This year, 12-16 North Sea oil and gas developments could progress, more than in the last three years combined.
According to the Business Outlook report Oil & Gas UK , proposed developments for 2018 would invest £5,000 million, ultimately yielding more than 450 million barrels of oil and gas.
While the landscape for 2018 is the healthiest the industry has seen since 2013, greater exploration success and maximising the potential within existing assets are essential for the future, Oil & Gas UK chief executive Deidre Michie said.
“Our sector is leaner, more efficient and more optimistic than it has been in recent years and 2018 looks set to be a better year.
“What we have learned in our response to the downturn has made us better equipped to tackle the ongoing challenge of maximising production for the longer term and boosting profitability in the supply chain but without increasing overall project costs or damaging competitiveness.
“More projects are taking place and investment is happening because of the sweeping changes made to adapt to the challenging business climate. This has helped make the North Sea one of the most attractive mature basins in the world in which to do business and we will continue to work hard to maintain our competitive advantage.”
Patricia Gibson MP added:
“The steep decline in the global price of oil led to a significant fall in both employment and investment in the North Sea. However, the fact that this did not plunge Scotland into recession shows both the resilience of the Scottish economy and dispels the myth that we are dependent on this one industry. Nevertheless, it is heartening that cost cutting, efficiencies and a slowly rising oil price means that investment in oil exploration will increase significantly this year.
“Employment prospects are also looking more optimistic. More than 300,000 people still work in and support the sector across the UK, half of them in Scotland and it is clear that the oil and gas industry will be important to Scotland for years to come.”