At their second London OGUK Business Breakfast of 2019, The Oil & Gas Authority (OGA) will unveil the findings of the 2019 UKCS Decommissioning Cost Estimate Report. The annual report first published in 2017 tracks the progress towards a collective goal by industry, government and regulators to achieve a reduction of overall decommissioning costs by 35%.
Over the past two years the pace of decommissioning in the UK has steadied as the sector becomes more efficient and gains in expertise. Decommissioning expenditure is expected to run at about £1.5 billion per annum over the next decade, 20 per cent lower than forecast in 2017, presenting the UK with a £15.3bn opportunity over the next decade.
The UK is a first mover in the decommissioning of complex, deep water oil and gas assets and we must seize the global opportunities in the global decommissioning market. Alongside this, the energy transition is gathering pace, the UK is therefore uniquely placed to help lead the world in the development and deployment of Carbon Capture Usage and Storage (CCUS), building on the re-use of offshore infrastructure, industry geological expertise, and skills and knowledge of our supply chain.
This breakfast also considers the need to re-use assets for CCUS and other ways to deliver value to the UK economy from decommissioning. Additionally, the innovative market-driven means to fund CCUS, which the Committee on Climate Change has said is critical to achieving a net zero economy, will be discussed.
Click here for more information on the agenda and to book.