20 BILLION Barrels plus of Oil left under the North Sea
According to a report on the OGA website, the recent Glengorm discovery confirms official estimates that there still remains between 10 and 20 billion barrels plus to be recovered from the North Sea and that there is every chance of yet more significant finds.
But before we get all excited about the Glengorm discovery, we have to remember that it still needs to be extracted from beneath the ocean floor and given recent oil prices it is estimated that any company bidding on a licence will need to extract at least 75 million barrels just to break even.
This leaves the OGA with the daunting task of trying to sell the licenses. However, with only a few months left in the latest round of applications things are looking good, as it is noted from the OGA’s recent publication, that the last round of the 31st Supplementary Offshore Licensing Round – Greater Buchan Area Plan, attracted 36 applications covering 164 blocks.
The Oil and Gas Authority (OGA) has launched the Supplementary 31st Offshore Licensing Round, presenting an exceptional opportunity for oil and gas companies to collaborate to maximise economic recovery of up to 300 million barrels of oil equivalent (mmboe) in the Greater Buchan Area.Read more here…
It is estimated that this field alone will bring an increase in revenue to the UK Government of around 3 to 5 billion pounds over the next few years, how much of that will be returned to Scotland will of course be up to the UK treasury.
We can only hope that they invest some of this new found profit into an oil fund for the future benefit of the Scottish people.