The year-on-year decline in oil and gas production in the UK sector of the North Sea is continuing its decline, dropping by a further combined 10 per cent in March, according to the latest monthly report by the Royal Bank of Scotland.
Oil production was down 5 per cent on the month at 1,403,005 barrels per day (bpd) and down 14 per cent on the year, while natural gas output production decreased 3 per cent and 6 per cent respectively to 8,581 million standard cubic feet per day (mmcfd).
The bank said that decline, which started in 2000, was continuing despite near-record investment in 2006. It suggested that increased drilling activity, the underlying long-term fall in production was "unlikely to be reversed." Despite the fall-back, the provisional average value of combined production in March reached Pnds 81.29 million (Dlrs 160 m), the highest in more than a year due to a resurgence in prices.
But unlike some forecast, the report suggested that crude oil prices could be expected to moderate to the mid-50 dollars per barrel rate as the global market is moving toward excess capacity.
The latest report by the Center for Global Energy Studies in London forecast in May that oil prices were expected to fluctuate around 70 dollars per barrel for the next 12 months.
In January, the Royal Bank of Scotland incorrectly dismissed a mini resurgence in oil prices at the time as being short-lived, predicting that rates will slowly decrease to around 45 dpb.
Oil production was down 5 per cent on the month at 1,403,005 barrels per day (bpd) and down 14 per cent on the year, while natural gas output production decreased 3 per cent and 6 per cent respectively to 8,581 million standard cubic feet per day (mmcfd).
The bank said that decline, which started in 2000, was continuing despite near-record investment in 2006. It suggested that increased drilling activity, the underlying long-term fall in production was "unlikely to be reversed." Despite the fall-back, the provisional average value of combined production in March reached Pnds 81.29 million (Dlrs 160 m), the highest in more than a year due to a resurgence in prices.But unlike some forecast, the report suggested that crude oil prices could be expected to moderate to the mid-50 dollars per barrel rate as the global market is moving toward excess capacity.
The latest report by the Center for Global Energy Studies in London forecast in May that oil prices were expected to fluctuate around 70 dollars per barrel for the next 12 months.
In January, the Royal Bank of Scotland incorrectly dismissed a mini resurgence in oil prices at the time as being short-lived, predicting that rates will slowly decrease to around 45 dpb.
Blogalaxia Tags: Reino Unido,petroleo
oil prices, 
Center for Global Energy Studies, 
oil decline, 
oil production
oil prices, Center for Global Energy Studies, oil decline, oil production
