Decommissioning Insight 2016 - Oil & Gas UK

Average Forecast Plugging and Abandonment Costs per Well from 2016 to 2025

1

Central and Northern North Sea and West of Shetland

Southern North Sea and Irish Sea

Norwegian Continental Shelf

UKCS

2

Platform well P&A Subsea suspended exploration and appraisal well P&A

£2 million

£4.1 million

£3 million

£10 million

3

£5.6 million

£6.2 million

£6.1 million

£16.1 million

Subsea development well P&A

£7.6 million

£10.2 million

£9.6 million

4

Average Forecast Cost per Tonne for Removal from 2016 to 2025 7

5

Southern North Sea and Irish Sea Central and Northern North Sea and West of Shetland

6

Facilities ‘making safe’

£1,200 per tonne £2,600 per tonne £2,600 per tonne

£490 per tonne £3,000 per tonne £4,400 per tonne

Topside removal

Substructure removal

7

Some of the average cost forecasts are significantly different to those presented in the 2015 survey. These changes will be discussed in section 7.

8

7 Data were unavailable for Norway.

9