An oil and gas company is being investigated for a potential breach of its licence commitments designed to boost the UK’s energy security.

This follows a recent probe into a different company suspected of not meeting seismic survey obligations on time.

The investigation by the North Sea Transition Authority (NSTA) will focus on whether the company met seismic survey and work programme commitments in line with their licence obligations and the UK’s net zero strategy.

A sanction, including a financial penalty of up to £1 million, could be imposed on the company if found guilty.

The NSTA aims to encourage exploration and production activities by licence holders, and expects them to make progress on acreage quickly, as part of the ongoing 33rd Licensing Round, which attracted 115 bids from 76 companies.

According to Jacob Blatch, the Interim Head of Disputes and Sanctions at the NSTA, while the organisation works closely with the industry to promote exploration and production activities, they will investigate instances where licensees do not make progress in fulfilling their obligations.