Total Settles Elgin Charges, Announces New Wells

Published Dec 22, 2015 5:28 PM by The Maritime Executive

French oil major Total has settled with U.K. authorities for fines of more than $1.6 million over an accidental release at its Elgin gas platform in the North Sea.

The release, in 2012, required the evacuation of 240 people and let go some 6,000 tons of natural gas. Favorable winds kept the gas away from ignition sources, averting disaster, but the associated gas condensates polluted surrounding waters and caused harm to marine life, authorities said. The leak took 51 days to plug.

Elgin accounts for full single digit percentages of the U.K.'s natural gas production, and it was shuttered for six months following the incident.

Most previous spill fines in the North Sea offshore industry have been in the range of $30,000, and activists were pleased that Total's penalty was stiffer. Total had entered a guilty plea in exchange for the fine issued, plus the retention of company documents as sealed evidence (not publicly available).

A Total spokesperson told media that “we regret the gas leak from the Elgin platform in 2012 and accept the fine handed down by the court . . . we also cooperated fully with the investigations carried out by DECC and the HSE. Furthermore, Total has shared the lessons learned from this incident widely across the industry and with the authorities."

Previous media examinations of North Sea environmental enforcement indicate that less than 0.2% of spills typically result in a fine.

Separately, Total announced Tuesday that it has received regulatory approval to begin drilling at its Solaris prospect in the North Sea, near ConocoPhillips' Ekofisk field. The jackup Maersk Gallant has been contracted for the work.

The company also recently announced commencement of exploration at its Uptonia field offshore Norway. Ocean Rig's semi-submersible Liev Eiriksson is drilling in 1200 feet of water to determine the field's potential. Both Seadrill and Transocean had been said to be competing for the contract.