Despite the challenges of a diverse basin made up of frontier and mature areas and a diverse mix of companies operating mature assets, there is recognition of the bright future that remains on the UK Continental Shelf (UKCS) and our industry has been working to deliver some significant performance achievements.
Against a difficult backdrop, over the last two years, production has increased from 1.4 million boepd in 2014, to 1.7 million boepd in 2016. Likewise, production efficiency has increased from 65% to 73%. Although we still have some way to go to reach our target of 80%, this is a sign of further positive changes to come. Similarly, unit operating costs have reduced to $16 per barrel. Of the 22 exploration and appraisal wells drilled in 2016, more than half were successful. While drilling levels remain low compared to previous years, we are witnessing world-class technical success rates and with an estimated 20 billion boe remaining, there is still a lot to play for.
This year’s DEVEX theme, ‘building resilience, driving growth’ sums up our industry’s resilience and drive to improve, while also looking to the future. As a conference focused on reservoir discovery, evaluation, development and recovery on the UKCS, DEVEX provides an opportunity to integrate technical sessions while hearing from those in our industry making strides to increase our performance and contribute to MER UK.
DEVEX 2017 gets underway in Aberdeen today. This year’s theme is ‘Building Resilience, Driving Growth’.
The challenge for all of those participating in the conference is how companies, and individuals, can build up their resilience and move forward. Presenters will demonstrate how the industry can be comfortable with a $50 oil price, and that projects can and will be initiated in this new environment.
The opening panel session has three speakers from major North Sea operators making up our panel – Mike Backus of Nexen; Wayne Fletcher of ConocoPhillips and Fraser Weir of Centrica.
Brenda Wyllie is OGA Northern North Sea and West of Shetland Area Manager
