The boss of EnQuest has warned that the government is risking the “death of the UK's energy transition ambitions” with its North Sea fiscal regime.
Publishing half-year results, the company said it had delivered “exemplary production efficiency” in the UK while accelerating growth in South East Asia.
But chief executive Amjad Bseisu stressed that investment in Britain was being undermined by the Energy Profits Levy.
In the first half, EnQuest reported revenue of £428million, down 6% year-on-year, and a statutory net loss of £135million, compared to a profit of £22.5million in 2024.
Net production averaged 43,392 barrels of oil equivalent per day, with full-year guidance unchanged at 40,000–45,000 boepd.
Mr Bseisu said: “Our near-term pivot to investment outside of the UK underlines, however, how successive UK governments have made the UK North Sea globally uncompetitive through fiscal policy.
“The UK remains the only country worldwide levying a windfall tax on energy profits, in an environment where even the Office of Budget Responsibility acknowledges that prices are at, or below, historic norms and therefore no windfall exists.”
He added: “Following a well-run consultation on the future of the UK's oil and gas fiscal system, we believe that the UK Government now has a tool with which to revitalise this sector; materially increasing investment and tax revenues to Treasury, improving the UK's energy security in a volatile macro environment, and protecting jobs across the country, which are currently being lost at a rate of 1,000 per month.
“We implore the government to act now to avoid the accelerated decline of this industry and the resulting death of the UK's energy transition ambitions.”
Looking ahead, Mr Bseisu said: “EnQuest's growth strategy remains robust, with a focus on delivering a transformative UK acquisition; utilising our differentiated operating capability and significant tax asset to deliver material incremental value."