£2.5bn Shetland gas pipeline plan

CONSTRUCTION work has begun on a £2.5 billion pipeline to pump gas from fields off the west coast of Shetland to the mainland.

The investment, by French oil giant Total, is expected to bring the first commercial gas ashore in 2014. Shetland Islands Council estimates that the development could bring 200 million into the islands' economy over the next 20 years.

News of the development came as Total revealed its net profit grew by 50 per cent in the first quarter to €3.9bn (3.5bn) as unrest in the Middle East pushed the price of a barrel to three-year highs.

The group said it would continue buying further oil and gas production assets.