Decommissioning Insight 2019
7.3 Well Decommissioning Cost Performance Throughout the years, Insight reports have seen generally improving trends for forecast cost performance in well decommissioning and removals. The figures below show how the expected averages and medians have changed over time for these respective activities within each Asset Stewardship Survey.
1
2
Figure 26: Historical Variation in Well Decommissioning Cost Forecasts in the Central and Northern North Sea and West of Shetland
30
Average Forecast Cost Platform Wells
3
Average Forecast Cost E&A Wells
25
Average Forecast Cost Subsea Development Wells
20
4
15
5
10
5
6
Estimated Cost per Well (£ Million - 2018 Money)
0
2017 2018 2019
2017 2018 2019
2017 2018 2019
Platform
Subsea
E&A
7
Source: OGUK, OGA
2017 Survey
2018 Survey
2019 Survey
Decommissioning – Cost per Well
8
Average
Median Average
Median
Average
Median
Platform Wells
£4.20m £4.83m £4.19m £4.20m £3.43m £2.91m
9
Subsea Wells
£8.25m £9.65m £9.33m £8.91m £8.38m £9.01m
E&A Wells
£7.41m £6.38m £5.02m £4.88m £4.59m £3.70m
10
In the central and northern North Sea regions, the expected cost per platform well is £3.43 million. Subsea wells here have fluctuated at around £8.3 million, but the uncertainty range has reduced, while the expected averages and median costs per E&A well has also seen a year-on-year reduction.
11
51
Made with FlippingBook - Online magazine maker