Press Esc to close



For full content view: Log in Now!

  • High activity, high costs continue on UKCS

    Professor Alexander Kemp, University of Aberdeen

    This year has been one of high activity in the UK Continental Shelf (UKCS), with field development expenditures heading toward about $8.5 billion by year end and operating expenditures at a similar value. But these very high figures conceal part of the story. During 2006 cost escalation continued at a spanking pace – with one drilling rig contract attaining a $500,000 dayrate – affecting both investment and operating costs. Shortages of rigs continued and held up the drilling of interesting prospects. Priority was sometimes given to the drilling of incremental production projects to reap the benefits of high oil and gas prices. Continued shortages of skilled labor of all types resulted in substantial salary increases. For instance, the divers recently went on strike and achieved a settlement with a salary increase of no less than 44% over two years. Oil and gas production declined in double digit percentage terms.

This area of the site is restricted. In order to gain access, please either Log In, or subscribe to World Oil.

Two options are available to you for creating an account.

1. Get a Free Trial Subscription to World Oil Magazine and gain immediate access to select content on World Oil Online.

Start a Free Trial Subscription and gain immediate access to the complete current issue of World Oil Magazine. Plus, you’ll receive 3 upcoming issues of World Oil Magazine in print or digital format.* You also receive access to the Energy Events Calendar, Industry Statistics and WO Wire’s news and industry coverage.

Free Trial

2. Purchase a subscription to World Oil magazine and gain immediate and complete access to World Oil Online. As a Total Access subscriber you will have access to all areas of the site available to registered users and free subscribers as well as having access to such premium content areas as:

  • The Archives section containing over ten years of complete magazine archives,
  • The WO DataHub's engineering tables and directories,
  • The World Oil annual forecasts, including past predictions,
  • Select World Oil technical handbooks,
  • And much, much more!


Physical copies of this content may be available for purchase. Visit the Reprints & Back Issues section.

If you are already a paid subscriber and do not have access, please email



Engineering Data Tables

World Oil's specialized upstream Engineering Data Tables featuring the Drill Bit Classifier, Tubing Tables and more. Get Total Access today.


2013 Fracturing Technology

2013 Fracturing Technology