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Power plant boost for North Sea oil

Oil barrels 2by3

North Sea energy production has been boosted with the go-ahead for a critical power plant in Scotland.

The Scottish Government gave consent for the construction and operation of the combined heat and power plant at BP Kinneil Terminal in Grangemouth.

Energy giant BP’s Kinneil Terminal processes more than a third of the oil brought to the Grangemouth complex from the North Sea via the 1M-barrel-capacity Forties Pipeline System.

The new gas-fired, 159MWe plant will provide heat energy to drive the oil separation process at the terminal.

Energy minister Fergus Ewing said: “This proposed development will provide welcome long-term security of service to developers of new oil and gas fields at an otherwise challenging time for the wider oil and gas industry. There is consensus across stakeholders that we must retain critical infrastructure to ensure the long-term viability of the North Sea oil and gas industry.

“There is a long term sustainable future for the North Sea – which will be supported by investments such as these at BP Kinneil Terminal – and we are committed to using every lever at our disposal to support the industry through this challenging time.”

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