UK government committed to economic opportunity in North Sea
The UK Energy Minister met and addressed oil and gas industry leaders at the Maximising Economic Recovery (MER) Forum and the Oil and Gas Joint Council as well as attending meetings on the Industrial Strategy’s role for supporting the sector and the prospect of Remote Islands Wind.
The minister also listened to proposals from industry for an ambitiou
Over the past 50 years the oil and gas industry has extracted more than 43 billion barrels and current production accounts for over 50% of UK gas demand and around 65% of UK oil demand.
With 10 to 20 billion barrels of oil yet to be recovered by 2035, an estimated £140 billion additional gross revenue from production, and an additional £150 billion turnover from exports could be achieved if the industry is able to make the most of maximising recovery and accessing the global market for oil and gas goods and services.
In June, the first delivery of oil was delivered from one of the largest new drilling operations in the North Sea, following a £2 billion investment in the Kraken oilfield by oil and gas development and production company EnQuest. This was made possible by the UK government’s support for the sector.
Last month the Oil and Gas Authority (OGA) opened its 30th Offshore Licensing Round, making awards to companies that promise to maximise economic recovery of the UK’s oil and gas resources.
The number of applications shows continued support and belief in the UK oil industry.
This morning Total announced that it has started-up production from the Edradour and Glenlivet fields off Shetland.
Delivered ahead of schedule and under budget these projects will bring additional production capacity of up to 56,000 barrels of oil and is further evidence of confidence in the industry. ■