GREENPEACE activists are preparing for battle over possible future oil

exploration in the Moray Firth.

The firth is home to Britain's largest colony of bottle-nosed dolphins

and the only group left in the North Sea.

It was included in the second stage of areas offered in the fourteenth

round of offshore oil and gas licensing in July.

Greenpeace says it is one of the areas up for grabs which were

previously considered too sensitive for oil development.

Oil companies are expected to submit applications to the Department of

Trade and Industry for specific blocks to explore by mid-December.

Greenpeace is currently campaigning against impending exploration work

in Cardigan Bay -- the UK's only other dolphin colony.

It says Hamilton Oil is due to begin work there soon having been

granted a licence to explore for oil and gas off Barsey Island, at the

North of Cardigan Bay.

The exploration rig Sonat Arcade Frontier is expected to arrive on

site in the next few days having travelled from the Cromarty Firth.

Wildlife campaigner Mary Munson said the discovery of reserves would

lead to full-scale drilling and mark the beginning of the end for the

bay's wildlife.

''Exploration in Cardigan Bay is just the tip of the iceberg as other

very sensitive sites like the Moray Firth are also being looked at.

''The dangers posed by oil exploration in Cardigan Bay are

unacceptable and there are obvious parallels with the Moray Firth.''

She said increased pollution, disturbance, noise, and traffic could

drive away dolphins from the area and upset important research work on

the near 100-strong colony in the Moray Firth.

Oil work has been going on in the Beatrice field further out in the

Moray Firth for some years without any apparent damage to the dolphins.

A spokesman for Highland Regional Council development department said

they have no knowledge of any impending oil exploration work in the

area.

A spokesman for Hamilton Oil said the company was committed to

protecting wildlife and the environment. It was recently the first

organisation in the UK to adopt a dolphin in a unique scheme operating

in Cardigan Bay.

''Hamilton shares the concerns for the future of the dolphins in

Cardigan Bay and do not accept that our activities will in any way

endanger the dolphins or any other marine mammals.''