North Sea energy firm faces closure putting 100 jobs at risk as Ed Miliband's Net Zero plans shun drilling

Joe Sledge
Wed, 15 Apr 2026 15:13:27 +0000

Spirit Energy has informed employees that its Aberdeen headquarters faces closure by the end of the year, placing around 100 roles at risk as the gas production firm embarks on a major corporate overhaul.

Staff at the company’s base in the IQ Building on Justice Mill Lane were told on April 14 that the business intends to divide into two separate entities.

The restructuring would significantly reduce Spirit Energy’s presence in Aberdeen, with the current premises set to close permanently.

A consultation with affected workers is now underway, though the company said final decisions remain subject to this process.

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The announcement represents a significant blow to Aberdeen’s energy sector workforce, with the majority of roles at risk understood to be office-based.

Spirit Energy currently employs around 150 people in Aberdeen, a figure expected to fall to about 50 if the proposals go ahead.

Under the plans, a newly created Aberdeen-based development company would focus on advancing the Morecambe Net Zero carbon capture and storage project towards a final investment decision.

A second entity would be based in Barrow-in-Furness and oversee the Morecambe Hub fields in the East Irish Sea.

A limited number of new roles would be created at the Barrow site, while remaining Aberdeen staff would relocate to smaller premises elsewhere in the city.

Operational activity has already been largely centred at the firm’s Barrow facilities, meaning most affected employees work in administrative and support roles rather than frontline operations.

A Spirit Energy spokesman said: "We have shared with colleagues a proposal to restructure our UK organisation, separating into two independent organisations: a Barrow-based operating company, managing the Morecambe Hub fields in the East Irish Sea, and an Aberdeen-based development company, taking forward our Morecambe Net Zero carbon storage business to a final investment decision."

The consultation period will last for 45 days, with any redundancies expected to take effect by December.

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The company said the anticipated completion of its Greater Markham Area portfolio transaction with Serica Energy in the second half of 2026 had driven the need for the restructure.

Spirit Energy’s remaining assets are approaching the end of their productive lifespan later this decade, prompting the firm to realign its operations.

The spokesman added: "We are committed to supporting all our colleagues throughout the consultation process."

The announcement came shortly after comments from US President Donald Trump regarding the North Sea energy sector.

The announcement comes after President Donald Trump implored Labour to step up North Sea drilling, declaring: “Aberdeen should be booming.”

He pressed the UK to “drill, baby, drill” and has repeatedly criticised the Government’s approach to oil and gas exploration.

The President described the North Sea as “one of the greatest fields in the World” and called the current situation “Tragic!!!”

He has also claimed that Norway is selling North Sea oil back to Britain “at double the price” and renewed his call for “no more windmills.”