UK market conditions for oil and gas
With over 100 years of experience, the UK oil and gas market is widely acknowledged as a global leader.
We are well-placed to investigate new technologies and innovations. The UK is now focusing on technically challenging methods of extraction and production, including:
- heavy oil
- high-pressure, high-temperature extraction
- enhanced oil recovery
- special materials for sealing systems
Safe development of shale gas
Onshore, the UK government is backing the safe development of shale gas because it’s good for jobs, energy security and the UK’s plans to reduce carbon in the economy.
According to a report published by Ernst & Young in 2014, investment in shale could reach 33 billion GBP and support 64,000 jobs.
The British Geological Survey has identified areas with potentially large reserves of shale gas and oil. UK geology is promising, but we make no assumptions about production levels. We need exploration to determine the potential.
Our current priority is investment in new gas plants with new build, storage and distribution opportunities. Our switch from coal to gas will require storage and distribution network upgrades.