The move would appear to spell an end to the possibility that Brenda would be tied back to Kerr-McGee's proposed Dumbarton project to the north.

Both Dumbarton and Balmoral were cited as potential host facilities for Brenda when Oilexco filed its environmental statement with the British government recently.

The heads of agreement with CNR covers production from Brenda, located in Block 15/25b, being fed to Balmoral 10 kilo-metres away.

Oilexco