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Energy

Shell, Ithaca and Equinor to face Greenpeace judicial review over Rosebank and Jackdaw fields

The legal case against Shell PLC (LSE:SHEL, NYSE:SHEL), Equinor and Ithaca Energy PLC (LSE:ITH) concerning two controversial North Sea oil and gas fields has been given permission to go ahead.

Scottish courts today granted Greenpeace a judicial review after the environmental group challenged the oil companies with the argument that emissions from burning oil and gas extracted from these fields, situated 80 miles north-west of Shetland, were unlawfully ignored during the approval process.

November 12 will be the date of the hearing, which the new UK government opted last month not to defend following a June ruling from the Supreme Court that emissions generated from fossil fuel combustion must be factored into environmental assessments.

Greenpeace's legal challenge will claim that proceeding with these projects in the midst of a climate crisis is both illegal and unsafe.

The group also argues that Rosebank's development could harm a protected marine area in the North Sea, impacting marine life.

Mel Evans, climate team leader at Greenpeace UK, welcomed the court’s decision and said the group "will continue to fight the corporate greed of fossil fuel companies".

Greenpeace also argues that these projects will not benefit UK energy security or lower household bills, as the oil and gas extracted will primarily be sold on the international market.

Rosebank alone could emit as much CO2 as 56 coal plants operating for a year, while Jackdaw’s emissions could surpass the annual output of Ghana, Greenpeace claims.

The Rosebank oil field contains an estimated 500 million barrels of oil. Greenpeace claims that developing the field would cost UK taxpayers billions in subsidies while offering limited benefits to the public.

Shell's BG International arm made a final investment decision to develop the Jackdaw gas field in 2022, predicting output could represent over 6% of projected UK North Sea gas production, enough energy to heat 1.4 million homes.

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