Jackdaw gasfield approval expected this month, sources say

Jackdaw gasfield approval could be granted by UK ministers this month, according to government sources, with a separate decision on the larger Rosebank oilfield likely later in the year.

People familiar with the process say Energy Secretary Miatta Fahnbulleh is set to recommend approval for Jackdaw, located in the North Sea off Aberdeen, as soon as next week. Formal sign-off could follow about a week later, though some officials caution the timeline could slip.

Jackdaw gasfield approval under review

At the same time, officials are exploring ways to direct any proceeds from the Rosebank project toward clean energy investment, similar to Norway’s approach. Environmental analysis of Rosebank is not yet complete, but some close to the review believe it could soon be deemed fit to proceed.

Both Jackdaw and Rosebank have become touchstones for the government’s North Sea policy. Environmental groups have urged ministers to halt the projects, while international voices have pressed the UK to expand domestic production. The energy department said the North Sea remains a critical national asset that supports jobs, economic growth and energy security, and that oil and gas will continue to play a role alongside the shift to clean power.

Public consultations on the two fields closed last month. Industry estimates suggest the projects together could supply about 10% of the UK’s oil and gas at peak output. Campaigners argue the fields would impose as much as £336 billion in economic damage through carbon pollution from the fuels ultimately burned, which they say would worsen trends already documented in research on heat-related deaths.

Both developments already hold operating licences, but their environmental approvals were withdrawn after a court ruling required operators Shell and Norway’s Equinor to account for emissions from end use of their oil and gas. The companies resubmitted environmental applications earlier this year.

Issuing environmental permits would not breach the governing party’s pledge against granting new oil and gas licences, though many of its MPs remain opposed to the projects. Since taking office, Prime Minister Andy Burnham has signaled concern about how the clean energy transition has affected workers in northeast Scotland, telling MPs this week he recognizes people have struggled with the impacts.

Officials emphasize that final decisions on Jackdaw and Rosebank have not been made. Fahnbulleh’s recommendation on Jackdaw will go to the North Sea Transition Authority, which could issue a formal decision within a week, though the process might take longer.

A determination on the £8.7 billion Rosebank development, the largest undeveloped field in UK waters with an estimated 500 million barrels of oil or oil equivalent, is expected later this year. Sources say Fahnbulleh is inclined to approve it if the environmental assessment allows, while examining mechanisms to channel project revenues into UK clean energy. One idea is to direct tax receipts to the national wealth fund earmarked for green schemes and infrastructure.

Some in government warn that redirecting revenues may be complicated because approvals are already advanced, which could create legal hurdles, and the Treasury has already counted the expected income in its forecasts. Any reallocation would require the chancellor, John Healey, to adjust spending elsewhere.

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