The Scotsman - Business - Shell to sell North Sea assets

At this point, Shell has only announced that it plans to put three mature (translation: largely drained) fields - Auk, Fulmar, and Dunlin, which includes the smaller Merlin and Osprey fields - up for grabs. The fields only account for about 2 percent of Shell's UK output. And, just with this, some people are jumping for joy that the little guys will finally have a chance to get their hands on some oil fields.

What a day and age we live in.

Shell has previously announced that it wants to raise billions and billions of dollars in the next couple of years by selling off assets - and with barrel prices as high as they are right now they're apparently finding no shortage of wannabe buyers. This small offering is therefore almost certainly only one of several oil field auctions to come.

An excerpt from the title-linked article by John Bowker, deputy city editor at The Scotsman:

Oil consultant Charles Westwood noted that the high oil price made it a "sensible time" to be hiving off assets and the $50-plus average is expected to tempt firms from across the globe. Of existing North Sea players, Paladin and Canadian firm Talisman are certain candidates, while the auction will also attract new independents.

Graham Tran, of union Amicus, welcomed the move, saying it was key that the North Sea was "in the hands of those prepared to invest".The big three oil majors (Shell, BP and Exxon) have been criticized in recent years for sitting on assets while they explored new markets while more eager firms have been left stuck on shore.

Shell echoed the words of its union, saying the decision to put the fields on sale was in order to "unlock their potential and extend their life". Currently, all three are expected to cease production by 2012.

Uh, huh.