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Douglas Central MHK sceptical over Crogga's operations and Island impact

Thomas has questions about energy firm in HoK today

A Douglas Central MHK says he has growing scepticism about whether an energy firm's operations align with the Isle of Man's best interests.

Crogga has received multiple licence extensions as it seeks approval to drill an appraisal well before completing a 3D seismic survey.

Chris Thomas has accused the company of attempting to exploit the Island by misleading both the public and politicians.

He’s also raised doubts about the accuracy of its claims to the North Sea Transition Authority:

In response Crogga told Manx Radio:

"Crogga Limited is the IOM Government’s chosen contractor to appraise, develop and produce the Isle of Man’s only known natural gas field, now known as the Crogga gas field. 

"The independence appraisal well is planned for 2026 to determine whether or not the Crogga gas field is commercial. 

"If commercial then the Crogga scoping case shows that gas sales could result in tax and royalty payments to the Manx Treasury of £2.8 billion over a 19-year life-of-field period as presented to the Energy Policy Board by the Crogga Board in June this year.  

"Crogga (UK) Limited acquired 100 per cent of the interest in UKCS Block 110/9c from Burgate Exploration & Production in July 2024. 

"Block 110/9c is a sub area of UKCS Licence P2490. 

"The assignment was approved by the NSTA (North Sea Transition Authority) in October 2024. 

"For reference many UKCS Licences are divided into sub areas with different operators. 

"Crogga (UK) Limited has appointed Three60 Energy as Well Operator for Block 110/9c who are now completing the procedure for formal appointment as well operator by NSTA. 

"Crogga plans to drill the Ronaldsway appraisal well in Block 110/9c during 2026 as the first part of a two well back-to-back drilling programme along with the Independence appraisal well in Manx waters.  

"Success with both wells would lead to two new gas field developments (Ronaldsway in UKCS waters and Crogga field in Manx waters). 

"Equally should the appraisal wells show that either or both of the gas fields are uncommercial then development will not proceed.  

"Both appraisal wells (Ronaldsway and Independence) are risk investments to determine commerciality or otherwise."

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