OGUK Decom Insight Report 2021

3.2 Decommissioning over the next decade

Figure 2 – UKCS Decommissioning Expenditure (with forecasts for 2021 onward)

Figure 3 - Forecast Comparisons for Cumulative Expenditure

Project Management Well Decommissioning Topside Preparation Substructure Removal

Post CoP Running Costs

Facilities / Pipelines De-energising

35

Topside Removal

2.50

Subsea Infrastructure

2021Forecast 2020Forecast ReducedSpendScenario 2017Forecast

30

Topsides & Substructure Onshore Decommissioning

Site Remediation

Post Decommissioning Monitoring

2.00

25

£1.345 billion

£1.297 billion

1.50

20

£1.074 billion

15

1.00

10

0.50 Expenditure (£ Billion)

5

CumulativeDecommissioningExpenditure (£Billion -2020Money)

0.00

-

2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030

2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030

Source:OGA&OGUK

Source: OGA & OGUK

Figure 4 – UKCS Expenditure Over Time

Operating Expenditure Development Expenditure Exploration & Appraisal Expenditure Decommissioning Expenditure

10 15 20 25 30 35

0 5 Total Expenditure (£ b illion - 2020 m oney)

1970

1972

1974

1976

1978

1980

1982

1984

1986

1988

1990

1992

1994

1996

1998

2000

2002

2004

2006

2008

2010

2012

2014

2016

2018

2020

Source: OGUK, OGA

DECOMMISSIONING INSIGHT 2021

10