Sanctions push BP out of gas field

LONDON, Nov. 17 (UPI) -- Actions at the Rhum gas field in the North Sea are suspended in order to seek clarification on European sanctions in Iran, British oil company BP confirmed.

London's Independent newspaper last week reported that BP was taking measures to halt work at the North Sea natural gas field because there was a possible conflict of interest in terms of Iranian sanctions.


The United States and European Union in July imposed sanctions on Iran that target the country's energy sector.

BP confirmed Wednesday that it suspended work at the Rhum gas field pending clarification on EU regulations against Iran. The Iranian Oil Co. Ltd. holds a 50 percent stake in the field.

Trevor Garlick, regional president for BP operations in the North Sea, said he believed his company was complaint with EU regulations concerning the monitoring of safety and integrity of the field.

"However, the conditions required for continued production remain subject to further clarification," he said in a statement. "Once we obtain such clarification from the government, we will review the situation and will take whatever action is appropriate in light of that clarification."

The Rhum gas field produced more than 200 million cubic feet of natural gas during the first six months of 2010. That's about 1 percent of what British consumers consume during the peak heating season during the winter.


Latest Headlines