Three of the world’s largest oil and gas companies — BP, Shell and Total —are carrying out conceptual studies into a potential large-scale project to power UK central North Sea platforms with green electricity.

Well-placed sources suggested that the scheme would involve power being cabled over the seabed for long distances, with supply from Norway among the options, as well as domestically produced electricity and power from UK offshore wind projects.

Upstream understands that, while the joint study work is still in its early days, the project has recently been accelerated amid growing public concern about climate change and greater scrutiny being placed on oil and gas operators' greenhouse gas emissions.

It is understood the project is being supported by the UK's Oil & Gas Authority (OGA).

Among the facilities that could benefit if the project becomes a reality are BP’s ETAP hub, Shell’s Shearwater complex and Elgin-Franklin, operated by Total.

Industry sources with knowledge of the project said that the work done so far has been “encouraging”, but cautioned there is no guarantee yet that a range of technical, regulatory and commercial hurdles can be overcome.

Gas-fired and diesel power generation accounts for the majority — on average 74% — of greenhouse gas emissions from UK oil and gas platforms, according to trade association Oil & Gas UK’s (OGUK's) 2019 environment report.

One source described being able to power offshore facilities with electricity from shore as the “biggest single impact that you can have in reducing the carbon footprint of an asset”.

Some high-voltage, direct current (HVDC) power-from-shore systems have been developed to help run platforms off Norway, notably at Equinor’s giant Johan Sverdrup development and BP’s Valhall facilities, but this has not yet been achieved off the UK.

Phase one of Johan Sverdrup uses a 100-megawatt HVDC power-from-shore system running over a distance of about 140 kilometres from the coast to the platform.

As a comparison, Upstream understands the amount of power required for the UK scheme could be as much as 200 MW and cables might have to run over a distance of about 350 kilometres.

One challenge also facing the UK scheme is to make the extensive brownfield modifications that would be required — as opposed to incorporating the technology at the outset in a greenfield scheme — economically viable.

However, this has already been done off Norway.

Eight years ago, BP replaced the gas turbines at its five Valhall platforms with a 292-kilometre light cable link that now supplies 78 MW of power from the Norwegian mainland to meet the field’s electricity needs.

The sources also pointed out that it is as yet unclear if current UK and European Union regulations would need modification to allow power-from-shore schemes to work off the UK although this is being explored.

Earlier this year the OGA launched a project to examine what more needs to be done from a regulatory perspective to help the oil and gas and offshore renewables sectors forge closer ties.

That project will conclude in spring 2020.

“It’s not about the upstream sector deciding on its own this will happen. It will take lots of parties to come together. It’s very joined up,” said one the sources.

Greenhouse gas emissions from the running of UK oil and gas platforms currently stand at about 14.5 million tonnes per annum, or about 3% of the UK economy’s total output.

Shell, BP, Total and the OGA were all unavailable for comment as Upstream went to press.

The UK offshore industry was told earlier this year it must “fully embrace” electrifying its oil and gas platforms to contribute to the country’s ambitious carbon reduction targets and attract investment while also maintaining its societal licence to operate.

That assertion was made by Andy Hessell, managing director of North Sea midstream infrastructure operator Kellas Midstream, at the Offshore Europe conference in Aberdeen this August.

Hessell said that, while the industry is well-placed to help in developing important technology to trap and sequester carbon emissions — such as carbon capture, utilisation and storage — just as pressing a priority is “to get our own house in order” in terms of cutting greenhouse gas emissions from operations.

Earlier this year, the UK government — in a first for a G7 country — committed to have net zero carbon emissions by 2050.

The UK government’s independent climate advisers have said the industry can afford to emit only 500,000 tonnes per annum in a net zero world.

According to OGUK, in terms of carbon intensity, this would mean going from 24,000 tonnes of carbon dioxide equivalent for every 1 million barrels the UK industry produces to less than 4000 tonnes of CO₂ equivalent — an 85% improvement.

OGUK policy director Mike Tholen said he was unable to comment specifically on any projects, but added: “We know that the majority of emissions from production operations come from power generation and so there’s a real incentive to work across industry to electrify the North Sea using renewable sources.”

Tholen said that with the right technology, support and framework, achieving the ambitions set out in the industry’s Roadmap 2035 blueprint for the future of the sector “could be a game changer for emissions reduction”.

“OGUK is working closely with our members to identify practical steps we can take to enable this,” he said.

Low Carbon

Heavy hitters look at green power for North Sea