With an estimated peak production of approximately 45,000 barrels of oil equivalent per day (boed), the Penguins field holds a discovered recoverable resource volume of around 100 million boe. While primarily producing oil, the field will also generate sufficient natural gas to supply heating for approximately 700,000 UK homes annually.

The newly deployed FPSO boasts operational emissions about 30% lower than those of Brent Charlie, effectively extending the field’s operational life by up to 20 years.

“Today, the UK depends on imports to fulfill a substantial portion of its oil and gas needs,” said Zoë Yujnovich, Shell’s Integrated Gas and Upstream Director. “The Penguins field is a critical source of secure, domestic energy, and this FPSO reflects our commitment to investing in competitive projects that deliver more value with lower emissions.”

While crude oil extracted from Penguins will be transported by tanker to refineries outside the UK, some of these refineries supply refined products such as petrol and diesel back to the UK, addressing its limited refining capacity.

Meanwhile, natural gas from the field will be funneled through an existing pipeline to the St Fergus gas terminal in north-east Scotland, supporting the UK’s national gas network.

The redevelopment of Penguins involved drilling additional wells tied back to the new FPSO. Situated in waters 165 meters (541 feet) deep and approximately 150 miles north-east of the Shetland Islands, the field was originally discovered in 1974 and produced oil and gas between 2003 and 2021.

By incorporating advanced technology and sustainable operational practices, the Penguins FPSO project marks a significant milestone in enhancing the UK’s domestic energy production while reducing its environmental footprint.