• 1 day PDVSA Booted From Caribbean Terminal Over Unpaid Bills
  • 2 days Russia Warns Ukraine Against Recovering Oil Off The Coast Of Crimea
  • 2 days Syrian Rebels Relinquish Control Of Major Gas Field
  • 2 days Schlumberger Warns Of Moderating Investment In North America
  • 2 days Oil Prices Set For Weekly Loss As Profit Taking Trumps Mideast Tensions
  • 2 days Energy Regulators Look To Guard Grid From Cyberattacks
  • 2 days Mexico Says OPEC Has Not Approached It For Deal Extension
  • 2 days New Video Game Targets Oil Infrastructure
  • 2 days Shell Restarts Bonny Light Exports
  • 2 days Russia’s Rosneft To Take Majority In Kurdish Oil Pipeline
  • 2 days Iraq Struggles To Replace Damaged Kirkuk Equipment As Output Falls
  • 2 days British Utility Companies Brace For Major Reforms
  • 3 days Montenegro A ‘Sweet Spot’ Of Untapped Oil, Gas In The Adriatic
  • 3 days Rosneft CEO: Rising U.S. Shale A Downside Risk To Oil Prices
  • 3 days Brazil Could Invite More Bids For Unsold Pre-Salt Oil Blocks
  • 3 days OPEC/Non-OPEC Seek Consensus On Deal Before Nov Summit
  • 3 days London Stock Exchange Boss Defends Push To Win Aramco IPO
  • 3 days Rosneft Signs $400M Deal With Kurdistan
  • 3 days Kinder Morgan Warns About Trans Mountain Delays
  • 3 days India, China, U.S., Complain Of Venezuelan Crude Oil Quality Issues
  • 3 days Kurdish Kirkuk-Ceyhan Crude Oil Flows Plunge To 225,000 Bpd
  • 4 days Russia, Saudis Team Up To Boost Fracking Tech
  • 4 days Conflicting News Spurs Doubt On Aramco IPO
  • 4 days Exxon Starts Production At New Refinery In Texas
  • 4 days Iraq Asks BP To Redevelop Kirkuk Oil Fields
  • 5 days Oil Prices Rise After U.S. API Reports Strong Crude Inventory Draw
  • 5 days Oil Gains Spur Growth In Canada’s Oil Cities
  • 5 days China To Take 5% Of Rosneft’s Output In New Deal
  • 5 days UAE Oil Giant Seeks Partnership For Possible IPO
  • 5 days Planting Trees Could Cut Emissions As Much As Quitting Oil
  • 5 days VW Fails To Secure Critical Commodity For EVs
  • 5 days Enbridge Pipeline Expansion Finally Approved
  • 5 days Iraqi Forces Seize Control Of North Oil Co Fields In Kirkuk
  • 5 days OPEC Oil Deal Compliance Falls To 86%
  • 6 days U.S. Oil Production To Increase in November As Rig Count Falls
  • 6 days Gazprom Neft Unhappy With OPEC-Russia Production Cut Deal
  • 6 days Disputed Venezuelan Vote Could Lead To More Sanctions, Clashes
  • 6 days EU Urges U.S. Congress To Protect Iran Nuclear Deal
  • 6 days Oil Rig Explosion In Louisiana Leaves 7 Injured, 1 Still Missing
  • 6 days Aramco Says No Plans To Shelve IPO
OPEC Looks To Permanently Expand The Cartel

OPEC Looks To Permanently Expand The Cartel

OPEC Secretary General Mohamed Barkindo…

Russia Goes All In On Arctic Oil Development

Russia Goes All In On Arctic Oil Development

Fighting sanctions and low oil…

North Sea Oil Output Set For Decline

Offshore

North Sea crude oil and condensate production will decline by 40,000 bpd next year as fewer new projects come online, according to research from ESAI Energy. Before that, however, production will rise by 50,000 bpd to reach some 2.9 million bpd this year.

The increase this year will come on the back of new projects and “light maintenance schedules,” ESAI Energy said as quoted by Trend news agency, which will offset the depletion of legacy fields in the area.

In its report, ESAI Energy noted that explorers in the North Sea had benefited from higher oil prices like the rest of the industry, despite field depletion.

“By renegotiating service contracts and focusing on the most promising fields, companies have been able to bring online projects, sanctioned at higher crude prices, profitably. Producers in the UK also received a small assist from the government in the form of reduction in the headline tax rate from between 50-65 to 40 percent,” the research company said.

The North Sea has seen quite a lot of activity recently. Earlier this year, Shell struck a deal with Chrysaor to sell it most of its assets there for $3.8 billion, significantly reducing its decommissioning costs associated with the mature fields.

BP, another giant with a substantial presence in the area, agreed to sell its Forties pipeline network – the oldest and largest in the North Sea – for $250 million to UK-based chemicals company Ineos, which is set on building a presence in the area.

Related: Iran Ramps Up Oil Output As OPEC Production Falls

At the same time, some explorers are making new discoveries, potentially significant. Hurricane Energy, for example, announced in early April that it has struck what’s possibly the biggest untapped oil deposit in the UK continental shelf.

The Greater Lancaster Area may contain as much as 590 million barrels of crude – an upward revision from Hurricane Energy’s 2013 assessment of the field, which stood at 200 million barrels. Potentially— but it could rise to as much as 1 billion barrels. Production, however, will only start in 2019, at an initial target rate of 17,000 bpd.

By Irina Slav for Oilprice.com

More Top Reads From Oilprice.com:



Join the discussion | Back to homepage

Leave a comment

Leave a comment

Oilprice - The No. 1 Source for Oil & Energy News