The UK Oil and Gas Authority (OGA) has opened another investigation into a possible breach of field production consents, contrary to the requirements of the licences.
The investigation follows an enquiry which concluded that there was sufficient initial evidence to merit a full investigation into a potential failure to comply with such consents. This marks OGA’s third sanctions investigation against North Sea operators this year.
Thw OGA said it will now among other things gather and assess further information to enable the OGA to reach a decision, offer the company concerned the opportunity to provide written representations and decide how the case should be resolved.
The latest probe follows last year’s thematic review which examined compliance in six areas of interaction between the OGA and licensees and identified some very good, and improving, practice, but also noted the need for further improvement and warned that sanctions could follow in cases where breaches were found.
The OGA recently fined energy giant BP £50,000 ($69,000) and served it with a sanction notice for breaching a licence condition by failing to report the progress and results of two extended well tests.