The Oil and Gas Authority (OGA) has opened an investigation into a possible breach of field production consents, contrary to the requirements of the licences.
REPRESENTATIONS
The investigation follows an inquiry which concluded that there was sufficient initial evidence to merit a full investigation into a potential failure to comply with such consents.
Among other actions, the investigation will gather and assess further information to enable the OGA to reach a decision.
It will also offer the company concerned the opportunity to provide written representations and decide how the case should be resolved.
BREACHES
The investigation follows the publication in October 2020 of the Thematic Review into industry compliance with regulations.
The review examined compliance in six areas of interaction between the OGA and licensees.
It identified some very good, and improving practice, but noted the need for further improvement and warned that sanctions could follow in cases where breaches were found.
In 2019, an OGA letter to licensees and infrastructure owners outlined the organisation’s regulatory approach.
While praising a great deal of constructive engagement, the letter noted that ‘too many issues [were] taking too long to resolve’ and warned that ‘we will be progressively more proactive in using the OGA’s powers’.