The Scottish Government has hired a drilling specialist to study how economic recovery from the North Sea can be maximised.
Merlin ERD has been commissioned to explore the potential of untapped oil and gas reservoirs in UK waters.
Last night, the man heading the study has warned that time is running out for some North Sea oil reservoirs.
Iain Hutchison claims that advanced technologies can be used to capture millions of barrels of peripherally located oil only while existing infrastructure is in place.
But he warns that if platforms become redundant and offline, a fortune in untapped oil will be lost.
Mr Hutchison, who has been involved in some of the longest, deepest and most demanding extended reach drilling in the world, points out that ERD technology could allow North Sea oilfields to extend their wells using existing platforms, rather than the prohibitive cost of dropping new wells.
“There is no shortage of oil in the North Sea and there never will be,” he said.
“The challenge is extracting it profitably.
“The infrastructure already exists in the North Sea that would allow ERD to secure distant reservoirs with minimum effort.
“But the oil and gas sector has to take advantage of these opportunities today – tomorrow could be too late. Our offshore platforms have a finite life and the opportunity disappears with them.”
The company has just received the coveted Queen’s Award for Enterprise for International Trade and his latest study commission comes in the wake of the Wood Report which looked at maximising any economic recovery for a faltering North Sea oil and gas sector.
In his report, Sir Ian Wood pointed out that the UK’s oil and gas industry is of national importance, making a substantial contribution to our economy, energy security and employment.
Energy Minister Fergus Ewing who has backed the need for a full study into the possibilities.
Hutchison and his global team of experts will submit their report later this month. And he stresses it will not only explore potential, but also detail how employing ERD technology will extend productivity, increase profitability and sustain employability in the North Sea.
“Compiling a study that is so vital to our nation is a huge responsibility,” he said.
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