Report: 65% of active UKCS fields to be decommissioned

According to a report by Deloitte and Douglas Westwood, 65% of fields currently active on the UKCS are due to be decommissioned over the next ten years, including 45% of steel platforms and over two thirds of all subsea units.

Offshore staff

ABERDEEN, UK -- According to a report by Deloitte and Douglas Westwood, 65% of fields currently active on the UKCS are due to be decommissioned over the next ten years, including 45% of steel platforms and over two thirds of all subsea units.

The infrastructure includes 10,000 km (6,214 mi) of pipeline, 15 onshore terminals, and approximately 5,000 wells.

The new study provides an overview of the UK’s regulatory regime, planning requirements, the economic aspects of decommissioning, and an analysis of the decommissioning supply chain.

“Total costs involved in decommissioning UKCS infrastructure are estimated at $24-32 billion; however, this could prove a conservative estimate when substantive work starts in the next 10 years,” says Andrew Ogram, tax partner at Deloitte in Aberdeen.”

10/07/2009

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