Decommissioning Insight 2016 - Oil & Gas UK

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Figure 38 overleaf breaks down the total forecast expenditure of £17.6 billion by Work Breakdown Structure
component proportion for different project types:
• All UKCS projects
• Subsea projects
• Platform removal projects
• FPSO vessel projects29
It is important to note that the graphs only include the breakdown of expenditure that falls within 2016 to 2025.
Decommissioning projects can span many years and therefore some expenditure associated with a project may
fall outside the survey timeframe.
There are 13 FPSOs forecast to be decommissioned on the UKCS over the next decade, 12 of which are located in
the central North Sea. Decommissioning a field serviced by an FPSO primarily involves subsea activity, although
some expenditure is also associated with disconnecting the FPSO. Following disconnection, FPSOs are typically
relocated or sold for reuse or recycling. These activities are reflected in the breakdown of expenditure seen in
Figure 38. The total forecast decommissioning expenditure for fields serviced by an FPSO is £2.6 billion.
29 Total expenditure for platform removal projects, FPSO projects and subsea projects is £17.3 billion. This does not equal
total forecast expenditure because some projects do not fall clearly into one category and therefore have not been
used to calculate the Work Breakdown Structure percentage for individual project types.
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