This fifth Wells Insight Report, published on 5 September 2024 by the North Sea Transition Authority, highlights the significant opportunity available to operators who increase their well intervention activity.
The report’s findings are based on an analysis of data from the 2023 UK Stewardship Survey, providing real insight into well activity in the basin.
The report reveals that well intervention is currently able to provide hydrocarbon production at a cost of less than £12/boe, a very attractive option at today’s oil and gas prices. In addition, well intervention requires fewer operational days, less construction material, minimal waste disposal, and lower fuel burn than drilling a new well, and therefore produces lower emissions.
Operators should strive to increase their well intervention activity to extend the production lifespan of their wells, and to provide a stable flow of work for the UK’s world-class supply chain, whose expertise is in demand globally. Suppliers, including rig owners, are increasingly seeking opportunities overseas due to a lack of contracting opportunities in the UKCS. It is vital that this capability is kept in the UK to deliver the floating wind, carbon storage and hydrogen projects which will accelerate the energy transition.
Interventions increased in the Northern North Sea (NNS) to 102 wells in 2023 from 82 in 2022. There was also an increase West of Shetland (WoS) where nine wells benefited from intervention work in 2023 up from two in 2022. However, Central North Sea (CNS), Southern North Sea (SNS) and the East Irish Sea (EIS) experienced a decrease in activity.