Commenting on the publication of the Oil and Gas Authority’s ‘Thematic Review into Industry Compliance with Regulatory Obligations’, which stresses the key role of licence management in maximising economic recovery,

OGUK Operations Director Katy Heidenreich said:

“Thematic reviews are an established method of performance improvement which has been used across a number of sectors and we welcome this constructive reflection from the OGA today.

“It not only highlights areas where the UK offshore oil and gas industry and the regulator can make improvements, but also where the sector can build upon good practise. While the report looks at compliance in 2018, it is encouraging to see the OGA recognise the steps taken by industry since then that point to improvement in performance.

“However, there is always more that can be done and the recommendations provide practical and considered suggestions for both industry and the OGA to continue to improve and we look forward to building on this constructive approach.”

The OGA’s report can be found at https://www.ogauthority.co.uk/news-publications/news/2020/the-oga-stresses-key-role-of-licence-management-in-maximising-economic-recovery/

Ends

The number of workers on offshore oil and gas installations decreased by around 4,000 as the UK went into lockdown in March this year, official figures published by industry body OGUK confirm today. Average weekly personnel on board decreased from around 11,000 on the 8 March to just over 7,000 one month later, with drilling and engineering construction trades hardest hit.

OGUK’s Workforce Insight report 2020 also confirms the uptake of the Coronavirus Job Retention Scheme by companies, particularly in the supply chain, as many positioned themselves to endure the triple whammy of low oil and gas prices and the operational impact of the coronavirus pandemic.

The leading representative body for the sector noted that while official figures on both on and offshore employment would not be available until next year, tentative signs are worrying and underline the need for governments, industry and regulators to work together to protect the jobs and skills that will be needed to meet UK energy needs now and as the country moves to a lower carbon future.

Commenting, report author OGUK workforce engagement and skills manager Dr Alix Thom said:

“Our figures confirm the initial operational impact of the lockdown back in March this year, with the number of workers offshore decreasing considerably in the space of a month as companies reduced to minimum manning in a bid to control the spread.

“Numbers have risen steadily since then as industry has adopted a robust swiss cheese barrier model, with a range of preventative measures in place both prior to mobilisation and whilst offshore, which has helped secure more jobs and increase operations in the immediate term.

“Despite this, we continue to see some very worrying signs for employment in the sector, with the uptake of furlough and continued suppression of global energy demand impacting our industry like many others in the wider economy.

“As our report shows, the recruitment and retention of diverse and talented people will be essential as we work to support UK energy needs both now, and in a lower carbon context. A North Sea Transition Deal, supported by the UK and Scottish governments, can act as a catalyst for this future, and in so doing will provide certainty on the sustainability for the sector in difficult times.”

Decommissioning takes on a new global dimension as OGUK launches its first ever virtual conference to provide delegates with a dynamic, international and interactive online experience.

Taking place from November 24-25, the event goes beyond the confines of traditional conferences to provide a digital platform with potentially global reach enabling participants to drive new conversations about decommissioning in the broader energy world in a time of unprecedented change.

Throughout the two-day event, delegates gain access to a fully immersive experience enabling them to interact with industry experts, visit virtual exhibition stands and engage in online networking. Topics on the agenda include the UK’s ambition to become a Global Hub of Excellence, evolving developments in regulation and a focus on developing the skills needed to support future decommissioning needs.

Commenting, OGUK’s decommissioning manager Joe Leask said:

“Reliable and definitive information is invaluable in uncertain times. OGUK’s Offshore Decommissioning conference will draw on the expertise of leading figures in decommissioning from around the world, providing delegates with the latest insight on the pressures, challenges and opportunities on the horizon.

“Whatever the limitations imposed by Covid-19, this event is an ideal opportunity to engage with delegates and take stock of where the sector is, and where it fits into the global low carbon context.”

The diverse and topical programme will be supported by session champions that include experts from the Oil  and Gas Authority (OGA) and its Decommissioning Task Force; the International Association of Oil and Gas Producers (IOGP); the Oil and Gas Technology Centre (OGTC); Decom North Sea; Robert Gordon University, the Aberdeen section of the Society of Petroleum Engineers (SPE) and OGUK.

Representatives from the Health and Safety Executive (HSE), Offshore Petroleum Regulator for Environment and Decommissioning (OPRED) and the OGA will be presenting at the event and delegates will also have the opportunity to use a multitude of online resources including videos, tools and presentations while contributing to live discussions via the chat channel.

More information is available at the Offshore Decommissioning Conference website and to register click here  

Ends

Following the news of the merger of Chrysaor with Premier Oil today, OGUK’s chief executive Deirdre Michie, said:

“Chrysaor and Premier Oil are great stewards, contributors and champions of this industry so this investment is encouraging news for the UK Continental Shelf. 

“With companies increasingly looking to see how they can work together to meet as much of our oil and gas demand from domestic resources instead of imports, this merger will help to stimulate further activity for our hard-pressed supply chain and contribute to an inclusive transition towards a low carbon economy.”

The leading representative body for the UK’s offshore oil and gas industry has welcomed Prime Minister Boris Johnson’s wind power plan today as a positive shot to the arm for its struggling supply chain.

The plan will include £160 million of funding made available to upgrade ports and infrastructure in critical energy communities including Teesside and Humber, Scotland and Wales.

Speaking in response to the proposals, OGUK said developing skills and supply chain capabilities will be critical if the UK is to reach its climate ambitions. In early 2020, around 75 percent of OGUK member companies reported at least some of their revenue is generated from non-oil and gas related work, with 30 per cent noting that more than 25 per cent is comes from diversified activity.  

Electricity demand currently accounts for 17 percent of total energy demand, meaning the decarbonisation of transport, industrial needs and heating remains critical if the UK is to meet its climate change targets. OGUK today reinforced the importance of the North Sea Transition Deal to deliver the low carbon solutions needed to drive a true green industrial revolution.

OGUK Chief Executive Deirdre Michie said:

“Today’s announcement is a great shot in the arm for our supply chain, which we know is already on the road in its diversification journey but needs substantive support.

“If we are to have the best chance at success, the green energy revolution must go hand in hand with a skills and supply chain evolution.  With the essential expertise to power the green recovery and help the UK meet its climate ambitions, the UK’s changing offshore oil and gas industry is committed to making a positive contribution.

“Through a North Sea Transition Deal we can help do some of the heavy lifting for the huge parts of our economy which won’t be able to meet climate targets through electricity alone. It’s why today we encourage the Prime Minister to maintain this momentum and unlock wider low carbon opportunities including carbon capture usage and storage, and hydrogen.

“With a fair and managed transition, this sector can continue to provide affordable energy to millions of households and families, support jobs in energy communities across the UK and create exciting new jobs of the future.”

The leading representative body for the UK’s offshore oil and gas industry has today repeated calls to campaign groups to meaningfully engage with the sector to ensure a fair and positive transition for energy communities.

The call comes after a report by published Friends of the Earth Scotland, Greenpeace and Platform failed to note the progress that is being made to support workers to move between renewables, oil and gas, and nuclear.

OGUK today said it intends to respond to the report and offered its full support in helping reach the heart of energy communities across the UK.

OGUK Chief Executive Deirdre Michie said:

“While this report confirms how much people working in our industry care about securing a fair transition, we’re also not aware of any approach from the report authors for feedback from the wider workforce and the industry on their findings. We look forward to contributing to this consultation and offer our support to help them reach the heart of energy communities from Aberdeen to Norwich and beyond.

“There has been some really exciting and positive developments taking place in the oil and gas industry in recent years, with over 5,000 conversations with workers, public bodies and trade unions from across the UK shaping Roadmap 2035: industry’s blueprint for net zero, throughout 2019.

“We’re already seeing some of the actions from the Roadmap come through with new training certificates being launched this week to support the requirements of a net zero economy.

“At a time when all industries are navigating unprecedented financial pressures, it is disheartening that some campaign groups are painting a misleading picture to suit a particular agenda, when in fact we could be much more effective if we work together to embrace the net zero opportunity. A huge proportion of companies in our industry have been supporting projects across the full energy spectrum including in renewables for years.

“This won’t help deliver what our energy communities badly need, which is a joined-up, fair and inclusive transition which harnesses the essential expertise in our country’s oil and gas industry. This means we can accelerate the transition without becoming even more reliant on imports for the gas and oil we still need during this time.

“We need to work together and listen to everyone in our industry as we make our positive vision for the future into a reality. This vision is already securing investment in the kinds of projects we need to meet our climate ambitions. The Dolphyn project announced this week is a great example and shows how our changing industry continues to benefit energy communities, bringing in new investment and creating exciting new roles for the future.

“With a strong domestic energy industry which continues to provide affordable energy for millions across the UK, we can continue to support jobs and make a crucial contribution to the UK economy while positioning ourselves as leaders in a lower carbon energy future.”

Exciting news that Aberdeen has been selected as the home for the world’s first offshore floating hydrogen facility to produce hydrogen from wind power confirms the benefits of the oil and gas industry’s expertise, sector leaders said today.

The leading representative body for the sector OGUK today welcomed news that developer Environmental Resources Management (ERM) will deliver its Dolphyn project off the coast of Aberdeen, aiming to deliver a prototype in 2024.

OGUK sustainability director Mike Tholen said:

“In tough times it’s encouraging to see a growing buzz around our changing industry, which has the essential expertise to help the UK meet its climate ambitions by 2050 and power the green recovery.

“The Dolphyn project is a great example of how this change is benefitting energy communities, bringing in new investment and creating exciting new roles for the future.

“This is supported by a domestic energy industry which continues to provide affordable energy for millions across the UK, supports jobs and makes a crucial contribution to the UK economy. We are now seeing the energy transition take place in real time, and continued partnership working remains essential if communities, industries and our people are to make the most of this opportunity.”

OGUK’s commitment to ensuring the recovery of the UK’s hard-pressed oil and gas supply chain continues with a webinar aimed at providing small to medium enterprises (SMEs) with top tips for successful tendering.

Taking place online on Wednesday 30 September, the free event aims to help SMEs wishing to improve how they bid to supply goods or services to a potential buyer and learn from experts in the field.

Emily Taylor, OGUK’s continuous improvement manager, said:

“Feedback from participants in our latest SME forum revealed there’s a strong demand for expert advice on tendering and what companies can do to continuously improve their business.

“While SMEs are a vital sector of our world-class supply chain and the lifeblood of innovation and opportunity, many are in a fragile position and our aim is give them a deeper insight of what customers look for from a potential supplier during the tendering process.

“Experts speaking at the webinar include representatives from the operator, SME, legal and commercial communities who will each outline what good practice looks like from their individual perspectives.”

Industry experts speaking at the event which starts at 9.30 am – 11.00 am include:

Catriona Stevenson, Chair of the OGUK SME Forum and Business Manager, Ecosse IP Ltd

Anne Farr, Managing Director, Rothera Group Ltd

Steve Mitchellhill, Contract specialist, Mitchelhill Consulting

Edward Hughes, Head of Contracts & Procurement, INEOS

Chris West, Chief Operating Officer, Optimus

Following the webinar which is open to both OGUK members and non-members, online delegates will have the opportunity to participate in a panel session and learn about how they can make the best of the opportunities ahead. Registration is at https://attendee.gotowebinar.com/register/1282319039831698959

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The leading representative for the UK’s offshore oil and gas industry has today initially welcomed the winter economy plans announced by the Chancellor, noting it will seek further information on the details of the proposals in the coming days.

Plans announced by the Chancellor today include wage top-ups targeted at small and medium businesses to replace the furlough scheme when it ends. Companies will also be given more time to repay funds accessed through the government’s coronavirus loan schemes.

A report by OGUK earlier this year warned up to 30,000 jobs could be lost in the sector as it faces a triple whammy of low oil and gas prices alongside the operational impact of the coronavirus pandemic. The body today encouraged governments to keep a focus on the prize of a green recovery, where the essential expertise of the oil and gas industry could mean fresh opportunities for the fragile supply chain.

Deirdre Michie

OGUK Chief Executive Deirdre Michie said:

“Throughout the pandemic our industry has never stopped working, providing affordable energy to millions across the UK. Today’s announcement will be helpful to our sector and the thousands of people it employs across the country.

“We welcome the principle of support provided by the Chancellor today and will be pressing for more detail regarding eligibility for our supply chain, which remains in a fragile condition.

“To increase activity levels in the industry we need to be able to get more people working without compromising on the health and safety of our people. We continue to have conversations with government about the best way to do this so that we can quickly accelerate maintenance programmes and other activity as soon as possible.

“Facing a winter of uncertainty, focus must also remain on the prize of securing a green recovery which puts the essential expertise of our industry to work in building the solutions we need to meet our climate ambitions.

“Through a green recovery, a North Sea Transition Deal and continued support for our industry, we can help keep costs low for households and families, retain jobs and create new roles for the future.”

The leading representative body for the UK’s offshore oil and gas industry has hailed the grit and resilience of the thousands of people working for the critical sector as it opened nominations for its annual awards.

Throughout the coronavirus pandemic, key workers both on and offshore continued to safely operate installations around the UK Continental Shelf, supporting the UK’s security of energy supply.  While seeking to deal with the economic fall-out of the  low oil and gas prices brought about by the pandemic, the industry continued with its work on Roadmap 2035, making  major commitments to halve emissions from the production of oil and gas in the next decade as well as progressing its plans to support carbon cutting solutions including carbon capture usage and storage and hydrogen.

Industry body OGUK will hold its annual awards, sponsored by Shell,  on 10 December this year, with hopes that its virtual format will make it more accessible not only to the industry workforce, but to family, friends and anyone with an interest in how the sector is shaping up as part of a low carbon future.

Commenting as nominations open, OGUK chief executive Deirdre Michie said:

“This has been extraordinary year in which our industry, only just beginning to recover from the last downturn, finds itself facing more dark days ahead. Yet, in spite of the personal and professional challenges the coronavirus pandemic brought on all industries, companies and people, our key workers ensured our critical industry never stopped operating.

“This is the North Sea spirit and grit we are known for, working in tough circumstances to provide affordable energy to millions across the UK. It is this same resilience which should give confidence that our changing industry is and will continue to step forward by cutting its emissions and in using its skills and expertise to develop the solutions needed to meet our country’s climate ambitions. We remain on track to deliver our ambitious plan to realise the full potential of our sector through the energy transition, Roadmap 2035.

“With a new virtual format, OGUK’s annual awards are an opportunity to tell our positive story to more people than ever before. Whether it’s family, friends, or you  want to know more about how our industry is changing andabout the people who make this sector the amazing industry that it is, we hope everyone will enjoy taking part in acknowledging and celebrating inspirational and impressive contributions.”

Nominations close on 2 October and companies are being encouraged to champion talent and innovation, with nine awards up for grabs this year.

Shell UK upstream vice president Steve Phimister said:

“2020 has thrown down challenge after challenge for the sector. But our people have stepped up and met it, maintaining the critical energy supplies that the UK relies on, as well as starting to address the all-important subject of Energy Transition. We can all be proud of our huge efforts right across the industry, and I look forward to seeing our most important asset – our people – celebrated at these awards.”

Ends

Notes to Editors:

  1. Categories include:
Individual Awards

 

  • Award for Apprentice of the Year
  • Award for Graduate of the Year
  • Award for Mentor of the Year
Company Awards

 

  • Award for Excellence in Decommissioning
  • Award for Energy Transition
  • Award for Diversity and Inclusion
  • Award for Workforce Engagement
  • Award for Business Innovation
    – SME and Large Enterprise
  1. Further information about OGUK’s Annual Awards can be found here:

 

Issued by the Communications Team, OGUK.  Contact Communications Manager Natalie Coupar, 07531407007 / [email protected],uk

OGUK is the leading representative organisation for the UK offshore oil and gas industry. Its membership comprises oil and gas producers and contractor companies.

More than 200 people joined OGUK’s Industry Insights webinar for young professionals today (Thursday, September 17) to hear how the sector is working to advance new technologies on the route to net zero. 

The free event, sponsored by Halliburton, centred around the skills required for the future in reaching net zero carbon emissions by 2050 in the UK and by 2045 in Scotland, and how important the next generation of talent will be in realising the full potential of the UK’s oil and gas industry through the energy transition.

The audience also heard from a panel of speakers including Ryan Fernando, workshop supervisor at Aker Solutions (2018 winner of OGUK apprentice of the year), Martin White, vice president at Halliburton, Alix Thom, workforce engagement and skills manager at OGUK, Francesca Bell, business advisor at OGUK, and Paul de Leeuw, director of the RGU Energy Transition Institute, Robert Gordon University.

The webinar was chaired by OGUK’s continuous improvement manager, Emily Taylor, who said:

“We are delighted with the success of this third virtual Industry Insights event, which centred around skills for the future, taking a deep dive into Geosciences before looking at the entire industry. The session also gave the audience insights into the energy transition and allowed them to voice their personal experiences of the industry.

“Through the energy transition, we have a once in a lifetime opportunity to show how we can build a more diverse and lower carbon energy mix in a way that embraces the skills and talents of our people, and young professionals will have a huge part to play in helping drive that forward.

“Understanding how we can meet the ambitions outlined in Roadmap 2035 will require fresh thinking and OGUK is passionate about ensuring everyone can make a valuable contribution on our journey to becoming a net zero basin.”

The webinar follows the success of three Industry Insight events hosted by OGUK over the past year, including one focused solely on interns which was attended by over 100 young people with placements in operator, service and supply chain companies.

OGUK has welcomed the final report released by Climate Assembly UK today (Thursday, September 10), which states that the country’s path to net zero must be underpinned by education, choice, fairness and political consensus.

OGUK is already discussing a transformational North Sea Transition Deal with the UK Government, which will also set out how the country’s oil and gas industry will play its part in supporting a green recovery that attracts investment, jobs and boosts the supply chain.

Commenting, OGUK’s chief executive Deirdre Michie said:

“The Climate Assembly UK report is welcome and picks up on a number of areas that we as an industry are already driving forward in support of the country’s climate ambitions.

“We already know the powerful combination of this sector’s skills, capabilities and infrastructure are advancing new technologies on the road to net zero, with some key projects already underway. At the same time, our changing industry can help to keep costs low for households, support highly skilled jobs while also developing cleaner energy for the future.

“Industry’s Roadmap 2035 offers a sensible blueprint with a progressive net zero agenda, supporting energy communities to embrace new opportunities – including hydrogen. Despite the pressures experienced by the sector, a number of identified actions have already been delivered, including our commitment to halve emissions from the operational production of oil and gas over the next decade.

“Through the energy transition, we have a once in a lifetime opportunity to show how we, as an oil and gas producing country, can successfully build a more diverse and lower carbon energy mix in a way that embraces the skills and talents of our people, provides secure and affordable energy to all, and unlocks thriving energy communities both now and in future.”

Commenting on the OGA’s announcement of the award offers in the 32nd Licensing Round

Katy Heidenreich, OGUK’s supply chain and operations director said:

“At a time when companies face huge pressures it is encouraging that our basin continues to demonstrate its attractiveness to a wide range of companies. This is a crucial element in unlocking the new investment that will help continue to meet UK energy needs and sustain jobs across our sector.
As a net importer of oil and gas it is critical that the UK continues to explore for and develop new resources in terms of energy security. Achieving this means we can continue to anchor our world-class expertise in the UK as our sector positions itself to play a key role in the transition to a lower carbon future as outlined in industry’s Roadmap 2035.”

Ends

The leading representative body for the UK’s offshore oil and gas industry has embraced a UK government review into future licensing rounds as an opportunity to shine a light on how the sector is changing to support the country’s climate ambitions while still ensuring it contributes to the UK’s ongoing security of energy supply.

Speaking in response to the announced review, OGUK Chief Executive Deirdre Michie OBE called for a constructive and open discussion about how the UK will continue to meet its energy needs while delivering consumer affordability and jobs, optimising indigenous energy sources in a way that ensures the UK doesn’t offshore its emissions to other countries.
The industry is currently working with the UK Government on a North Sea Transition Deal which will look to harness the full potential of the sector in developing cleaner energy solutions including carbon capture usage and storage and hydrogen.

The announcement comes as the UK oil and gas industry marks a year since it published its response to climate commitments, Roadmap 2035, which identified over sixty actions required to support a fair and managed transition to a lower carbon future.

Commenting, OGUK Chief Executive Deirdre Michie OBE said:

“The UK offshore oil and gas industry has the essential expertise to help the UK meet its climate ambitions by 2050 while at the same time providing affordable energy for households and families, supporting jobs, and creating exciting energy jobs of the future.

“This review is an opportunity to shine a light on how our industry is changing. With commitments to halve emissions in the next decade and committed investment in exciting low carbon solutions, the changing UK oil and gas industry is stepping up to the climate change challenge.

“Throughout the coronavirus pandemic we have not stopped working, and our people have continued to work in difficult circumstances to meet as much of the UK’s oil and gas needs from domestic resources. The reality is that oil and gas will continue to be part of a diverse energy mix for years to come.

“We now need a constructive and open conversation about how our oil and gas producing country can transition fairly to a lower carbon future. Working with governments, regulators and through sensible debate, we can protect jobs and affordability while being ultimately accountable for the emissions associated with the oil and gas we use.”


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Over eight actions identified by the UK’s offshore oil and gas industry as essential if it is to realise a successful future in a lower carbon future have already been delivered, with a further 20 underway, despite the pressures heaped on the sector by the coronavirus pandemic.

Progress against an ambitious industry roadmap was confirmed by representative body OGUK, noting it as further evidence that the UK sector is embracing change.

Roadmap 2035: a blueprint for net zero, was one of the first UK industry responses to government commitments to achieve net zero carbon emissions by 2050 in the UK and 2045 in Scotland. Published at Offshore Europe in 2019, the substantive document commits the sector to a range of actions to help meet the UK’s energy needs, support jobs, develop new technologies, cut emissions, and expand export opportunities.

The challenges and opportunities facing the sector a year on from the Roadmap will be the focus of an industry webinar, sponsored by Deloitte, to be hosted by OGUK on Tuesday 8 September 2020.

Commenting, OGUK Chief Executive Deirdre Michie OBE said:

“The UK offshore oil and gas industry has the essential expertise to help the UK meet its climate ambitions by 2050 while at the same time providing affordable energy for households and families, supporting jobs, and creating exciting energy jobs of the future.

“Despite the challenges heaped on the sector by the coronavirus pandemic and low oil and gas prices, a number of actions of Roadmap 2035 have already been delivered and many more are underway. This progress is testament to the fact that our industry is changing and is committed to positive change for the long term.

“As we look to further challenges ahead, support of government and regulators remains critical if we are to be able to realise our full potential through the energy transition. The North Sea Transition Deal can be a catalyst in delivering Roadmap 2035 and supporting the green recovery, as well as specific recognition from governments and politicians of the positive role we can play in our economy and society.”

Graham Hollis, office senior partner for Deloitte in Aberdeen commented:

“There is no doubt that the sector is under immense pressure as businesses grapple with the challenges posed by the coronavirus pandemic as well as the fallout from the Saudi-Russia price war. Despite this, it is promising to see the strong progress being made and the sector’s willingness to enact positive change while continuing its important role in maintaining jobs and affordable energy.

“It is crucial that this momentum is maintained, and businesses must continue to innovate and collaborate to deliver on the ambitions of Roadmap 2035 and ensure the country’s future, sustainable energy mix.”

Findings from the first survey of digitalisation in the oil and gas industry reveal there’s a strong appetite to ensure technology is matured to improve the sector’s connectivity, efficiency and sustainability but highlight the need to promote collaborative working if these transformational changes are to become a reality.

With support from Deloitte, the UKCS Data and Digital Maturity Survey was launched in June 2020 by OGUK, the leading representative body for the UK offshore oil and gas industry, in partnership with the Technology Leadership Board (TLB), the Oil and Gas Technology Centre (OGTC), and Opportunity North East (ONE) to assess the maturity of digitalisation across the sector.

Compiled with input from a cross section of more than 70 organisations and almost 40 individuals, full details of the report will be shared at a free webinar chaired by Dr Dan Brown, Executive Director of OGUK subsidiary Common Data Access (CDA) together with CDA Delivery Manager Sakthi Norton on 1 September. Key speakers at the event will include:
• Mikki Corcoran, Co-Chair TLB
• Alex Macdonald, Digital Transformation Project Manager, OGTC
• Jared Owen, Director of Digital and Entrepreneurship, Opportunity North East (ONE)

Following the presentations, John Seabourn, Chief Digital Officer, OGA and Guri Neote Director of Deloitte Consulting’s Digital Capital Projects team will join the speakers in an interactive panel session.

Deirdre Michie, OBE OGUK Chief Executive, said:
“This timely report provides industry with an invaluable baseline for developing the strategies we need to realise the huge potential for digitalisation, enabling our industry to become more connected, efficient and sustainable in the process. Digitalisation is as much about culture as technology and the report highlights the importance of businesses working together to share ideas, challenge themselves and combine expertise to deliver the transformational change we need to spur our sector’s recovery and support an accelerated transition to net zero.”

Sir Ian Wood, KT GBE, Chair ONE, said,
“The report provides critical insight at a time when businesses of all sizes are having to adapt to major market and customer changes. While the industry is strong in the technical aspects of digital, it lacks the innovation mindset and culture to be decisive in digital transformation in relation to its peers. It is encouraging to see a strong desire for collaboration but it’s still not strong enough and we need to pick up the pace in this area if we are to fast-track progress. It’s imperative that we use the findings to collectively tailor action and catalyse a more digitally focused industry.”

Colette Cohen OBE, CEO of the Oil & Gas Technology Centre said:
“Digitalisation provides opportunities for increased efficiency, reduced carbon footprint and improved safety, which are crucial in the transition to a net zero future. This report shows that industry collaboration is the enabler, with the true potential of data being unlocked through a shared approach to industry challenges.”

Mikki Corcoran, Co-Chair TLB, Schlumberger, said
“Genuine digital transformation is fundamental to remaining a strategic energy supplier to the U.K. in a net zero world. Today we have the technology we need; leadership and vision are required to make this a reality on the UKCS.”

Graham Hollis, Office Senior Partner for Deloitte in Aberdeen added: “This report provides timely insight into the topics that matter most to businesses of all sizes operating across the UK’s oil and gas sector. It is promising to see the progress industry has made to date in its digital journey, however it is clear there remains many challenges that need to be overcome for industry to truly maximise the opportunity provided by digitalisation.”

The detailed survey report and summary slides can be found at the OGUK website

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The leading representative body for the UK oil and gas industry, OGUK, has appointed three major business leaders to its board as the sector sharpens its focus on recovery.

 

As UK Managing Director of gas-focused exploration and production company, Neptune Energy, Alexandra Thomas represents one of the leading independents investing in the UK North Sea. With international expertise in exploration and development, Alexandra brings 18 years’ oil and gas experience to OGUK’s board. She started her career on assignments with Shell and Equinor later working in senior leadership roles in the UK, Netherlands, Norway and Ghana, where she was Tullow Oil’s Head of Exploration, Development and Commercial before joining Neptune in 2020. An ardent promoter of diversity and inclusion in the workplace, Alexandra champions for women in engineering and technical roles and mentors a number of men and women in their career development.

 

 

 

 

BP’s Senior Vice President for the North Sea Emeka Emembolu has significant knowowledge of the company having joined the business in 1998. Since starting his career as a production engineer on bp’s ETAP development in the central North Sea, Emeka has worked in diverse technical and leadership roles in regions across the globe including the UK, Angola, Algeria, Egypt, Alaska and latterly Texas where he was Vice President, Reservoir Development for the Gulf of Mexico & Canada. Emeka is passionate about promoting STEM subjects and highlighting the potential for technology to deliver solutions to industry’s challenges.

 

 

 

 

 

As Regional Director for CHC Helicopter’s European, Middle East and African business, Mark Abbey has a wealth of aerospace and aviation experience built up over 35 years in the industry. Mark’s career has encompassed senior management positions in Europe, the USA, India and China. Earlier in his career, Mark spent 16 years at BAE Systems in an executive role managing their aircraft systems and operational facilities for assets including the Hawk Jet Trainer.

 

 

 

Deirdre Michie, OGUK’s chief executive, commented:

“The diverse experience and knowledge that Emeka, Mark and Alexandra bring to the OGUK Board will be a great asset as our industry tackles a challenging landscape of low commodity prices and the coronavirus pandemic, while at the same time seeking to support the UK’s cleaner climate ambitions.

“This diversity of perspectives from across industry is critical as we work to deliver Roadmap 2035, finding solutions for low carbon oil and gas production while doing everything we can to revive our world-class but fragile supply chain and protect the skills of our people for the future.“

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Katy HeidenreichThe leading representative body for the UK offshore oil and gas industry is driving its supply chain agenda forward by appointing Katy Heidenreich, director responsible for leading its supply chain and operations activities.

Currently spearheading OGUK’s Recovery Group’s work with industry, Government and regulators to stimulate investment in the basin, Katy will focus on supply chain activities while progressing initiatives aimed at increasing UKCS activity to sustain jobs across the sector’s beleaguered supply chain.

In her new role, Katy will build on the significant progress achieved by Matt Abraham, who leaves the representative body to take up a leadership role in a major contractor company after two and a half years as OGUK’s supply chain and exports director.

Katy’s extensive supply chain experience includes 27 years in the oil and gas industry working in technical and senior management roles in the UK, Norway and Azerbaijan. She joined OGUK in 2015 after 15 years with Schlumberger Oilfield services, latterly as Commercial Manager for UK, Holland and Denmark. Katy is also the author of ‘The industry’s best kept secret’- a book designed to inspire and encourage more women to consider careers in the energy sector.

OGUK Chief Executive Deirdre Michie commented:
“Our industry has the essential expertise to help the UK meet its climate ambitions by 2050 and power the green recovery. At the same time, we can help keep costs low for households and families, retain jobs and create new roles for the future.

“Supporting a sustainable recovery is at the heart of all this, and Katy will have a critical role in bringing the supply chain together with our operations to support much needed recovery, at pace. Katy’s expertise in optimising operations to help unlock investment will help stimulate much needed activity for our world-class but fragile supply chain.

“I’m also grateful to Matt for his contribution to OGUK and industry during some of our most challenging times and wish him every success for the future.”

Ends

Commenting on the OGA’s Decommissioning Cost Estimate report published today (Wednesday, August 19), Joe Leask, decommissioning manager at OGUK, said:

“The OGA’s report on decommissioning cost trends for the UK industry shows the challenges we face.

“While significant progress has been made over the years, new ways of working will be critical to ensure we stimulate activity in the supply chain, keep skills and infrastructure in the UK, and meet our savings target. OGUK continues to work with industry, government and regulators to understand how we can bring innovative ideas to life, such as multi-operator campaigns, which ultimately will help position the UK sector as a global leader in decommissioning.”

 

 

OGUK’s drive to ensure the UK oil and gas sector is taking collective action to stimulate its own recovery comes under focus in a free webinar featuring leading industry figures on Thursday 27 August.

Since April 2020, members of OGUK’s Recovery Group have been working across the industry to help shape the sector’s recovery as it looks beyond the issues posed by the coronavirus, tackles the challenge of sustained low commodity prices and takes steps to support the energy transition.

Chair of the webinar, Katy Heidenreich, OGUK’s Operations Director commented:
“OGUK is spearheading and supporting a number of self-help initiatives aimed at helping our industry recover from the triple threat of COVID-19, the dramatic crash in oil price and the lowest gas prices for 14 years. Working closely with government and regulators, we’re focusing on areas throughout the oil and gas lifecycle from exploration to decommissioning where we can boost competitiveness, unlock planned work programmes and stimulate activity for our world-class but fragile supply chain. Supporting recovery now is key to the industry realising its full potential through the energy transition and this webinar is an ideal chance to hear about progress achieved to date and proposals aimed at unlocking investment.”

Keynote speakers include Neil McCulloch, Executive VP, Technical & Operated Assets, Spirit Energy who will highlight the importance of strengthening the UK oil and gas sector now to attract new investment, retain the skills to recover activity and support the energy transition towards a low carbon economy.

Scott Robertson, Director of Operations at the OGA will cover a range for topics from the regulator’s perspective, including the significant prize remaining on the UKCS, and what the OGA has been doing to stimulate recovery. He will also provide an update on the new OGA Strategy which will incorporate net zero considerations, and outline what the OGA expects from industry and what industry can expect from the OGA going forward.

Members of OGUK’s recovery group will share examples of ongoing initiatives, with Gavin Rogers, Director of Innovation, Digital & Technology at Wood, discussing a collaboration between members to support a data-driven methodology that can optimise resource utilisation within the UKCS.

In a separate case study, Martin White Vice President, Halliburton and a member of the OGA/ Industry Wells Task Force will demonstrate the benefits of adopting a multi-operator campaign approach when executing well operations.

The webinar at 10 am on Thursday August 27 will include a panel session and places can be booked online https://www.eventbrite.co.uk/e/road-to-recovery-uk-oil-and-gas-industry-action-tickets-114507679552

Ends

OGUK responds to the OGA’s Thematic review report

Commenting on the publication of the Oil and Gas Authority’s ‘Thematic Review into Industry Compliance with Regulatory Obligations’, which stresses the key role of licence management in maximising economic recovery,

OGUK Operations Director Katy Heidenreich said:

“Thematic reviews are an established method of performance improvement which has been used across a number of sectors and we welcome this constructive reflection from the OGA today.

“It not only highlights areas where the UK offshore oil and gas industry and the regulator can make improvements, but also where the sector can build upon good practise. While the report looks at compliance in 2018, it is encouraging to see the OGA recognise the steps taken by industry since then that point to improvement in performance.

“However, there is always more that can be done and the recommendations provide practical and considered suggestions for both industry and the OGA to continue to improve and we look forward to building on this constructive approach.”

The OGA’s report can be found at https://www.ogauthority.co.uk/news-publications/news/2020/the-oga-stresses-key-role-of-licence-management-in-maximising-economic-recovery/

Ends

OGUK report offers first insight into impact of pandemic on offshore jobs

The number of workers on offshore oil and gas installations decreased by around 4,000 as the UK went into lockdown in March this year, official figures published by industry body OGUK confirm today. Average weekly personnel on board decreased from around 11,000 on the 8 March to just over 7,000 one month later, with drilling and engineering construction trades hardest hit.

OGUK’s Workforce Insight report 2020 also confirms the uptake of the Coronavirus Job Retention Scheme by companies, particularly in the supply chain, as many positioned themselves to endure the triple whammy of low oil and gas prices and the operational impact of the coronavirus pandemic.

The leading representative body for the sector noted that while official figures on both on and offshore employment would not be available until next year, tentative signs are worrying and underline the need for governments, industry and regulators to work together to protect the jobs and skills that will be needed to meet UK energy needs now and as the country moves to a lower carbon future.

Commenting, report author OGUK workforce engagement and skills manager Dr Alix Thom said:

“Our figures confirm the initial operational impact of the lockdown back in March this year, with the number of workers offshore decreasing considerably in the space of a month as companies reduced to minimum manning in a bid to control the spread.

“Numbers have risen steadily since then as industry has adopted a robust swiss cheese barrier model, with a range of preventative measures in place both prior to mobilisation and whilst offshore, which has helped secure more jobs and increase operations in the immediate term.

“Despite this, we continue to see some very worrying signs for employment in the sector, with the uptake of furlough and continued suppression of global energy demand impacting our industry like many others in the wider economy.

“As our report shows, the recruitment and retention of diverse and talented people will be essential as we work to support UK energy needs both now, and in a lower carbon context. A North Sea Transition Deal, supported by the UK and Scottish governments, can act as a catalyst for this future, and in so doing will provide certainty on the sustainability for the sector in difficult times.”

Digital Decommissioning Conference aims for international connectivity

Decommissioning takes on a new global dimension as OGUK launches its first ever virtual conference to provide delegates with a dynamic, international and interactive online experience.

Taking place from November 24-25, the event goes beyond the confines of traditional conferences to provide a digital platform with potentially global reach enabling participants to drive new conversations about decommissioning in the broader energy world in a time of unprecedented change.

Throughout the two-day event, delegates gain access to a fully immersive experience enabling them to interact with industry experts, visit virtual exhibition stands and engage in online networking. Topics on the agenda include the UK’s ambition to become a Global Hub of Excellence, evolving developments in regulation and a focus on developing the skills needed to support future decommissioning needs.

Commenting, OGUK’s decommissioning manager Joe Leask said:

“Reliable and definitive information is invaluable in uncertain times. OGUK’s Offshore Decommissioning conference will draw on the expertise of leading figures in decommissioning from around the world, providing delegates with the latest insight on the pressures, challenges and opportunities on the horizon.

“Whatever the limitations imposed by Covid-19, this event is an ideal opportunity to engage with delegates and take stock of where the sector is, and where it fits into the global low carbon context.”

The diverse and topical programme will be supported by session champions that include experts from the Oil  and Gas Authority (OGA) and its Decommissioning Task Force; the International Association of Oil and Gas Producers (IOGP); the Oil and Gas Technology Centre (OGTC); Decom North Sea; Robert Gordon University, the Aberdeen section of the Society of Petroleum Engineers (SPE) and OGUK.

Representatives from the Health and Safety Executive (HSE), Offshore Petroleum Regulator for Environment and Decommissioning (OPRED) and the OGA will be presenting at the event and delegates will also have the opportunity to use a multitude of online resources including videos, tools and presentations while contributing to live discussions via the chat channel.

More information is available at the Offshore Decommissioning Conference website and to register click here  

Ends

OGUK comments on the merger of Chrysaor with Premier Oil

Following the news of the merger of Chrysaor with Premier Oil today, OGUK’s chief executive Deirdre Michie, said:

“Chrysaor and Premier Oil are great stewards, contributors and champions of this industry so this investment is encouraging news for the UK Continental Shelf. 

“With companies increasingly looking to see how they can work together to meet as much of our oil and gas demand from domestic resources instead of imports, this merger will help to stimulate further activity for our hard-pressed supply chain and contribute to an inclusive transition towards a low carbon economy.”

Energy revolution must go hand in hand with skills and supply chain evolution

The leading representative body for the UK’s offshore oil and gas industry has welcomed Prime Minister Boris Johnson’s wind power plan today as a positive shot to the arm for its struggling supply chain.

The plan will include £160 million of funding made available to upgrade ports and infrastructure in critical energy communities including Teesside and Humber, Scotland and Wales.

Speaking in response to the proposals, OGUK said developing skills and supply chain capabilities will be critical if the UK is to reach its climate ambitions. In early 2020, around 75 percent of OGUK member companies reported at least some of their revenue is generated from non-oil and gas related work, with 30 per cent noting that more than 25 per cent is comes from diversified activity.  

Electricity demand currently accounts for 17 percent of total energy demand, meaning the decarbonisation of transport, industrial needs and heating remains critical if the UK is to meet its climate change targets. OGUK today reinforced the importance of the North Sea Transition Deal to deliver the low carbon solutions needed to drive a true green industrial revolution.

OGUK Chief Executive Deirdre Michie said:

“Today’s announcement is a great shot in the arm for our supply chain, which we know is already on the road in its diversification journey but needs substantive support.

“If we are to have the best chance at success, the green energy revolution must go hand in hand with a skills and supply chain evolution.  With the essential expertise to power the green recovery and help the UK meet its climate ambitions, the UK’s changing offshore oil and gas industry is committed to making a positive contribution.

“Through a North Sea Transition Deal we can help do some of the heavy lifting for the huge parts of our economy which won’t be able to meet climate targets through electricity alone. It’s why today we encourage the Prime Minister to maintain this momentum and unlock wider low carbon opportunities including carbon capture usage and storage, and hydrogen.

“With a fair and managed transition, this sector can continue to provide affordable energy to millions of households and families, support jobs in energy communities across the UK and create exciting new jobs of the future.”

Industry urges campaign groups to meaningfully engage with sector

The leading representative body for the UK’s offshore oil and gas industry has today repeated calls to campaign groups to meaningfully engage with the sector to ensure a fair and positive transition for energy communities.

The call comes after a report by published Friends of the Earth Scotland, Greenpeace and Platform failed to note the progress that is being made to support workers to move between renewables, oil and gas, and nuclear.

OGUK today said it intends to respond to the report and offered its full support in helping reach the heart of energy communities across the UK.

OGUK Chief Executive Deirdre Michie said:

“While this report confirms how much people working in our industry care about securing a fair transition, we’re also not aware of any approach from the report authors for feedback from the wider workforce and the industry on their findings. We look forward to contributing to this consultation and offer our support to help them reach the heart of energy communities from Aberdeen to Norwich and beyond.

“There has been some really exciting and positive developments taking place in the oil and gas industry in recent years, with over 5,000 conversations with workers, public bodies and trade unions from across the UK shaping Roadmap 2035: industry’s blueprint for net zero, throughout 2019.

“We’re already seeing some of the actions from the Roadmap come through with new training certificates being launched this week to support the requirements of a net zero economy.

“At a time when all industries are navigating unprecedented financial pressures, it is disheartening that some campaign groups are painting a misleading picture to suit a particular agenda, when in fact we could be much more effective if we work together to embrace the net zero opportunity. A huge proportion of companies in our industry have been supporting projects across the full energy spectrum including in renewables for years.

“This won’t help deliver what our energy communities badly need, which is a joined-up, fair and inclusive transition which harnesses the essential expertise in our country’s oil and gas industry. This means we can accelerate the transition without becoming even more reliant on imports for the gas and oil we still need during this time.

“We need to work together and listen to everyone in our industry as we make our positive vision for the future into a reality. This vision is already securing investment in the kinds of projects we need to meet our climate ambitions. The Dolphyn project announced this week is a great example and shows how our changing industry continues to benefit energy communities, bringing in new investment and creating exciting new roles for the future.

“With a strong domestic energy industry which continues to provide affordable energy for millions across the UK, we can continue to support jobs and make a crucial contribution to the UK economy while positioning ourselves as leaders in a lower carbon energy future.”

Hydrogen project adds to growing buzz around industry’s essential expertise

Exciting news that Aberdeen has been selected as the home for the world’s first offshore floating hydrogen facility to produce hydrogen from wind power confirms the benefits of the oil and gas industry’s expertise, sector leaders said today.

The leading representative body for the sector OGUK today welcomed news that developer Environmental Resources Management (ERM) will deliver its Dolphyn project off the coast of Aberdeen, aiming to deliver a prototype in 2024.

OGUK sustainability director Mike Tholen said:

“In tough times it’s encouraging to see a growing buzz around our changing industry, which has the essential expertise to help the UK meet its climate ambitions by 2050 and power the green recovery.

“The Dolphyn project is a great example of how this change is benefitting energy communities, bringing in new investment and creating exciting new roles for the future.

“This is supported by a domestic energy industry which continues to provide affordable energy for millions across the UK, supports jobs and makes a crucial contribution to the UK economy. We are now seeing the energy transition take place in real time, and continued partnership working remains essential if communities, industries and our people are to make the most of this opportunity.”

Experts gather to support SMEs in OGUK Tendering webinar

OGUK’s commitment to ensuring the recovery of the UK’s hard-pressed oil and gas supply chain continues with a webinar aimed at providing small to medium enterprises (SMEs) with top tips for successful tendering.

Taking place online on Wednesday 30 September, the free event aims to help SMEs wishing to improve how they bid to supply goods or services to a potential buyer and learn from experts in the field.

Emily Taylor, OGUK’s continuous improvement manager, said:

“Feedback from participants in our latest SME forum revealed there’s a strong demand for expert advice on tendering and what companies can do to continuously improve their business.

“While SMEs are a vital sector of our world-class supply chain and the lifeblood of innovation and opportunity, many are in a fragile position and our aim is give them a deeper insight of what customers look for from a potential supplier during the tendering process.

“Experts speaking at the webinar include representatives from the operator, SME, legal and commercial communities who will each outline what good practice looks like from their individual perspectives.”

Industry experts speaking at the event which starts at 9.30 am – 11.00 am include:

Catriona Stevenson, Chair of the OGUK SME Forum and Business Manager, Ecosse IP Ltd

Anne Farr, Managing Director, Rothera Group Ltd

Steve Mitchellhill, Contract specialist, Mitchelhill Consulting

Edward Hughes, Head of Contracts & Procurement, INEOS

Chris West, Chief Operating Officer, Optimus

Following the webinar which is open to both OGUK members and non-members, online delegates will have the opportunity to participate in a panel session and learn about how they can make the best of the opportunities ahead. Registration is at https://attendee.gotowebinar.com/register/1282319039831698959

Ends

Job support scheme provides certainty but focus on green recovery must continue

The leading representative for the UK’s offshore oil and gas industry has today initially welcomed the winter economy plans announced by the Chancellor, noting it will seek further information on the details of the proposals in the coming days.

Plans announced by the Chancellor today include wage top-ups targeted at small and medium businesses to replace the furlough scheme when it ends. Companies will also be given more time to repay funds accessed through the government’s coronavirus loan schemes.

A report by OGUK earlier this year warned up to 30,000 jobs could be lost in the sector as it faces a triple whammy of low oil and gas prices alongside the operational impact of the coronavirus pandemic. The body today encouraged governments to keep a focus on the prize of a green recovery, where the essential expertise of the oil and gas industry could mean fresh opportunities for the fragile supply chain.

Deirdre Michie

OGUK Chief Executive Deirdre Michie said:

“Throughout the pandemic our industry has never stopped working, providing affordable energy to millions across the UK. Today’s announcement will be helpful to our sector and the thousands of people it employs across the country.

“We welcome the principle of support provided by the Chancellor today and will be pressing for more detail regarding eligibility for our supply chain, which remains in a fragile condition.

“To increase activity levels in the industry we need to be able to get more people working without compromising on the health and safety of our people. We continue to have conversations with government about the best way to do this so that we can quickly accelerate maintenance programmes and other activity as soon as possible.

“Facing a winter of uncertainty, focus must also remain on the prize of securing a green recovery which puts the essential expertise of our industry to work in building the solutions we need to meet our climate ambitions.

“Through a green recovery, a North Sea Transition Deal and continued support for our industry, we can help keep costs low for households and families, retain jobs and create new roles for the future.”

Nominations opportunity to highlight true North Sea spirit

The leading representative body for the UK’s offshore oil and gas industry has hailed the grit and resilience of the thousands of people working for the critical sector as it opened nominations for its annual awards.

Throughout the coronavirus pandemic, key workers both on and offshore continued to safely operate installations around the UK Continental Shelf, supporting the UK’s security of energy supply.  While seeking to deal with the economic fall-out of the  low oil and gas prices brought about by the pandemic, the industry continued with its work on Roadmap 2035, making  major commitments to halve emissions from the production of oil and gas in the next decade as well as progressing its plans to support carbon cutting solutions including carbon capture usage and storage and hydrogen.

Industry body OGUK will hold its annual awards, sponsored by Shell,  on 10 December this year, with hopes that its virtual format will make it more accessible not only to the industry workforce, but to family, friends and anyone with an interest in how the sector is shaping up as part of a low carbon future.

Commenting as nominations open, OGUK chief executive Deirdre Michie said:

“This has been extraordinary year in which our industry, only just beginning to recover from the last downturn, finds itself facing more dark days ahead. Yet, in spite of the personal and professional challenges the coronavirus pandemic brought on all industries, companies and people, our key workers ensured our critical industry never stopped operating.

“This is the North Sea spirit and grit we are known for, working in tough circumstances to provide affordable energy to millions across the UK. It is this same resilience which should give confidence that our changing industry is and will continue to step forward by cutting its emissions and in using its skills and expertise to develop the solutions needed to meet our country’s climate ambitions. We remain on track to deliver our ambitious plan to realise the full potential of our sector through the energy transition, Roadmap 2035.

“With a new virtual format, OGUK’s annual awards are an opportunity to tell our positive story to more people than ever before. Whether it’s family, friends, or you  want to know more about how our industry is changing andabout the people who make this sector the amazing industry that it is, we hope everyone will enjoy taking part in acknowledging and celebrating inspirational and impressive contributions.”

Nominations close on 2 October and companies are being encouraged to champion talent and innovation, with nine awards up for grabs this year.

Shell UK upstream vice president Steve Phimister said:

“2020 has thrown down challenge after challenge for the sector. But our people have stepped up and met it, maintaining the critical energy supplies that the UK relies on, as well as starting to address the all-important subject of Energy Transition. We can all be proud of our huge efforts right across the industry, and I look forward to seeing our most important asset – our people – celebrated at these awards.”

Ends

Notes to Editors:

  1. Categories include:
Individual Awards

 

  • Award for Apprentice of the Year
  • Award for Graduate of the Year
  • Award for Mentor of the Year
Company Awards

 

  • Award for Excellence in Decommissioning
  • Award for Energy Transition
  • Award for Diversity and Inclusion
  • Award for Workforce Engagement
  • Award for Business Innovation
    – SME and Large Enterprise
  1. Further information about OGUK’s Annual Awards can be found here:

 

Issued by the Communications Team, OGUK.  Contact Communications Manager Natalie Coupar, 07531407007 / [email protected],uk

OGUK is the leading representative organisation for the UK offshore oil and gas industry. Its membership comprises oil and gas producers and contractor companies.

OGUK Industry Insights webinar inspires next generation on route to net zero

More than 200 people joined OGUK’s Industry Insights webinar for young professionals today (Thursday, September 17) to hear how the sector is working to advance new technologies on the route to net zero. 

The free event, sponsored by Halliburton, centred around the skills required for the future in reaching net zero carbon emissions by 2050 in the UK and by 2045 in Scotland, and how important the next generation of talent will be in realising the full potential of the UK’s oil and gas industry through the energy transition.

The audience also heard from a panel of speakers including Ryan Fernando, workshop supervisor at Aker Solutions (2018 winner of OGUK apprentice of the year), Martin White, vice president at Halliburton, Alix Thom, workforce engagement and skills manager at OGUK, Francesca Bell, business advisor at OGUK, and Paul de Leeuw, director of the RGU Energy Transition Institute, Robert Gordon University.

The webinar was chaired by OGUK’s continuous improvement manager, Emily Taylor, who said:

“We are delighted with the success of this third virtual Industry Insights event, which centred around skills for the future, taking a deep dive into Geosciences before looking at the entire industry. The session also gave the audience insights into the energy transition and allowed them to voice their personal experiences of the industry.

“Through the energy transition, we have a once in a lifetime opportunity to show how we can build a more diverse and lower carbon energy mix in a way that embraces the skills and talents of our people, and young professionals will have a huge part to play in helping drive that forward.

“Understanding how we can meet the ambitions outlined in Roadmap 2035 will require fresh thinking and OGUK is passionate about ensuring everyone can make a valuable contribution on our journey to becoming a net zero basin.”

The webinar follows the success of three Industry Insight events hosted by OGUK over the past year, including one focused solely on interns which was attended by over 100 young people with placements in operator, service and supply chain companies.

OGUK’s response to Climate Assembly UK report

OGUK has welcomed the final report released by Climate Assembly UK today (Thursday, September 10), which states that the country’s path to net zero must be underpinned by education, choice, fairness and political consensus.

OGUK is already discussing a transformational North Sea Transition Deal with the UK Government, which will also set out how the country’s oil and gas industry will play its part in supporting a green recovery that attracts investment, jobs and boosts the supply chain.

Commenting, OGUK’s chief executive Deirdre Michie said:

“The Climate Assembly UK report is welcome and picks up on a number of areas that we as an industry are already driving forward in support of the country’s climate ambitions.

“We already know the powerful combination of this sector’s skills, capabilities and infrastructure are advancing new technologies on the road to net zero, with some key projects already underway. At the same time, our changing industry can help to keep costs low for households, support highly skilled jobs while also developing cleaner energy for the future.

“Industry’s Roadmap 2035 offers a sensible blueprint with a progressive net zero agenda, supporting energy communities to embrace new opportunities – including hydrogen. Despite the pressures experienced by the sector, a number of identified actions have already been delivered, including our commitment to halve emissions from the operational production of oil and gas over the next decade.

“Through the energy transition, we have a once in a lifetime opportunity to show how we, as an oil and gas producing country, can successfully build a more diverse and lower carbon energy mix in a way that embraces the skills and talents of our people, provides secure and affordable energy to all, and unlocks thriving energy communities both now and in future.”

OGUK responds to UK’s 32nd Offshore Licensing Round Awards announced by OGA

Commenting on the OGA’s announcement of the award offers in the 32nd Licensing Round

Katy Heidenreich, OGUK’s supply chain and operations director said:

“At a time when companies face huge pressures it is encouraging that our basin continues to demonstrate its attractiveness to a wide range of companies. This is a crucial element in unlocking the new investment that will help continue to meet UK energy needs and sustain jobs across our sector.
As a net importer of oil and gas it is critical that the UK continues to explore for and develop new resources in terms of energy security. Achieving this means we can continue to anchor our world-class expertise in the UK as our sector positions itself to play a key role in the transition to a lower carbon future as outlined in industry’s Roadmap 2035.”

Ends

Government licensing review is opportunity to shine a light on changing industry

The leading representative body for the UK’s offshore oil and gas industry has embraced a UK government review into future licensing rounds as an opportunity to shine a light on how the sector is changing to support the country’s climate ambitions while still ensuring it contributes to the UK’s ongoing security of energy supply.

Speaking in response to the announced review, OGUK Chief Executive Deirdre Michie OBE called for a constructive and open discussion about how the UK will continue to meet its energy needs while delivering consumer affordability and jobs, optimising indigenous energy sources in a way that ensures the UK doesn’t offshore its emissions to other countries.
The industry is currently working with the UK Government on a North Sea Transition Deal which will look to harness the full potential of the sector in developing cleaner energy solutions including carbon capture usage and storage and hydrogen.

The announcement comes as the UK oil and gas industry marks a year since it published its response to climate commitments, Roadmap 2035, which identified over sixty actions required to support a fair and managed transition to a lower carbon future.

Commenting, OGUK Chief Executive Deirdre Michie OBE said:

“The UK offshore oil and gas industry has the essential expertise to help the UK meet its climate ambitions by 2050 while at the same time providing affordable energy for households and families, supporting jobs, and creating exciting energy jobs of the future.

“This review is an opportunity to shine a light on how our industry is changing. With commitments to halve emissions in the next decade and committed investment in exciting low carbon solutions, the changing UK oil and gas industry is stepping up to the climate change challenge.

“Throughout the coronavirus pandemic we have not stopped working, and our people have continued to work in difficult circumstances to meet as much of the UK’s oil and gas needs from domestic resources. The reality is that oil and gas will continue to be part of a diverse energy mix for years to come.

“We now need a constructive and open conversation about how our oil and gas producing country can transition fairly to a lower carbon future. Working with governments, regulators and through sensible debate, we can protect jobs and affordability while being ultimately accountable for the emissions associated with the oil and gas we use.”


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Roadmap 2035 on course despite industry challenges

Over eight actions identified by the UK’s offshore oil and gas industry as essential if it is to realise a successful future in a lower carbon future have already been delivered, with a further 20 underway, despite the pressures heaped on the sector by the coronavirus pandemic.

Progress against an ambitious industry roadmap was confirmed by representative body OGUK, noting it as further evidence that the UK sector is embracing change.

Roadmap 2035: a blueprint for net zero, was one of the first UK industry responses to government commitments to achieve net zero carbon emissions by 2050 in the UK and 2045 in Scotland. Published at Offshore Europe in 2019, the substantive document commits the sector to a range of actions to help meet the UK’s energy needs, support jobs, develop new technologies, cut emissions, and expand export opportunities.

The challenges and opportunities facing the sector a year on from the Roadmap will be the focus of an industry webinar, sponsored by Deloitte, to be hosted by OGUK on Tuesday 8 September 2020.

Commenting, OGUK Chief Executive Deirdre Michie OBE said:

“The UK offshore oil and gas industry has the essential expertise to help the UK meet its climate ambitions by 2050 while at the same time providing affordable energy for households and families, supporting jobs, and creating exciting energy jobs of the future.

“Despite the challenges heaped on the sector by the coronavirus pandemic and low oil and gas prices, a number of actions of Roadmap 2035 have already been delivered and many more are underway. This progress is testament to the fact that our industry is changing and is committed to positive change for the long term.

“As we look to further challenges ahead, support of government and regulators remains critical if we are to be able to realise our full potential through the energy transition. The North Sea Transition Deal can be a catalyst in delivering Roadmap 2035 and supporting the green recovery, as well as specific recognition from governments and politicians of the positive role we can play in our economy and society.”

Graham Hollis, office senior partner for Deloitte in Aberdeen commented:

“There is no doubt that the sector is under immense pressure as businesses grapple with the challenges posed by the coronavirus pandemic as well as the fallout from the Saudi-Russia price war. Despite this, it is promising to see the strong progress being made and the sector’s willingness to enact positive change while continuing its important role in maintaining jobs and affordable energy.

“It is crucial that this momentum is maintained, and businesses must continue to innovate and collaborate to deliver on the ambitions of Roadmap 2035 and ensure the country’s future, sustainable energy mix.”

Major new report sets baseline to push greater progress in digitalisation

Findings from the first survey of digitalisation in the oil and gas industry reveal there’s a strong appetite to ensure technology is matured to improve the sector’s connectivity, efficiency and sustainability but highlight the need to promote collaborative working if these transformational changes are to become a reality.

With support from Deloitte, the UKCS Data and Digital Maturity Survey was launched in June 2020 by OGUK, the leading representative body for the UK offshore oil and gas industry, in partnership with the Technology Leadership Board (TLB), the Oil and Gas Technology Centre (OGTC), and Opportunity North East (ONE) to assess the maturity of digitalisation across the sector.

Compiled with input from a cross section of more than 70 organisations and almost 40 individuals, full details of the report will be shared at a free webinar chaired by Dr Dan Brown, Executive Director of OGUK subsidiary Common Data Access (CDA) together with CDA Delivery Manager Sakthi Norton on 1 September. Key speakers at the event will include:
• Mikki Corcoran, Co-Chair TLB
• Alex Macdonald, Digital Transformation Project Manager, OGTC
• Jared Owen, Director of Digital and Entrepreneurship, Opportunity North East (ONE)

Following the presentations, John Seabourn, Chief Digital Officer, OGA and Guri Neote Director of Deloitte Consulting’s Digital Capital Projects team will join the speakers in an interactive panel session.

Deirdre Michie, OBE OGUK Chief Executive, said:
“This timely report provides industry with an invaluable baseline for developing the strategies we need to realise the huge potential for digitalisation, enabling our industry to become more connected, efficient and sustainable in the process. Digitalisation is as much about culture as technology and the report highlights the importance of businesses working together to share ideas, challenge themselves and combine expertise to deliver the transformational change we need to spur our sector’s recovery and support an accelerated transition to net zero.”

Sir Ian Wood, KT GBE, Chair ONE, said,
“The report provides critical insight at a time when businesses of all sizes are having to adapt to major market and customer changes. While the industry is strong in the technical aspects of digital, it lacks the innovation mindset and culture to be decisive in digital transformation in relation to its peers. It is encouraging to see a strong desire for collaboration but it’s still not strong enough and we need to pick up the pace in this area if we are to fast-track progress. It’s imperative that we use the findings to collectively tailor action and catalyse a more digitally focused industry.”

Colette Cohen OBE, CEO of the Oil & Gas Technology Centre said:
“Digitalisation provides opportunities for increased efficiency, reduced carbon footprint and improved safety, which are crucial in the transition to a net zero future. This report shows that industry collaboration is the enabler, with the true potential of data being unlocked through a shared approach to industry challenges.”

Mikki Corcoran, Co-Chair TLB, Schlumberger, said
“Genuine digital transformation is fundamental to remaining a strategic energy supplier to the U.K. in a net zero world. Today we have the technology we need; leadership and vision are required to make this a reality on the UKCS.”

Graham Hollis, Office Senior Partner for Deloitte in Aberdeen added: “This report provides timely insight into the topics that matter most to businesses of all sizes operating across the UK’s oil and gas sector. It is promising to see the progress industry has made to date in its digital journey, however it is clear there remains many challenges that need to be overcome for industry to truly maximise the opportunity provided by digitalisation.”

The detailed survey report and summary slides can be found at the OGUK website

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OGUK welcomes trio to Board with industry focus on recovery efforts

 

The leading representative body for the UK oil and gas industry, OGUK, has appointed three major business leaders to its board as the sector sharpens its focus on recovery.

 

As UK Managing Director of gas-focused exploration and production company, Neptune Energy, Alexandra Thomas represents one of the leading independents investing in the UK North Sea. With international expertise in exploration and development, Alexandra brings 18 years’ oil and gas experience to OGUK’s board. She started her career on assignments with Shell and Equinor later working in senior leadership roles in the UK, Netherlands, Norway and Ghana, where she was Tullow Oil’s Head of Exploration, Development and Commercial before joining Neptune in 2020. An ardent promoter of diversity and inclusion in the workplace, Alexandra champions for women in engineering and technical roles and mentors a number of men and women in their career development.

 

 

 

 

BP’s Senior Vice President for the North Sea Emeka Emembolu has significant knowowledge of the company having joined the business in 1998. Since starting his career as a production engineer on bp’s ETAP development in the central North Sea, Emeka has worked in diverse technical and leadership roles in regions across the globe including the UK, Angola, Algeria, Egypt, Alaska and latterly Texas where he was Vice President, Reservoir Development for the Gulf of Mexico & Canada. Emeka is passionate about promoting STEM subjects and highlighting the potential for technology to deliver solutions to industry’s challenges.

 

 

 

 

 

As Regional Director for CHC Helicopter’s European, Middle East and African business, Mark Abbey has a wealth of aerospace and aviation experience built up over 35 years in the industry. Mark’s career has encompassed senior management positions in Europe, the USA, India and China. Earlier in his career, Mark spent 16 years at BAE Systems in an executive role managing their aircraft systems and operational facilities for assets including the Hawk Jet Trainer.

 

 

 

Deirdre Michie, OGUK’s chief executive, commented:

“The diverse experience and knowledge that Emeka, Mark and Alexandra bring to the OGUK Board will be a great asset as our industry tackles a challenging landscape of low commodity prices and the coronavirus pandemic, while at the same time seeking to support the UK’s cleaner climate ambitions.

“This diversity of perspectives from across industry is critical as we work to deliver Roadmap 2035, finding solutions for low carbon oil and gas production while doing everything we can to revive our world-class but fragile supply chain and protect the skills of our people for the future.“

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Supply Chain focus boosted as OGUK creates new integrated directorate

Katy HeidenreichThe leading representative body for the UK offshore oil and gas industry is driving its supply chain agenda forward by appointing Katy Heidenreich, director responsible for leading its supply chain and operations activities.

Currently spearheading OGUK’s Recovery Group’s work with industry, Government and regulators to stimulate investment in the basin, Katy will focus on supply chain activities while progressing initiatives aimed at increasing UKCS activity to sustain jobs across the sector’s beleaguered supply chain.

In her new role, Katy will build on the significant progress achieved by Matt Abraham, who leaves the representative body to take up a leadership role in a major contractor company after two and a half years as OGUK’s supply chain and exports director.

Katy’s extensive supply chain experience includes 27 years in the oil and gas industry working in technical and senior management roles in the UK, Norway and Azerbaijan. She joined OGUK in 2015 after 15 years with Schlumberger Oilfield services, latterly as Commercial Manager for UK, Holland and Denmark. Katy is also the author of ‘The industry’s best kept secret’- a book designed to inspire and encourage more women to consider careers in the energy sector.

OGUK Chief Executive Deirdre Michie commented:
“Our industry has the essential expertise to help the UK meet its climate ambitions by 2050 and power the green recovery. At the same time, we can help keep costs low for households and families, retain jobs and create new roles for the future.

“Supporting a sustainable recovery is at the heart of all this, and Katy will have a critical role in bringing the supply chain together with our operations to support much needed recovery, at pace. Katy’s expertise in optimising operations to help unlock investment will help stimulate much needed activity for our world-class but fragile supply chain.

“I’m also grateful to Matt for his contribution to OGUK and industry during some of our most challenging times and wish him every success for the future.”

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OGUK response to OGA’s Decommissioning Cost Estimate report

Commenting on the OGA’s Decommissioning Cost Estimate report published today (Wednesday, August 19), Joe Leask, decommissioning manager at OGUK, said:

“The OGA’s report on decommissioning cost trends for the UK industry shows the challenges we face.

“While significant progress has been made over the years, new ways of working will be critical to ensure we stimulate activity in the supply chain, keep skills and infrastructure in the UK, and meet our savings target. OGUK continues to work with industry, government and regulators to understand how we can bring innovative ideas to life, such as multi-operator campaigns, which ultimately will help position the UK sector as a global leader in decommissioning.”

 

 

OGUK webinar to highlight progress on sector’s road to recovery

OGUK’s drive to ensure the UK oil and gas sector is taking collective action to stimulate its own recovery comes under focus in a free webinar featuring leading industry figures on Thursday 27 August.

Since April 2020, members of OGUK’s Recovery Group have been working across the industry to help shape the sector’s recovery as it looks beyond the issues posed by the coronavirus, tackles the challenge of sustained low commodity prices and takes steps to support the energy transition.

Chair of the webinar, Katy Heidenreich, OGUK’s Operations Director commented:
“OGUK is spearheading and supporting a number of self-help initiatives aimed at helping our industry recover from the triple threat of COVID-19, the dramatic crash in oil price and the lowest gas prices for 14 years. Working closely with government and regulators, we’re focusing on areas throughout the oil and gas lifecycle from exploration to decommissioning where we can boost competitiveness, unlock planned work programmes and stimulate activity for our world-class but fragile supply chain. Supporting recovery now is key to the industry realising its full potential through the energy transition and this webinar is an ideal chance to hear about progress achieved to date and proposals aimed at unlocking investment.”

Keynote speakers include Neil McCulloch, Executive VP, Technical & Operated Assets, Spirit Energy who will highlight the importance of strengthening the UK oil and gas sector now to attract new investment, retain the skills to recover activity and support the energy transition towards a low carbon economy.

Scott Robertson, Director of Operations at the OGA will cover a range for topics from the regulator’s perspective, including the significant prize remaining on the UKCS, and what the OGA has been doing to stimulate recovery. He will also provide an update on the new OGA Strategy which will incorporate net zero considerations, and outline what the OGA expects from industry and what industry can expect from the OGA going forward.

Members of OGUK’s recovery group will share examples of ongoing initiatives, with Gavin Rogers, Director of Innovation, Digital & Technology at Wood, discussing a collaboration between members to support a data-driven methodology that can optimise resource utilisation within the UKCS.

In a separate case study, Martin White Vice President, Halliburton and a member of the OGA/ Industry Wells Task Force will demonstrate the benefits of adopting a multi-operator campaign approach when executing well operations.

The webinar at 10 am on Thursday August 27 will include a panel session and places can be booked online https://www.eventbrite.co.uk/e/road-to-recovery-uk-oil-and-gas-industry-action-tickets-114507679552

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