Fresh North Sea Oil and Gas Find Heaps Pressure on Miliband’s Drilling Ban
London — An additional 1.1 billion barrels of oil and gas have been discovered in the North Sea, according to new figures from the North Sea Transition Authority (NSTA) — a revelation that is likely to reignite debate over Energy Secretary Ed Miliband’s ban on new exploration licences.
The NSTA’s latest Reserves and Resources Report suggests that the UK’s remaining potential reserves now total 15.8 billion barrels, up from 14.7 billion previously estimated. The revision stems from fresh geological data collected under the 33rd licensing round in 2022, before the current Government halted new drilling approvals.
The findings are expected to deepen divisions over the future of Britain’s domestic energy sector. Industry leaders argue that Labour’s stance is driving away investment and risking thousands of skilled jobs, while environmental groups support the ban as essential to meeting the UK’s net zero commitments.
“This NSTA report shows that there are at least 11 billion barrels of oil and gas that could still be developed in the North Sea,” said Martin Copeland, Chief Financial Officer at Serica Energy. “With the right policy changes and tax regime, the UK could effectively be self-sufficient in the energy it needs before 2050.”
Daniel Slater, an energy analyst at Zeus Capital, said the updated figures “significantly change the picture,” highlighting the remaining potential of the North Sea in supporting “UK economic activity, energy security, jobs and tax revenue.”
The NSTA report estimates that approximately 48 billion barrels of oil and gas have already been extracted from UK waters over the past five decades. It classifies remaining resources into three categories:
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Proven reserves: 2.9 billion barrels
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Contingent resources: 5.3 billion barrels (less certain)
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Prospective resources: 15.8 billion barrels (requiring further exploration)
It is the latter category that has expanded most — by 31% since the end of 2023 — largely due to data gathered from the 2022 licensing round.
However, the regulator cautioned that not all these resources will be commercially viable. Some lie in deep or technically challenging areas that may be too costly to exploit under current market conditions.
Critics of Labour’s policy, including Shadow Energy Secretary Claire Coutinho, argue that the UK is missing out on potential domestic supply:
“Right now, we are paying billions to Norway for the same fuel we could be drilling ourselves — that is mad,” she said.
Reform UK’s energy spokesman Richard Tice also weighed in, vowing to reverse what he called “hugely damaging” energy policies if his party were to enter government.
A Department for Energy Security and Net Zero spokesperson defended the Government’s position, stating:
“Issuing new licences to explore new fields will not take a penny off bills, cannot make us energy secure, and will only accelerate the worsening climate crisis.”
