After global oil prices slumped dramatically in 2014, many energy giants such as Shell and BP decided to sell off their “mature assets” in the North Sea.
Now, the operation of aging fossil fuel infrastructure in the once profitable region is increasingly being taken over by privately listed companies, analysis by DeSmog UK shows — raising concerns over transparency and accountability in the region.
Four of the five largest sales since 2015 have been to privately listed companies, DeSmog UK has found, with three of those backed by money from US private equity firms.
Whereas companies listed on public stock exchanges are accountable to their shareholders and the public – through legal requirements such as annual reports and corporate financial disclosure – privately held companies have fewer legal obligations and can aggressively pursue long-term profit.
