ECONOMIC REPORT 2013
21
Figure 10: Actual and Forecast Production from 2005 to 2017
Figure 11: Production Efficiency of the UKCS
50
55
60
65
70
75
80
85
90
2004
2005
2006
2007
2008
2009
2010
2011
Production Efficiency (%)
SNS and IS
CNS
NNS and WoS
UKCS Average
Source:DECC
Looking to the mid-term future, production is
expected tobe similar in2014before improving
again, potentially rising towards two million
boepd in 2017. This potential reinforces the
need to improve production efficiency (see
below) and the significance of the work of the
government-industry task force, PILOT (see
‘The Road to 2040’ on page 31) and the Wood
Review mentioned in the Foreword.
Production Efficiency
Production efficiency – the ratio of actual
production to the maximum potential – fell
to 63 per cent in 2011, with a further fall to
about 60 per cent expected in 2012 when
all data are available. Paradoxically, this
came against a backdrop of high oil prices,
record capital investment and man-hours
expended offshore.
Average production efficiency of the UKCS
was in the high 70s of per cent just four
years ago and around 80 per cent seven to
eight years ago. The recent decline has
resulted from deteriorating reliability,
with extended maintenance shutdowns,
compounded by several major production
outages mentioned above.
Had such efficiencies been maintained in
2012, production would have been almost
half a million boepd higher. The government
and industry are working together to combat
the various issues affecting production
and are charting a course to return to such
overall efficiencies.
Source: Oil & Gas UK
Source: DECC
0.0
0.5
1.0
1.5
2.0
2.5
3.0
3.5
2005
2007
2009
2011
2013
2015
2017
Million boepd
Actual Production
Source:Oil&GasUK
Forecast Range
