N. Sea boost as Govt. awards 41 new oil and gas exploration licences

North Sea oil deep difficult and expensiveThe N. Sea oil and gas industry today received a welcome boost after the Aberdeen-based regulator announced the remaining winners from the 28th UK Offshore Licensing Round.

The 41 new licences awarded today in addition to the 134 confirmed in late 2014 makes this one of the largest rounds in the five decades since the first licensing round took place in 1964 – a total of 175 licences covering 353 blocks.

The 28th Offshore Licensing Round was launched on 24 January 2014 and a total of 173 applications were received. The main tranche of awards was announced on 6 November 2014 and today’s awards have been confirmed following additional environmental assessment and consultation.

Andy Samuel, Chief Executive, Oil and Gas Authority, said: “The North Sea remains a world-class hydrocarbon province where significant resources and economic value remain to be realised. The good level of interest in the 28th Round highlights the continued attractiveness of the UK’s oil and gas resources.

“Licences are however just a start and industry, government and the OGA now need to work together to revitalise exploration activity across the basin and convert licences into successful exploration wells.”

Andrea Leadsom
Andrea Leadsom

Andrea Leadsom, junior UK Energy Minister said:  “We are determined to make the most of our North Sea resources to provide secure, reliable energy for hardworking families and businesses and reduce our reliance on volatile foreign imports.

“We are backing our oil and gas industry which supports hundreds of thousands of jobs across the UK.

The 28th offshore licensing round comes after the Government announced a major package of support in March to encourage £4 billion of additional investment in the North Sea which will prolong the life of this vital industry.”

Pixie Energy

Pixie logo Pixie Energy is an incubator and a facilitator of strategic research and project work, focusing on energy regulation, policy and markets at the local and national level. Find out more about Pixie Energy here.

Local Energy Matters: Scotland

Local Energy Matters: Scotland is a free-to-download brochure with a focus on energy tariffs in the two Scottish electricity distribution regions, as well news on local energy and low-carbon schemes.

Previous editions can be download here.

Scottish energy market overview

You can read an overview of the Scottish energy market here.

Scottish Government energy feed