Lerwick Harbour Prepares for Equinor’s Rosebank Project Amid Controversy
Lerwick Harbour, strategically located at the crossroads of the North Sea and Northeast Atlantic, is gearing up to support Equinor’s first development phase of the contentious Rosebank oil and gas field on the UK Continental Shelf (UKCS).
The port has reported an increase in marine support operations as the summer campaign for the Rosebank project kicks off. Lerwick Harbour, a key hub for offshore field developments, has stated that the servicing of this project is progressing smoothly and according to plan.
As the weather improves into the busy summer season, activity at the British port is on the rise, marking the second year of a three-year development phase. Captain Grains emphasized the significance of such projects for the Shetland supply chain, with several local companies actively involved.
In a recent development, Balmoral Comtec, a subsidiary of the Balmoral Group specializing in buoyancy, protection, and insulation services, secured a multimillion-dollar contract with TechnipFMC to support the Rosebank project. This deal has led to the recruitment of over 50 new employees at Balmoral Comtec’s Aberdeen headquarters.
Under the contract, Balmoral Comtec will supply more than 600 buoyancy modules for the project, handling engineering, design, and manufacturing from its Aberdeen base. These modules will be installed on flexible risers and umbilicals for the project.
Challenges and Setbacks
The Rosebank project has faced numerous delays and setbacks, including legal challenges. In a recent ruling on January 30, 2025, the Court of Session in Edinburgh deemed the government’s approval of the Rosebank and Shell’s Jackdaw oil fields unlawful and overturned the decision.
Climate activists have raised concerns about the environmental impact of burning the oil and gas reserves from the Rosebank field. They argue that the emissions from these reserves could contribute significantly to global CO2 levels, exacerbating climate change.
Izzie McIntosh, a Campaigner at Global Justice Now, emphasized the need for a transition to renewable energy sources to mitigate the adverse effects of fossil fuel consumption. McIntosh highlighted the market volatility associated with oil prices and urged governments to prioritize sustainable energy solutions.
Project Progress and Future Outlook
Despite the challenges, Equinor’s partner in the Rosebank field, Ithaca Energy, has confirmed that the project is progressing according to its multi-year development timeline. The estimated first production from the field is expected in 2026/27.
The completion of a major subsea campaign and the installation of all subsea structures ahead of schedule have been notable milestones for the project. The Rosebank JV partnership is preparing to submit a downstream end-user combustion emissions assessment in compliance with government guidelines.
Looking ahead, the Rosebank project is anticipated to make a significant contribution to the UK’s oil and gas output, with substantial direct investment expected to benefit local businesses. The project aims to reduce its upstream CO2 intensity through electrification, aligning with environmental sustainability goals.
With a focus on enhancing energy security and transitioning to cleaner energy sources, the Rosebank project represents a critical juncture in the UK’s energy landscape. As stakeholders navigate the complexities of the project, the industry is poised to address environmental challenges and drive sustainable growth.