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13 January 2025

Daily Newsletter

13 January 2025

NSTA fines CNOOC for unauthorised venting in North Sea’s Buzzard field

NSTA sanctions for flaring or venting consent breaches have reached £825,000 ($1m) since late 2022.

Tiash saha January 10 2025

The UK North Sea Transition Authority (NSTA) has fined CNOOC Petroleum Europe £125,000 ($155,110) for unauthorised venting at its Buzzard field.

NSTA sanctions for flaring or venting consent breaches since late 2022 now total £825,000.

CNOOC is the latest in a series of North Sea operators to face financial penalties for failing to adhere to agreed limits on flaring and venting, with the NSTA imposing fines on six companies over the past two years.

Other companies that have also faced fines for similar consent breaches are NEO Energy Production UK and Repsol, with penalties of £100,000 and £160,000, respectively.

These penalties are part of the regulator's broader strategy to ensure responsible asset operation and to maintain confidence in the sector's environmental stewardship.

Flaring and venting account for a significant portion of the UK oil and gas industry's offshore production emissions. Despite the necessity of these processes for safety and operational reasons, the NSTA has made it clear that efforts to minimise gas emissions must be intensified.

The regulator's OGA Plan and guidance issued in 2021 mandate licensees to actively reduce their carbon footprints.

The NSTA has also warned operators of increased fines starting from 1 January 2025, with £500,000 set as the new baseline for flaring and venting regulation breaches.

CNOOC's breach occurred when a leak on 31 May 2022 led to unignited gas venting, exceeding the annual consent for the Buzzard field. Despite acknowledging the breach, CNOOC continued operations, resulting in further unauthorised venting until 13 June. The company exceeded its annual venting limit by 435.13 tonnes of gas.

Following the incident, CNOOC cooperated with the NSTA investigation and implemented measures to prevent future breaches, including enhanced monitoring and a revised approach to consent applications.

The NSTA granted a revised consent on 14 June, allowing Buzzard to resume compliant operations.

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