Economic Report 2018

Improving Well Competitiveness and Delivery on the UKCS As has been outlined, wells activity in the basin continues to be at record-low levels. However, there is significant effort under way to turn this trend around. Operating across five key areas, Oil & Gas UK’s Competitive Well Delivery initiative aims to improve the competitiveness of wells activity on the UKCS to stimulate an increase in activity and result in higher-value wells, through the identification, communication and promotion of good practice.

1

2

Figure 35: Oil & Gas UK Competitive Well Delivery Focus Areas

3

Focus Area

Aim

Example of Initiative

Right Scoping Guideline

Lean Well Design Principles

Delivering competitive, affordable and credible well designs

4

Supply Chain Code of Practice , Efficiency Taskforce Tender Efficiency Framework

Optimising Procurement

Improve procurement processes to encourage sustainable rates and contract Terms & Conditions (in line with the Efficiency Task Force) Improve the time, cost and quality through the wells operational process

5

Operational Efficiency

Non-Productive Time Analysis

6

New Technology

Unlocking technology and techniques to advance projects that may otherwise have been left on the shelf

Extended Reach Drilling Workshop

7

Sharing Knowledge & Inventory

Facilitate collaborative opportunities for existing equipment to unlock cost efficiencies

Subsea tooling and equipment sharing database

8

9

In addition to this, Oil & Gas UK’s Wells Forum is overseeing several world-leading initiatives to achieve its objectives of protecting the industry’s license to operate and making the UKCS the most competitive mature basin in the world. The Wells Forum prioritises the sharing of good practice and learnings through the development of a suite of industry guidelines covering the entire oil and gas development life cycle. The guidelines are written for UKCS operations, although they have been adopted and applied around the world.

10

11

63