Oil & Gas UK has called for continued stability and support for the sector ahead of the UK Government’s draft finance bill published tomorrow (6th July).
The industry body has underlined the importance of a stable fiscal regime in attracting fresh investment to the basin, ensuring it remains competitive as it matures.
The industry has been successful in improving competitiveness throughout the downturn. Unit operating costs in the basin are down by 50 percent while production is up 16 percent compared to 2014.
Commenting, Mike Tholen, Oil & Gas UK Upstream Policy Director said:
“Stability and continued collaboration with government is crucial if we want to continue to attract fresh investment to the North Sea.
“It has served us well and will be key to maximise the future recovery of the estimated 10-20 billion barrels that remain on the UKCS. The oil and gas industry contributes billions to the economy, supports hundreds of thousands of jobs and helps ensure security of energy supply.
“Long-term investor confidence is a pre-requisite to realising Vision 2035, industry’s shared ambition to add a generation of life to the sector. With UK Government figures showing oil and gas is set to provide more than two thirds of energy supply by this time, it is clear we have a significant role to play in supporting the UK’s its energy transition towards a lower carbon economy”
Notes to Editors:
Issued by the Communications Team, Oil & Gas UK. Contact Lucy Buglass, Communications Adviser on [email protected]
Oil & Gas UK is the leading representative organisation for the UK offshore oil and gas industry. Its membership comprises oil and gas producers and contractor companies.