Oil production highest since 2011; forecasts rise

Oil and gas production in the UK increased by more than 4% in 2018, averaging 1.7 million barrels of oil equivalent (boe) per day, according to new report from the Oil and Gas Authority.

And the “Projections of UK Oil and Gas Production and Expenditure Report” published Monday estimates that UK oil and gas production over the period 2016–2050 is projected to be 3.9 billion barrels of oil equivalent (boe) higher than projections four years ago.

Compared with the previous projection last year, this is equivalent to gaining an additional four years of production (at the present rate) from the UK’s currently largest producing oil field.

In 2018, oil production alone rose to 1.09 million barrels per day – up 8.9% on the previous year and the highest UK oil production rate since 2011.

“This increase can be attributed to over 30 new fields coming onstream since 2015, improved production efficiency and asset integrity, the realisation of enhanced oil recovery (EOR) projects and the UK’s offshore licensing rounds’ continued focus on associated exploration, appraisal and development commitments,” said the Oil and Gas Authority.

Loraine Pace, Head of Performance, Planning and Reporting at the OGA, said: “The 3.9 billion barrels identified is great news with 2018 being a productive year.

“New discoveries such as Glendronach and Glengorm highlight the future potential of the basin which could be boosted further with new investment, exploration successes and resource progression.

“The OGA continually supports industry in efforts to revitalise exploration, through Area Plans and promoting new technologies.”