Apache, the US oil firm that took over the Forties oilfield from BP in 2003, has announced plans to bring forward the shutdown of the North Sea field by 11 years. The company has cut its spending plans for Forties by over £200 million and now intends to cease production at the field in 2026. This decision marks a significant shift from the previous plan, which aimed to keep the field operational until 2037 with substantial capital expenditure. The accelerated timeline and spending reduction are being contested in court by former operators and partners, which may require the plans to be redrawn.

The details of Apache's decision to end Forties were revealed in a legal case between Apache, as the operator of the field, and current and former partners, including NEO Energy, Esso Exploration and Production, Shell, and BP. The court case focused on the construction of a Decommissioning Security Agreement (DSA), which determines the parties' obligations for covering decommissioning costs. The disagreement arose due to Apache's inclusion of inflation in the cost calculation, which was contested by Esso, Shell, and BP. The judge ruled in favor of the partners, instructing an independent expert to develop a plan that aligns with the ruling.

While Apache is making an appeal against the judgment, the uncertainty surrounding the legal proceedings raises questions about whether the accelerated timeline for the shutdown of Forties will proceed as outlined. The recent decision by Apache to cease drilling in the North Sea, citing the UK Government windfall tax, further complicates the future of the field. Forties has been a significant contributor to North Sea production since its inception over 50 years ago, and its closure marks the end of an era for the region. The decommissioning process for Forties, which involves the removal of five platforms, will be a substantial undertaking that spans several years.