Shell has abandoned plans to develop the Cambo oil field in the UK North Sea. The field had been a target of controversy for opponents that claim the project is at odds with the UK’s goal of reaching carbon neutrality by 2050.
“After comprehensive screening of the proposed Cambo development, we have concluded the economic case for investment in this project is not strong enough at this time, as well as having the potential for delays,” a Shell spokesperson said in a statement.
Private-equity-backed Siccar Point Energy, which owns a majority stake in the field, confirmed in a separate statement that “Shell has taken the decision to not progress its investment at this stage.”
The Cambo project off the Shetland Isles is estimated to hold around 170 million bbl of oil and associated gas.
Shell holds a 30% working interest in Cambo; Siccar Point holds the remaining 70% stake.