US renews Serica’s North Sea field sanction exemption

UK-based upstream oil and gas player Serica Energy has secured an extension of a sanction waiver from the United States Office of Foreign Assets Control (OFAC) for its field in the UK sector of the North Sea.

According to Serica, the OFAC license and secondary sanctions assurance for the Rhum field have been extended by two years, ending on February 28, 2027. The previous two-month extension was set to expire on March 31, 2025.

As explained, the license and assurance permit certain U.S. and U.S.-owned or controlled entities, and all non-U.S. entities, to continue providing goods, services, and support to the Rhum field. It was required because Serica’s 50:50 partner in the field, Iranian Oil Company (UK), is on OFAC’s Specially Designated Nationals and Blocked Persons (SDN) list.

The Rhum gas field is part of Serica’s hub consisting of Rhum, Bruce, and Keith fields. The assets comprise over 25 wells, three bridge-linked platforms, and extensive subsea pipelines and infrastructure that tie-in Rhum, Keith, and the Western Area of Bruce to the Bruce facilities. Serica says these assets produced an average of 19,800 boe/d collectively in 2024.

Rhum is located in block 3/29a, 44 kilometers north of Bruce. It features three subsea-producing wells, R1, R2 and R3. Changes to the subsea pipeline system were carried out in late 2024, which the operator expects will increase reliability.

Serica recently commenced drilling operations at the GE05 well in its multi-well drilling campaign and work-over program in another North Sea field, Gannet.