A “key step” to unlocking a major new gas production project off the Norfolk coast has been announced.
And it means potential supply chain opportunities for local companies further down the line.
Independent Oil and Gas (IOG) has signed a deal to buy Thames Pipeline reception facilities at the Bacton Gas Terminal from Perenco, Spirit Energy and Tullow Oil.
IOG aims to refurbish the pipeline and reception to access six fields in the Southern North Sea, with up to 410billion cubic feet of gas, in its flagship “Core Project”.
The major investment comes as It comes as 1.8 million cubic meters of beach are pumped onshore at Bacton to strengthen sea defences in a £22m scheme at the vital energy hub which handles a third of the nation’s gas supplies.
IOG CEO Andrew Hockey said the deal was a “key step in advancing our wider strategic and financing plans”, and would help them progress to a final investment decision as soon as possible.
It also underlines the role of Norfolk (and Suffolk) as a major national energy hub, in both offshore gas and wind, with companies continuing to invest in major offshore renewables projects – which provides opportunities to the regional supply chain.
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