Hartshead Resources is reviewing Phase 1 development plans due to proposed UK Labour Party tax policy changes affecting the gas sector.
The party suggests raising the energy profits levy to 38%, resulting in a 78% total tax rate on gas profits, and eliminating the investment allowance on the EPL.
Softening UK National Balancing Point gas prices, combined with uncertainties from the proposed changes, impact project feasibility and contract awards.
Hartshead CEO Chris Lewis expresses concern about potential capital flight and job losses in the UK energy sector.