Equinor Warns UK Could Become 'Uninvestable' If Rosebank and Jackdaw Oil and Gas Projects Are Blocked

The head of Norway's state-owned energy company Equinor has cautioned that the United Kingdom may be considered an unattractive destination for future investment if the government declines to approve two major North Sea oil and gas developments. Anders Opedal, the company's chief executive, told the BBC that a rejection of new drilling at the Rosebank and Jackdaw fields would force Equinor to reassess its long-term commitment to the UK.

"The question will be: is the UK investable in the future? I hope it will not come to that," Opedal said, adding that the company would "have to take a hard view about it" should the projects fail to secure final approval. His remarks underline the growing tension between the UK's energy needs and its climate commitments as ministers prepare to make a politically sensitive decision.

Both Rosebank and Jackdaw received initial approval from the previous Conservative government, but progress was halted by a Scottish court ruling. Environmental campaigners successfully argued that consent had been granted without sufficient consideration of the developments' impact on the climate. A public consultation on the two sites closed in August, and the final decision now lies with Energy Secretary Miatta Fahnbulleh.

The government has sought to strike a careful tone. A spokesperson described the North Sea as a "vital national asset" and said oil and gas would "continue to play an important role in our energy system for decades to come – alongside transitioning to clean power to protect jobs and tackle the climate crisis." The spokesperson added that any decision would take into account "all relevant evidence, including environmental assessments and public representations received during the consultation process."

The stakes are considerable. Britain's domestic production of oil and gas is forecast to halve by 2035, while rising energy prices have reignited debate over the country's energy security. The UK already sources half of its gas from Norway, whose government has continued to award fresh exploration licences in its own sector of the North Sea. Equinor expects production to hold steady at current levels until the middle of the next decade.

Rosebank, located in the North Atlantic roughly 80 miles north-west of the Shetland Islands, is the largest undeveloped oil and gas field in the UK, with estimated reserves of up to 500 million barrels. Opedal pointed to the project's long history, noting that the exploration licence was first awarded in 2001, the discovery was made in 2004, and the final investment decision was taken in 2023.

Jackdaw, meanwhile, is said to be "99% complete," according to Adura, the joint venture between Equinor and Shell that operates both fields. Aberdeen-based firm Ithaca also holds a 20% stake in Rosebank. Adura has indicated that if approval is granted soon, Jackdaw could begin supplying gas to UK households as early as this winter.

Opedal expressed cautious optimism that Prime Minister Andy Burnham's stated commitment to a "pragmatic approach to oil and gas" would result in both projects being cleared. He nevertheless described the current uncertainty as "an uncomfortable position to be in." He also argued that the UK could produce more of its own energy, calling the situation "a political choice." The North Sea industry, he noted, began on the UK side, and the same geology extends across the maritime border, with several fields straddling it.

Opposition to new drilling remains fierce. Tessa Khan, executive director of Uplift, an organisation campaigning for the UK to move away from fossil fuel production, said developing Rosebank "won't cut our bills" and represented a "bad deal for Britain." She argued that the project is "overwhelmingly oil for export" and would enrich Equinor and its part-owner, the Norwegian government, while leaving Britain with high energy costs and a shrinking workforce. Khan also warned that Labour's "climate credibility is on the line."

The decision facing the Energy Secretary is emblematic of a broader dilemma: how to balance immediate energy security and economic considerations against legally binding climate targets. The Labour government pledged in its election manifesto to ban new oil and gas licences, yet it now finds itself weighing approvals for fields that could deliver domestic gas within months. Any outcome is likely to draw intense scrutiny from industry, environmental groups, and international investors alike.

For Equinor, the question is not only about these two fields but about the wider signal the UK sends to foreign investors. Opedal's warning suggests that a rejection could deter not just Equinor but other companies weighing long-term commitments in British waters. With the North Sea basin maturing and global competition for energy investment intensifying, the government's forthcoming verdict may shape the UK's energy landscape for years to come.