HC Deb 07 April 1978 vol 947 c249W
Mr. Campbell

asked the Secretary of State for Energy what recent progress has been made in participation negotiations with companies involved in North Sea oil development.

Dr. J. Dickson Mabon

, pursuant to his reply [Official Report, 9th March 1978; Vol. 945, c. 771], gave the following further information:

The Secretary of State for Energy, the British Oil Corporation, Phillips Petroleum Company, American Petrofina Exploration Company, Agip (UK) Ltd., Century Power and Light Ltd., Ultramar Exploration Ltd. and the British Electric Traction Company Ltd., today signed a definitive agreement which provides for majority State participation in the Maureen discovery in Block 16/29a. The agreement will become fully effective when commercial development of Maureen is initiated and its main provisions will be applied also to any further fields on the United Kingdom Continental Shelf that the companies may develop under their 1st to 4th round licences.

Under the agreement BNOC will have an option over up to 51 per cent. of each company's share of Maureen petroleum production against payment of market price. BNOC will become a co-licensee with the companies and will have an effective voice and vote on all operating committees.