Two appraisal wells drilled by Equinor ASA in the North Sea about 20 kilometers (12.43 miles) east of the Troll A platform have shown a suitable reservoir for carbon dioxide (CO2) storage. Wells 32/4-4 and 32/7-1, drilled in the Alphas and Gamma areas respectively, make up a potential injection site for the “Smeaheia” project. They are the first to be drilled under exploration license EXL002, awarded June 2022, according to the Norwegian Offshore Directorate. They are also the second and third wells drilled to investigate the possibility of commercial CO2 storage in Norwegian waters, it said. The first, well 32/4-3 S, was also drilled by Equinor in 2019. Well 32/4-4 aimed to investigate whether Lower and Middle Jurassic reservoir rocks in the Alpha area, where previous drilling encountered dry exploration wells, could store CO2. It was drilled to a vertical depth of 1,879 meters (6,164.7 feet) below sea level. The water depth was 315 meters. Well 32/7-1 targeted Lower and Middle Jurassic reservoir rocks in the Gamma structure. It was drilled to a vertical depth of 2,036 meters below sea level. The water depth was 300 meters. “Formation pressure data for both wells indicate that the rocks in the Cook and Johansen formations are somewhat depleted, while the depletion increases towards the Sognefjord Formation, where it is greatest”, the Directorate said. “Extensive volumes of data have been acquired and samples have been taken from the reservoirs and cap rocks in the two wells. Four injection tests were also conducted in 32/7-1, as well as four injection tests in 32/4-4. The preliminary results are positive. “The data will now be analyzed in greater detail, and the results will form part of the basis for future investment decisions in Equinor’s ‘Smeaheia’ storage project. “The wells have been permanently plugged and abandoned”. On March 5 the Energy Ministry

The European Union has approved its latest sanctions package against Russia, targeting nearly 200 shadow fleet ships as well as addressing hybrid threats and human rights, the bloc’s top diplomat Kaja Kallas announced on Tuesday.  “More sanctions on Russia are in the works. The longer Russia wages war, the tougher our response,” she said in a message posted on X. The package includes measures targeting dozens of individuals, entities and vessels behind Russia’s shadow fleet of oil tankers, which has helped Moscow skirt the bloc’s trade and energy sanctions, Bloomberg News previously reported. The restrictions, the bloc’s 17th since Moscow launched its full-scale invasion of Ukraine, will also hit actors involved in Russia’s disinformation campaigns and hacking efforts. They will also hit companies in third countries providing Russia with machines, parts and support for its arms and drone manufacturing operations.  The EU is already at work on its next package of sanctions, its 18th, to increase pressure on Moscow to end its war against Ukraine, said European Commission President Ursula von der Leyen last week. Ideas under discussion include sanctioning banks in third countries which support Russia’s defense industry and lowering a Group of Seven price cap on Russian oil. European officials will discuss that possibility, which would require US backing, at a meeting of G-7 finance ministers in Canada this week, according to a person familiar with the matter. WHAT DO YOU THINK? Generated by readers, the comments included herein do not reflect the views and opinions of Rigzone. All comments are subject to editorial review. Off-topic, inappropriate or insulting comments will be removed. MORE FROM THIS AUTHOR Bloomberg

Perth-based SSE has shaved £3 billion from its plans to invest in its energy production and networks businesses due to a “changing macro environment” and delays to consent to phase in networks. SSE, which is the UK distribution network operator (DNO) responsible for the electricity grid network across central southern England and the north of Scotland through its SSEN Transmission business, said it would instead invest around £17.5bn in the next five years in what it described as an “evolving investment programme delivering in complex operating environment”. The adjustment came as the firm reported a £2.1bn profit for the year ending 31 March, which union leaders branded “obscene”. SSE recently announced there were 300 jobs at risk in its renewables business in the UK and Ireland. Chief executive Alistair Phillips-Davies said: “SSE continues to prove the benefits of a portfolio that is built to withstand risk and uncertainty and a strategy that is focused on creating sustainable value. “We have met our financial goals for the year and evolved our investment plans to reflect the changing world around us – leaning into the opportunities presented in networks and redoubling our capital discipline across our energy businesses. “We are particularly well placed to contribute to future energy systems in our home markets built on renewables, networks and flexibility. This opportunity, alongside our balance sheet strength and the increased proportion of index-linked revenue we anticipate, gives us every confidence in our FY27 target of 175-200p earnings per share and sustainable growth to 2030 and beyond.”# More to follow.

Oil and gas producer Ithaca has said it plans to launch a subsea construction campaign on the controversial North Sea field, Rosebank, next year and is also making plans to bring in a new partner for its Cambo project West of Shetland. The firm, which recently combined North Sea assets with Italian energy giant Eni, reported its pre-tax profits had more than doubled to $367.2 million (£273m) in the first quarter of the year as it counted record production of 127.4 kboe/d in the three months to the end of March. In its statement to the London Stock Exchange, it said: Rosebank development project progressing as planned to multi-year development timeline with 2025 Subsea infrastructure installation campaign commencing in April 2025 Cambo project technical refresh nearing completion, utilising technical capabilities of Eni, and supporting farm-out process and progression towards final investment decision (FID), subject to fiscal and regulatory certainty Further, the firm said it had achieved approval from the North Sea Transition Authority (NSTA) for its plans to develop Fotla, a central North Sea field which it took over after buying Spirit Energy’s 40% stake in 2023. Ithaca said it submitted a draft field development plan to the NSTA during April and its “awaiting environmental impact assessment guidance ahead of issuing an environmental statement”. Executive chairman Yaniv Friedman, said: “Our Q1 results demonstrate the transformational nature of the Eni UK combination, the successful integration, and operational efficiency across the portfolio. “In the period we increased our interest in the high-quality, long-life Seagull asset to 50% via the acquisition of JAPEX UK, in line with our low-risk inorganic strategic growth ambitions. “Yesterday, we announced a further acquisition of a 46.25% stake in the Cygnus field from Spirit Energy taking our operated working interest to 85%, increasing the gas weighting of our

Over 2,500 energy workers, business leaders, supply chain employees and community representatives have called for an immediate end to the punitive North Sea windfall tax to save jobs. The signatories backed an open letter to Prime Minister Sir Keir Starmer which cited the “devastating blow” of Harbour Energy’s announcement that it intends to cut its workforce by 25% in response to the damage of the government’s Energy Profits Levy (EPL). The letter points to a further 300 job losses in the supply chain over recent weeks, contributing towards 10,000 job losses overall since the EPL was introduced in 2022. It warns that Aberdeen’s energy skills base is at risk of being lost forever, putting the energy transition at risk. The lion’s share of those signing are ordinary members of the supply chain workforce, concerned for their future, as well as individuals from other industries across the north of Scotland whose fortunes depend on the future success of a vibrant energy sector. Over 70 signatories to the letter are concerned employees of Harbour Energy, alongside a number of unemployed North Sea workers whose jobs have already been cut because of a 78% tax rate on energy profits. Over 300 business leaders have signed the letter on behalf of their respective organisations, including City heavyweight Martin Gilbert and energy industry veteran Sir Ian Wood. More widely, the letter has received support from Aberdeen Cyrenians and Cash for Kids charities – organisations supporting vulnerable people and tackling child poverty in the north east of Scotland – besides a range of businesses from the retail, construction, agricultural, food and drink, manufacturing and professional services sectors. The letter was promoted by Aberdeen and Grampian Chamber of Commerce (AGCC).

Abu Dhabi National Oil Company (ADNOC) has signed a strategic agreement with Tubacex SA to localize critical oilfield technology in the United Arab Emirates. ADNOC said in a media release this deal would enhance the resilience of the UAE’s industrial base. The contract provides ADNOC with perpetual and exclusive rights to use Tubacex’s Sentinel Prime advanced tubular joint connection technology, which is essential for finishing oil and gas wells, ADNOC said. Tubacex is set to create a specialized research and development center in Abu Dhabi. This center will serve as a focal point for cutting-edge engineering and will educate highly skilled technicians locally, fostering the growth of domestic talent, according to ADNOC. “This strategic partnership secures ADNOC access to an important technology for completing oil and gas wells, reinforcing our role as a reliable global energy provider and our efforts to boost domestic manufacturing capacity”, Musabbeh Al Kaabi, ADNOC Upstream CEO, said. “We welcome Tubacex’s investment in a new research and development center in Abu Dhabi, which will enable knowledge and technology transfer, help develop local talent, and support the goals of the Make it in the Emirates initiative”. Tubulars, commonly referred to as Oil Country Tubular Goods, are specifically designed steel pipes utilized in the drilling and completion processes in oil and gas wells, ADNOC said. These components are required to adhere to rigorous standards for strength, durability, and reliability to function effectively in high-pressure, high-temperature conditions found deep underground, it said. “The licensing arrangement with ADNOC confirms Tubacex’s commitment to innovation and excellence in the energy sector and reinforces our position as a strategic contributor for major players in the industry”, Josu Imaz, Tubacex Group CEO, said. To contact the author, email [email protected] WHAT DO YOU THINK? Generated by readers, the comments included herein do not reflect the