OGUK reports $4bn drop in sector spending amid Covid-19

摘要

CAPITAL spending in the UK North Sea has plummeted since the start of Covid-19 pandemic, with almost £3 billion ($4.16 billion)-worth of projects put on hold, according to a new industry report. Trade association Oil & Gas UK (OGUK) said in its annual Business Outlook report the sector was showing signs of a tentative recovery after a difficult 12 months. Oil prices have rallied to about $70 recently but OGUK chief executive Deirdre Michie emphasised many North Sea operators and contractors remain in a fragile state and the recovery will take time and will need government support. OGUK is in the midst of negotiating with the UK government a package of support measures - called the North Sea Transition Deal - which its says will be key to "driving forward carbon capture and storage, hydrogen and low-carbon projects across the UK". "We cannot continue on this trajectory without vital support," said Michie. "We need the recognition that our industry is a key player in a successful energy transition - one which won't be possible without the inclusion of our sector."