UNIAN
The UK government has ordered the company owned by a Russian billionaire Mikhail Fridman to sell North Sea petroleum licenses it acquired from the German company RWE Dea, UK newspaper The Telegraph has reported.
The UK government is concerned with the country’s energy security in connection with the acquisition of oil and gas production licenses by a Russian billionaire, the newspaper wrote.
According to the publication, such decision of the British government was made amid concerns over the UK’s energy security.
On Monday, energy secretary Ed Davey informed LetterOne – an investment vehicle controlled by Fridman – that “he proposes to revoke Dea UK’s North Sea petroleum licences unless LetterOne arranges for a further change of control of the Dea UK gas fields in the North Sea".
A spokesperson for LetterOne declined to comment.
As previously reported, in early March, the German company RWE announced the closing of sale of DEA oil and gas division to LetterOne company controlled by Fridman for EUR 5.1 billion. DEA owns several fields in the North Sea, accounting for 3-5% of gas production in Britain.
The British authorities are concerned that if the West introduces new sanctions against Russia, production on the fields will be suspended. In this regard, the UK government has already imposed an ultimatum: Fridman must prove that he has the right to the acquired fields, otherwise he will have to sell them.
The company said it would reserve the right to challenge any decision by the Department of Energy and Climate to strip it of the licenses after a review of the acquisition by Davey.