North Sea Spending Up This Year

Record fossil fuel prices have caused a revival in the Scotland-based North Sea oil and gas industry, resulting in a near-record spend of $19 billion this year and the creation of 25,000 additional jobs across Britain, according to a recent Oil & Gas Journal report. These estimates were reported by the UK Offshore Operators' Association (UKOOA), and reflect a reverse in the development activity in the region. Over the past 11 months UKOOA companies had revised their capital expenditures from $6.5 billion to $7.8 billion, the highest level of investment since 1998. This value contributes to the overall spend of $11 billion for the year, according to the report. The total UK workforce in the industry increased from 250,000 to 275,000, with 5,000 new jobs being created due to increased drilling activities alone. According to the report, experts have warned that a stable fiscal regime was vital to the continued success of the North Sea. Source: Oil & Gas Journal