The UK government is expected to announce a long-awaited decision on the Jackdaw gas field on Wednesday morning, with approval widely believed to be the outcome in Westminster.
Energy Secretary Miatta Fahnbulleh is expected to address MPs in the afternoon. It is widely believed that Jackdaw will be approved but that a decision on the Rosebank oil field will not yet be made.
Prime Minister Andy Burnham has spoken repeatedly of the need for a "flexible" approach to energy and is believed to favour drilling more where licensing already exists in the North Sea. Labour's 2024 manifesto pledged not to issue any new oil and gas licences in the North Sea but to honour existing ones such as Jackdaw.
Jackdaw, about 150 miles (241km) east of Aberdeen, is a gas field that its operators say could be connected to the UK network within months. Rosebank, about 80 miles (129km) north-west of Shetland, is Britain's largest untapped oil field and would also produce some gas.
The controversial fields have been the subject of years of debate, legal wrangling and public consultations, with arguments from industry bodies and environmentalists weighed by the government. Licences for the fields were granted by the Conservative government in 2022 and 2023, which sparked legal challenges from environmental groups.
The Court of Session in Edinburgh ruled last year that Rosebank and Jackdaw had been unlawfully approved because the government had failed to take into account the climate impact of burning extracted oil and gas from the sites.
Environmentalists insist more drilling would be unconscionable and would hamper efforts to cut planet-warming carbon emissions as deadly heatwaves and extreme weather affect people across the globe. They also argue starting production would not protect energy security, and that transitioning sooner to greener technologies would be better for supporting jobs.
Industry bodies argue that starting production at Rosebank and Jackdaw will provide jobs and improve the UK's energy security as overseas conflicts threaten supply.