In July 2024, Shell and ExxonMobil announced a deal to sell their natural gas assets in the UK Southern North Sea to Viaro Energy. However, the supermajors have now withdrawn from this sale. Completion, originally anticipated by the end of 2023, was delayed during the regulatory approval process for Viaro to become the operator. A Shell spokesperson stated the parties would not proceed as commercial and market conditions evolved, preventing the fulfillment of completion conditions.

Impact on Viaro Energy's Strategy

This failed acquisition represents a significant setback for Viaro Energy and its chief executive, Francesco Mazzagatti. Viaro had been aggressively expanding its North Sea presence, notably through the 2020 acquisition of RockRose and the subsequent deal for these Shell and ExxonMobil assets, alongside a separate pending acquisition of Deltic Energy. The company has also faced legal challenges in the UK in recent years. Despite the collapse of this major deal, Mazzagatti affirmed Viaro's commitment to its growth strategy, citing its team, funding, and ongoing opportunities. A company spokesperson confirmed it will continue to pursue the acquisition of Deltic Energy.

Asset and Regulatory Status

Following the terminated sale, the Southern North Sea assets will remain under Shell's operation and will not be integrated into Shell's newly formed North Sea Adura unit. The North Sea Transition Authority (NSTA), responsible for approving new operators, clarified its position, stating it had not yet made a final decision on Viaro's operatorship. An NSTA spokesperson noted the authority was awaiting additional information from Viaro before it could reach a decision.