LONDON, May 4 (UPI) -- Huge taxes imposed by the British government on oil companies working in the North Sea are driving them away, an investor said.
Energy leaders are pressuring the British government to get rid of a levy they say is hurting the potential for one of the best energy resources in the world.
Bill Transier, chief executive at North Sea investor Endeavour International, said high taxes meant working under British rules in the region made it riskier than doing business in West Africa or the Middle East.
"The North Sea is the second-largest oil-producing region in the world after Saudi Arabia," he told The Daily Telegraph newspaper in London. "It's a national treasure for the United Kingdom. The government is utterly destroying that."
British energy companies BP and Royal Dutch Shell declared a $1 billion hit on profits because of the tax, the newspaper adds. Meanwhile, Chevron, Exxon Mobil and ConocoPhillips are having a tough time selling North Sea fields because taxes make the region unattractive.
British Energy Secretary Chris Huhne is defending the levy as his country struggles to increase energy security.
