CeraPhi Energy Ltd has announced the signing of a strategic agreement with Star Energy Group plc that will enable the transition of legacy onshore oil and gas wells into sustainable geothermal energy centres across the UK.
The agreement marks a significant milestone in the UK’s energy transition, establishing a framework for the potential transfer and repurposing of non-producing wells and wellsite’s owned by Star Energy, the UK’s largest onshore oil and gas operator, into clean energy assets using CeraPhi’s proprietary CeraPhiWellTM technology. It is the first step towards developing a clear regulatory and commercial pathway, including engagement with the North Sea Transition Authority (NSTA) and the Environment Agency, and sets out defined milestones for asset transfer, planning, and development. CeraPhi will assume responsibility for the full lifecycle of geothermal development, including funding, construction, operation, and eventual decommissioning.
Under the terms of the agreement, CeraPhi will act as the exclusive strategic partner responsible for evaluating, redeveloping, and commercialising geothermal energy from selected Star Energy wellsites. These assets, once they are no longer commercially viable for hydrocarbon production, will be transformed into long-term renewable heat and energy solutions serving both business and residential customers.
The collaboration initially targets up to 25 wells across multiple wellfields in the UK. Subsequent phases, subject to establishing a transfer framework to the satisfaction of regulators, are expected to expand the programme as additional wells reach the end of their productive life.
This partnership represents a practical and scalable pathway to accelerate decarbonisation by reusing existing energy infrastructure. By leveraging established well assets, the project significantly reduces the environmental impact and cost typically associated with new geothermal developments.
Karl Farrow, CEO of CeraPhi Energy, commented: “This agreement is a transformational step in unlocking the UK’s geothermal potential. By repurposing existing wells, we are not only accelerating the transition to clean energy, but also creating a sustainable model that delivers long-term value for communities, industry, and the environment.”
Ross Glover, CEO of Star Energy Group plc, added: “Star Energy has a long-standing role in the UK’s energy landscape. This partnership with CeraPhi enables us to responsibly transition our legacy assets into future-facing clean energy solutions, supporting the UK’s net-zero ambitions while maximising the value of our infrastructure.”
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