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DECOMMISSIONING INSIGHT

2015

page 34

7.2.3 Average Cost per Tonne Forecasts for Making Safe

The average cost per tonne forecast for ‘making safe’ of facilities is £440 in the CNS and NNS/WofS regions and

£990 in the SNS and Irish Sea. The range of cost per tonne forecasts is broad in all regions, but especially in the

SNS and Irish Sea. The scope of work associated with ‘making safe’ will be similar across different platform types.

Activity will take longer on larger structures, but the fixed costs will be similar, increasing the cost per tonne

forecasts for the smaller, lighter structures commonly found in the SNS and Irish Sea. The NUIs will also require

transport by helicopter or an accommodation vessel for a team to carry out ‘making safe’ activities, adding further

cost. Many of the installations in the SNS are smaller NUIs, contributing to the higher average cost forecasts and

larger range. Expenditure at the lower end of the range is in line with those seen in the CNS and NNS/WofS areas

and is likely to be associated with larger, manned platforms.

Figure 16: Variation in the ‘Making Safe’ Cost per Tonne Forecasts for Topsides Split by Region

0

200

400

600

800

1,000

1,200

1,400

1,600

1,800

2,000

CNS and NNS/WofS

SNS and Irish Sea

Estimated Cost per Tonne (£ Million - 2015 Money)

Source: Oil & Gas UK

Central and Northern North

Sea/West of Shetland

Southern North Sea and

Irish Sea

Average cost per tonne

£440

£990