Oil & Gas Division Update - September 2015
Oil and Gas spot prices have remained depressed throughout the summer and most Industry commentators expect this to remain the case for some time. In response the UK Oil and Gas Industry continues to progress opportunities to reduce costs, this includes looking at other Industries. In the summer a cross sector efficiency study undertaken by Price Waterhouse Coopers was published by Oil and Gas UK and is worth a read.
Safety remains a top priority for the Industry. In July new Safety Case Regulations for offshore oil and gas operations came into force to implement European Union Directive 2013-30 on offshore safety that was passed by the European Parliament in response to the Deepwater Horizon incident in the Gulf of Mexico.
Ensuring that oil and gas wells are appropriately abandoned to prevent any future loss of containment is key, especially as many offshore installations start to reach the end of their economic lives. The Oil and Gas UK Well Abandonment Guidelines are widely used and recognised as leading practice. In July Oil and Gas UK published updates to both the UK Well Abandonment Guidelines and the UK Well Abandonment Cost Estimating Guidelines.
The media, and indeed the Institute’s own Materials World magazine, continue to publicise inaccurate and misleading information pertaining to the potential development of UK shale gas and oil. The Institute exists to benefit the public and has an obligation to provide the public with pertinent information. In this regard the Institute has formed a joint working group with the Institute of Mechanical Engineers to produce a paper on shale well integrity. Concurrent with this work Oil and Gas UK and the UK Onshore Operators Group are updating the UK Well Integrity Guidelines to ensure that the UK continues to have the most robust regulatory framework for well integrity.
Concurrent with the opening of the new offices the Division has updated it’s brochure ready for the upcoming student seminar programme.
Last week, with the Institute of Mechanical Engineers, the Division hosted a presentation on drilling and visit to the drilling simulators at the BP centre in Sunbury-on Thames.
The Division is working with the Institute to host an event in Baku for Division members working in Azerbaijan.
There has been a recent upsurge in applications for professional qualifications with six candidates interviewed in Aberdeen in September.
Despite the downturn in oil and gas prices the Division is busy and as always I would commend you to this website to keep up to date with the latest information from the Division.
Oil and Gas Division Chairman
20th September 2015