LONDON -- In a report published today, Oil & Gas UK highlights the £15 billion ($20.7 billion) market for abandonment services needed for nearly 5,000 platform and subsea wells on the UK continental shelf (UKCS). The report, which was prepared by the InterAct Activity Management with the help of Oil & Gas UK's well abandonment workgroup, also identified that existing technology will allow the abandonment of only two thirds of wells without the use of a rig. The rigless abandonment of the remaining one third will be reliant on the development of new technologies, the report concludes.
"Many felt that a significant market opportunity for well abandonments on the UKCS exists," says Jules Schoenmakers of Shell. "The study now quantifies this opportunity. Operators are looking for breakthrough technologies and new approaches in this emerging business. The size of the market appears large enough to support many businesses and teams of specialized well abandonment professionals for several decades."