roddy
@roddy
@roddy
Oil and Gas UK. Activity Survey for 2014
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The Foreword of this publication is a revelation. It is by Malcolm Webb, Chief Executive, Oil and Gas UK. Taking some of his points (and therefore out of context).
"Whilst there are over ten billion barrels of oil equivalent (boe)
currently in company plans, four billion boe of these have yet to
secure investment. Improving recovery from existing fields and an
active exploration programme to find resources has the potential to
add at least another ten billion boe, but none of this will be easy..........
The UKCS still holds significant potential - but only if the business conditions or investment in exploration, appraisal and development are right. This year, 25 exploration wells are planned, which still falls far below the 44 drilled just six years ago, and even if all the wells proceed, the rate of drilling is too low to recover even a fraction of the potential resources. There is an abundance of resources yet to be found and it is imperative we find the means to turn exploration around."
To sum up, potentially 20 billion barrels of oil (boe)at $50 per barrel is still one trillion dollars. If the cost per barrel goes up to over $100 per barrel, that then is two trillion dollars value. I since nobody really knows how much oil there is on Scotland's Alantic margin, it could be much, much more than that.
This is so enormous that it beggars belief.