BP delays Scotland gas field work over Iran sanctions

The move comes following an announcement earlier this month that the US is pulling out of the landmark 2015 nuclear deal and imposing new sanctions on Iran.

MENA

1 min read

The New Arab

22 May, 2018

The Rhum gas field accounts for five percent of all UK gas production. [Getty]

BP has halted work on its Rhum field in the North Sea in Scotland in order to seek clarity over US sanctions on Iran.

The move comes after an announcement earlier this month that the US is pulling out of the landmark 2015 nuclear deal and imposing new sanctions on Iran.

BP co-owns the Rhum field with the Iranian Oil Company (IOC), although the oil giant is in the process of selling its stake to Serica energy.

Both companies said they remain committed to the deal, which will be completed later in 2018.

The Rhum gas field accounts for five percent of all UK gas production. The new well would increase the amount of gas flowing to mainland the UK.

The Rhum field was shut down in 2010 because production could have been violating European Union sanctions against Iran.