A Boost for UK Offshore Drilling? DW Monday Muses

By George Backwell
Monday, September 01, 2014
North Sea operations: File photo

Drilling activity offshore UK is now expected to increase over the next few years as government and industry reacts to the recommendations in Sir Ian Wood’s report – the “Wood Review” – to maximise UK offshore oil & gas recovery advises Douglas Westwood's 'DW Monday' study.

From a peak of 396 in 1996, numbers of wells drilled offshore UK fell to 164 in 2013, a low not seen since 1979.  Development wells were down from 289 in 1998 to 120 in 2013. Exploration & appraisal drilling, on which offshore production ultimately depends, saw numbers fall from 224 in 1990 to 44 last year. Of these the key driver is of course exploration wells, down from 157 in 1990 to just 15 last year.

The most significant of [the Wood Review recommendations] being the need for a new regulator to help industry to work collaboratively and furthermore, to implement various strategies to address problems with exploration drilling and improved oil recovery, amongst other issues. Also stemming from the Wood Review are proposals for a simplified fiscal regime to incentivise investment and drilling activity and ease the burden upon the new regulator.

So what does this mean for the future drilling market?  To meet production forecasts, DW expects that total offshore wells drilled will need to grow from 164 last year to 241 in 2018. Whilst the majority of these would be in shallow water and drilled by jackups, deepwater developments in Northern North Sea and west of the Shetland Isles will provide opportunities for semi-submersible drilling rigs.

However, in the longer-term drilling activity will again decline, unless the new regulator can effectively use its new powers to incentivise long-term investment from operators to drill more wells and fully exploit the remaining hydrocarbons offshore UK.

Source: Douglas-Westwood in 'DW Monday'
 

Maritime Reporter April 2015 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

People & Company News

Venezuela Probes ex-minister accused of corruption in Ferry Deals

A former minister in President Nicolas Maduro's government denied in an interview published on Friday accusations of corruption during the purchase of three

Apply Now for the MN 100

The August 2015 edition of Marine News, the leading voice in the North American workboat market, will feature 100 leaders and innovators, including workboat owners and operators,

Alfred Hartmann: New Captain on the Bridge at VDR

Shipping owner Alfred Hartmann is the new President of the Association of German Shipowners (VDR). For the first time a mid-size company owner is at the helm of the VDR,

Finance

Venezuela Probes ex-minister accused of corruption in Ferry Deals

A former minister in President Nicolas Maduro's government denied in an interview published on Friday accusations of corruption during the purchase of three

Oil Price Shock Soon to be Positive Overall for Canada

Canada's economy will start to show more positive effects from the drop in oil prices than negatives from the second quarter onwards, Bank of Canada Governor Stephen Poloz said on Friday.

Total Eyes Sale of its Fuel Retailing Business in Turkey

Total aims to exit its fuel distribution business in Turkey and has asked Societe Generale to lead the sale, sources said on Friday, as the French oil producer

Fuels & Lubes

Oil Price Shock Soon to be Positive Overall for Canada

Canada's economy will start to show more positive effects from the drop in oil prices than negatives from the second quarter onwards, Bank of Canada Governor Stephen Poloz said on Friday.

Total Eyes Sale of its Fuel Retailing Business in Turkey

Total aims to exit its fuel distribution business in Turkey and has asked Societe Generale to lead the sale, sources said on Friday, as the French oil producer

Spanish Ferry Operator Enrolls in Carbon Credits Program

Spanish ferry operator Baleària has signed up to AkzoNobel’s carbon credits program. The company has enrolled its passenger ferry Martin i Soler into the scheme,

Consulting

Salvage and Wreck Removal Conference

HINODE Events and Services Pvt Ltd., have announced the 4th Annual Conference on Salvage and Wreck Removal in India to be held on Wednesday, July 8, 2015 at Visakhapatnam on India's East Coast.

Technip dividend FY 2014

At the Annual General Meeting, held today, Technip’s shareholders approved the proposed €2.00 per share dividend for the 2014 financial year and decided to offer

GSF and BIMCO Publish Standard Box Freight Document

The Global Shippers Forum (GSF) has joined forces with the Baltic International Maritime Council Organisation (BIMCO) to launch the BIMCO/GSF SERVICECON container shipping contract.

Offshore Energy

Four Petrobras Platforms Halt Output Due to Oil Leak

Four Petrobras oil platforms off the northeast coast of Brazil have halted production after a leak of about 7,000 liters of oil was detected coming from a pipeline linking them,

Huat Retires as Non-Ex Dir. of ST Engineering

Singapore Technologies Engineering Ltd (ST Engineering) today announced the retirement of Mr Quek Poh Huat as non-executive Director of the Company at its Annual General Meeting on 23 April 2015.

Five Minutes with Halul Offshore CEO, Vivek Seth

Last month Maritime Reporter spent some time with Vivek Seth, CEO, of Qatar-based Halul Offshore  Services Company, for his insights on the impact of low oil prices in the Middle East and beyond.

Underwater Engineering

MMT Presents Surveyor Interceptor ROV (SROV)

At Ocean Business in Southampton  MMT´s key topic was the new Surveyor Interceptor ROV (SROV). Together with its Norwegian partners Reach Subsea AS, MMT developed a new generation,

Salvage and Wreck Removal Conference

HINODE Events and Services Pvt Ltd., have announced the 4th Annual Conference on Salvage and Wreck Removal in India to be held on Wednesday, July 8, 2015 at Visakhapatnam on India's East Coast.

Technip dividend FY 2014

At the Annual General Meeting, held today, Technip’s shareholders approved the proposed €2.00 per share dividend for the 2014 financial year and decided to offer

 
 
Maritime Contracts Maritime Standards Navigation Offshore Oil Port Authority Salvage Ship Electronics Ship Repair Ship Simulators Winch
rss | archive | history | articles | privacy | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.4802 sec (2 req/sec)