The UK government is expected to decide on whether to approve oil and gas production at Rosebank, the country's largest known untapped oil field, before Christmas, according to sources cited by BBC News. The decision by Energy Secretary Miatta Fahnbulleh comes after the government granted consent for the Jackdaw gas field in the North Sea, but Rosebank presents a more contentious case. Owned by Adura and Ithaca, with Adura holding an 80% stake as a joint venture between Shell and Norwegian state energy firm Equinor, Rosebank is larger than Jackdaw and would generate higher greenhouse gas emissions, whilst potentially being more lucrative for its owners.
The project's path has been turbulent. Consent for Rosebank was first granted under the Conservative government in 2023, but in 2025 the Court of Session in Edinburgh ruled that approvals for both Rosebank and Jackdaw were unlawful because they failed to account for the climate impact of burning the fossil fuels. Judge Lord Ericht permitted developers to continue preparatory work while providing more detailed environmental assessments. The Rosebank field contains an estimated 300 million to 500 million barrels, potentially supplying 25 years of production. According to Adura CEO Neil McCulloch, gas from the field could heat 500,000 British homes at peak production, with gas piped to Shetland and on to the St Fergus terminal in Aberdeenshire.
Environmental campaigners remain opposed. Tessa Khan, executive director of Uplift, argued that Rosebank would be 'a disastrous decision and a terrible deal for ordinary people across this country', urging Prime Minister Andy Burnham to prioritise renewables instead. Khan also contended that approving a major new oil field would damage investor confidence. Supporters counter that Rosebank will generate millions in tax for the Treasury and argue that UK and European energy markets are co-dependent. McCulloch suggested approval could pave the way for four further gas developments in waters west of Shetland: Tornado, Tornado East, Tobermory and Suilven.
The broader energy landscape shows structural decline. Oil production peaked a quarter of a century ago, and recently jobs in oil and gas have been disappearing faster than positions are being created in renewable energy such as wind and solar. The 122 workers on the Petrojarl Rosebank vessel, the floating production, storage and offloading installation 80 miles north-west of Shetland, face an uncertain future. For borrowers and businesses, approval would mean continued North Sea investment and potential gas price implications, whilst rejection would accelerate the sector's transition away from fossil fuels.