Hartshead Resources (HHR) has announced a pause in procedural timelines under the Joint Operating Agreement (JOA) with RockRose Energy regarding their UK Southern Gas Basin Licence P2607. This pause, initiated by RockRose, extends for 28 days and can be prolonged by mutual consent, to facilitate ongoing commercial discussions in good faith. The core issue revolves around contractual matters related to the proposed development Programme and Budget, submitted by Hartshead on February 7, 2025, which included a revised export route via the Saturn Banks pipeline system.
Hartshead has voiced its support for a commercial resolution, emphasizing its constructive engagement with RockRose to forge a unified path forward. Simultaneously, Hartshead is preserving its legal rights under the JOA. The announcement assures stakeholders that the market will be updated as discussions progress, underscoring the company’s commitment to transparency during this negotiation phase.
P2607 holds significant potential, with gross reserves estimated at 145 Bcf of sales gas and 0.192 MMbbl of condensate (2P). The larger portfolio of licenses held by Hartshead contains substantial contingent and prospective resources, including the Hodgkin and Lovelace fields. Hartshead’s strategy centers on developing projects that meet Europe’s growing energy demands while supporting the transition to a low carbon future.
The temporary standstill reflects the complexities inherent in large-scale energy projects, especially those involving multiple stakeholders and evolving market dynamics. A successful resolution will be crucial for unlocking the value of Licence P2607 and advancing Hartshead’s broader European energy strategy.
