News

- Press release

OGA launch Well P&A Optimisation Programme

The Oil and Gas Authority (OGA) has launched a search for operators to voluntarily participate in a multi-operator, well plug and abandonment (P&A) optimisation programme.

The objective of the pilot programme is to demonstrate the cost savings which can be achieved through collaborative working, stimulate work-sharing campaigns and adopt improved execution and contracting models.

Those selected will work alongside the OGA and appointed project manager for the selection phase, Lloyd’s Register (LR), to examine the opportunity for a collaborative well P&A programme to be executed in 2018/19.

Jim Christie, OGA Head of Decommissioning, said: “Targeted cost efficiency programmes, extensive knowledge sharing and best practice adoption is a priority of our decommissioning strategy. We expect that this programme will encourage further collaborative working practices across well P&A scope and into other areas of decommissioning.

“While estimates of cost, scale and scope vary, there is no doubt that the decommissioning effort facing our basin is significant. We must act now to capitalise on the opportunity it presents for innovation, cost reduction and further development of our skilled supply chain.”

Prerequisites for participants include;

  • Identified well(s) which fall within the execution window
  • A desire to work collaboratively with the OGA and other operators to minimise costs in an appropriate manner
  • A desire to engage in multi-operator collaboration to test other factors which may reduce costs further than is possible through economies of scale and repeatability alone. Factors may include; technology application, different contracting and business model adoption, regulatory simplification and long term liability management
  • Transparency in the sharing of data and lessons learnt from the project with the wider decommissioning community.

Those interested in applying to be involved in the pilot programme should contact papilot@ogauthority.co.uk by 10 March 2017.

ENDS

Notes to editors:

  • The OGA has appointed Lloyd’s Register (LR), a leading provider of engineering, integrity, compliance and specialist risk consulting services, as the project manager to lead the select phase on their behalf
  • The outcome of the select phase will be to develop the appropriate scope, timing and objectives for the pilot by the end of Q2 2017, to meet the budget cycle of interested parties
  • The later stages of the project will be managed by industry rather than the OGA. The industry will also be the contracting parties for rigs, vessels and other services
  • The Decommissioning Task Force works to establish a respected, stable and sustainable decommissioning industry, effectively minimising costs and maximising economic recovery through collaboration and fit for purpose lifecycle planning, policies, solutions and execution
  • It is co-chaired by Terri King, President UK ConocoPhillips, and Jim Christie, OGA Head of Decommissioning, with representation from operators, regulators, service providers and industry bodies
  • The OGA’s Decommissioning Strategy can be found here. The Delivery Programme can be found here.

For more information please contact:    

Leona Minellas

Communications Manager

Oil & Gas Authority

Tel: +44 (0) 300 020 1072

Email: Leona.minellas@ogauthority.co.uk