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Title:Oil and Gas Production Statistics 2017-18
Description:An Official Statistics Publication for Scotland.
File:Oil and Gas Production Statistics 2017-18 - statistical bulletin [PDF, 341.2 kb: 11 Sep 2018]
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File:Oil and Gas Production 2017-18 - publication tables [XLS, 466.4 kb: 11 Sep 2018]
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File:Oil and Gas Production 2017-18 - visual summary [PDF, 524.1 kb: 11 Sep 2018]
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Oil and Gas Production Statistics 2017-18

Oil and Gas Production Statistics

2017-18

An Official Statistics Publication For Scotland

Date: 12 September 2018

KEY FINDINGS
  • In financial year 2017-18, oil and gas production in Scotland (including Scottish adjacent waters) is estimated to have been 73.7 million tonnes of oil equivalent (mtoe).

  • Production in Scotland decreased by 1.7% compared to 2016-17, and accounted for 81 per cent of the UK total (down from 82 per cent in 2016-17).

  • In 2017-18, oil and gas fields in Scotland accounted for 96 per cent of UK crude oil and natural gas liquids (NGL) production, and 63 per cent of UK natural gas production.

  • In 2017-18, the approximate sales value of oil and gas produced in Scotland is estimated to be £20.0 billion.

  • The approximate sales value increased by 18.2% compared to 2016-17, despite the slight decrease in production, due to continued increase in prices throughout 2017 and the beginning of 2018.

  • In 2017-18, operating expenditure (excluding decommissioning) on oil and gas production in Scotland is estimated to be £6.2 billion, up from £5.3 billion in 2016-17.

  • In 2017-18, capital expenditure on oil and gas production in Scottish waters is estimated to be £5.8 billion, down from £7.8 billion in financial year 2016-17.

 

ABOUT THIS PUBLICATION

This publication includes estimates of oil and gas production activity in Scotland (including Scottish adjacent waters). It reports production volumes, approximate sales income, operating costs and capital expenditure.

The results are consistent with recent production statistics and data published by the Department for Business, Energy and Industrial Strategy (BEIS, formerly DECC) and the Oil and Gas Authority (OGA).

This release contains annual results for the calendar years 1998 to 2017 and financial years 1998-99 to 2017-18. Key findings in this publication are reported for the financial year 2017-18, which includes the latest available estimates up to March 2018. Some trends in production are also reported in calendar year terms. All results are available on both timeframes in the background tables, along with the quarterly estimates underpinning the annual totals.

Production and income and expenditure estimates for UK offshore (not land based) and UK totals for the calendar years 1998-2017 and financial years 1998-99 to 2017-18 are published alongside this release as supplementary tables.

All statistics in this publication are consistent with information published by the Department for Business, Energy and Industrial Strategy (BEIS) and the Oil and Gas Authority (OGA) for total UK oil and gas production, income and expenditure. This includes production from both offshore and onshore oil and gas fields. Estimates for Scotland are based on production data for each individual oil and gas field which is located in Scotland or Scottish adjacent waters.

BEIS and OGA produce regular updates to UK oil and gas statistics and should always be referred to as the primary source for UK totals. The results in this publication are consistent with:

  •  Digest of UK Energy Statistics (DUKES) 2018
  •  Quarterly Energy Trends: June 2018 to 2018 Quarter 1
  •  Income from and expenditure on UKCS exploration, development and operating activities: annually 1970-2017

Estimates for the Scottish zone of the UK Continental Shelf are based on activities within the Scottish adjacent waters boundary, which was defined for the devolution of fisheries policy (Figure 1).

The Scottish Government uses this zone in economic statistics which include estimates of Scottish offshore activity, including Quarterly National Accounts and Government Expenditure & Revenue Scotland. For economic statistics it has become known as the ‘illustrative geographical share’ of UK offshore or extra-regio activities. The use of alternative boundaries is possible.

The detailed oil and gas data published for the UK by BEIS and the OGA reports production of crude oil and NGL in tonnes, and natural gas in GWh or standard cubic metres. All estimates presented in this publication are converted into the standard energy unit of Tonnes of Oil Equivalent (toe) and are consistent with the aggregate energy balances produced by BEIS. This allows meaningful comparison between liquids and gases.

The OGA also publishes annual estimates of production revenue (approximate sales income), operating costs and capital expenditure for the UKCS based on an annual survey of extraction companies. Field level data on operating revenues and expenditure are not published. Instead, estimates of commercial activity arising from activities in Scottish adjacent waters are modelled using commercially sourced analytical data.

In this publication, approximate sales income represents the market value of oil and gas at the time of production and is not based on actual company sales data. In reality, oil and gas is generally traded with complex pricing structures, but the approximate sales income estimates are indicative of levels and trends.

Further information on the Oil and Gas Production statistics is provided in the  methodology paper published at:

http://www.gov.scot/Topics/Statistics/Browse/Economy/oilgas/ProductionMethods