to extend.
“As well as helping to meet the needs of SSE and its customers, the gas from these fields will make a significant contribution to the security of gas supply in the UK."
SSE acquired a 20% interest in July 2015 from Total E&P UK Limited in these four gas fields and surrounding exploration acreage approximately 125km north west of the Shetland Islands, collectively known as the Greater Laggan Area.
In addition to helping meet SSE’s gas demand requirements, the acquisition represents SSE’s focus on maintaining a balanced range of energy businesses across its portfolio. SSE also owns a 20% interest in the new Shetland gas plant where the gas will be processed before transportation to the mainland.
It completes its E&P portfolio which also includes a 50% stake in the Sean gas field in the Southern North Sea which is operated by Oranje-Nassau Energie .