Production Restarted at Argyll Field

The UK's Department of Trade and Industry awarded a license to restart production from the UK's oldest offshore oilfield, Argyll, to two UK startup companies.

Energy minister Brian Wilson awarded licenses to Tuscan Energy and Acorn Oil and Gas, both recently set up to redevelop mature and existing fields on the UK's Continental Shelf. Tuscan, which will operate the block with a 65% stake, said it hoped to tap into an estimated 40 million barrels of proven and probable oil reserves. Argyll was opened in 1975, but was abandoned in 1992 after producing 100 million barrels when it was no longer economic to recover the remaining oil.

Tuscan expects to spend US $79 million with partner Acorn to redevelop Argyll and another two oilfields on block 30/24.