Recruitment in oil and gas: New confidence on the shelf

A dramatic drop in the price of oil, from $115/barrel in June 2014 to a low of less than $30/barrel in early 2016, had serious consequences for the UK offshore oil and gas industry. Exploration and development of wells, investment and jobs were all badly hit. With the recovery of the price of Brent Crude last year, on the way to over $70/barrel in January and the current price of around $65/barrel, and following successful efforts to bring production costs down, there are signs of renewed confidence.

In its outlook for the sector last year, trade body Oil & Gas UK said “the upturn in oil price has coincided with signs of confidence returning to the basin” and noted “within two years, the sector has halved its average unit operating costs”.

At the end of January, BP announced two new discoveries: Capercaillie in the central North Sea, and Achmelvich, west of Shetland, and hopes to double its North Sea production. Its Clair Ridge field is due to come into production this year.