collaboration, innovation, and improved efficiency are key
In light of Oil & Gas UK’s recently published 2016 Activity Survey that calls on Government for urgent reforms to attract investment back into the basin and minimise loss of capacity during the downturn, Chevron Upstream Europe’s (CUE) managing director Craig May talks to BBC Scotland about the importance of collaboration, innovation and improved efficiency to ensure the industry remains sustainable and competitive.
The survey, which was published on Tuesday 23 February, reveals that while the industry’s drive to improve efficiency, reduce operating costs and increase production has had marked success, exploration remains at an all-time low with no sign of improving.
With Oil & Gas UK stating that the UK oil and gas industry is entering a phase of ‘super maturity’, the report outlines that despite the industry’s decades of experience, knowledge and expertise, which can be applied to recover the still significant remaining resource, the falling oil price is challenging our capability to maximise economic recovery of the UK’s offshore oil and gas resources.
During his interview with the BBC, Craig shared his thoughts on the challenges of the current climate and further support the UK Government can provide to support the future of the North Sea. Craig also outlined CUE’s efforts to improve efficiency, manage costs and drive improved business performance to ensure sustainability.
“The challenges on the industry are numerous and they are hitting us from a number of angles. It is important that we continue to work collaboratively and innovatively as we look to further reduce costs and improve efficiency to help reduce the tax burden over time,” said Craig.
CUE’s Integrated Operations Centre (IOC) was also profiled during the BBC report, which highlighted it as a prime example of Chevron continuing to apply technology in a selective, focused and fit-for-purpose way. The IOC allows the business unit’s onshore teams to work more collaboratively in real-time with our offshore workforce in order to better prioritise activities, avoid shut downs and manage maintenance. This combination of technology and workflows has saved CUE over $50m since its launch.