Aberdeen energy tycoon Ian Suttie has called in the administrators at First Oil.

It is believed to be the first Scottish oil producer to go into administration since the slump began in 2014.

First Oil, which described itself as the largest privately-owned British oil producer in the North Sea, began reviewing its situation last year after the price of a barrel of oil fell by three quarters.

The process will see UK-based Zennor Petroleum acquire First Oil's interest in the Cormorant East oil field, as well as its stakes in two undeveloped finds. Ten jobs are expected to be lost.

Enquest and Cairn Energy will absorb the firm's 15% stake in the Kraken North Sea oil field.

Blair Nimmo, head of restructuring at administrators KPMG Scotland, said: “We are delighted to announce these two company sales today, which are an excellent outcome for stakeholders.

"The fact that their owner, First Oil Expro Limited, sold them via an administration process is a reflection of the significant challenges facing UK North Sea oil and gas companies in the current oil price environment.

"These sales will ensure that the Group’s four largest field interests are smoothly transferred to new ownership, and provide time to resolve the position concerning the smaller assets in the group’s portfolio."

First Oil was founded by Ian Suttie in 2001.