Oil & Gas

Kemp says low oil price will lead to ‘greater emphasis’ on cost reduction but will curtail new investment

Leading oil and gas economist Professor Alex Kemp said a continued low oil price could lead to a "greater emphasis" on cost reduction, but was also likely to curtail investment in new fields and exploration. Prof Kemp made the analysis after Asco chief executive Alan Brown exclusively told Energy Voice he thought a continued oil price of $50 a barrel could be a "very good" thing for the North Sea. Brown said it would force greater collaboration between the operators and supply chain as companies were forced to work more closely together.

Oil & Gas

Oil hub will be at top ‘for decades’

First Minister Nicola Sturgeon believes Aberdeen can remain Europe’s energy capital for the next half century – with the right support from the Treasury. The SNP leader will bring her Cabinet to Aberdeen today, and make fresh calls for UK Government support for the vital offshore sector. She and her ministers will be involved in 22 visits and meetings with local companies, organisations and ordinary members of the public across the city. The First Minister said she wanted to “harness the energy we saw during the referendum campaign on both sides of the debate” and use it to tackle day-to-day issues in communities across Scotland.

Oil & Gas

Consultation launched for North Sea investment allowance

The UK Treasury has moved the launch of an investment allowance consultation forward after calls were made by the oil and gas industry. The Chief Secretary to the Treasury and Danny Alexander and the Exchequer Secretary made the announcement following a meeting in Edinburgh. The allowance, which was first announced in the Autumn Statement, is a single, basin-wide capital expenditure linked investment allowance.


Opinion: It’s time for radical actions

I’ve been told that scores of companies in and around Aberdeen are now letting go of people as the oil price-driven depression deepens in high cost oil & gas provinces around the globe. The likelihood is that several thousand jobs in our area have either gone or are about to be axed. Remember, it’s not just the UKCS that’s being hammered.