Shell has resumed production at the Penguins field in the UK North Sea using a new floating production, storage, and offloading (FPSO) vessel.
Shell operates the field with a 50% stake, while NEO Energy holds the other 50%. Previously, the field exported via the Brent Charlie platform, which stopped production in 2021 and is now being decommissioned.Peak production at the Penguins field is expected to reach around 45,000 barrels of oil equivalent per day (boed), with an estimated recoverable resource of approximately 100 million boe.
While primarily producing oil, the field will also generate enough gas to supply heating for about 700,000 UK homes annually.The new FPSO is designed to have about 30% lower operational emissions than the Brent Charlie platform and could extend the field’s lifespan by up to 20 years.“The UK currently depends on imports for a significant portion of its oil and gas needs,” said Zoë Yujnovich, Shell’s Integrated Gas and Upstream Director.
“Penguins provides a secure source of domestic energy, and this FPSO demonstrates our commitment to investing in competitive projects that deliver greater value with lower emissions.”Although oil from Penguins will be transported by tanker to refineries outside the UK, some of these refineries supply refined products, such as petrol and diesel, back to the UK due to its limited refining capacity.
Natural gas will flow through an existing pipeline to the St Fergus terminal in northeast Scotland, supplying the UK’s gas network.The Penguins redevelopment includes new wells tied to the FPSO. Located 150 miles northeast of Shetland in 165m (541ft) of water, the field was discovered in 1974 and produced from 2003 to 2021.
