Rejuvenating Activity in the North Sea Oil and Gas Industry: The Role of Tax Incentives in Context

Research output: Chapter in Book/Report/Conference proceedingChapter

Abstract

The UK offshore oil and gas industry exhibits all the signs of a mature petroleum province, with long term declining production, exploration, and size of new discoveries, plus very high unit costs. These symptoms were disguised in the period 2009-2014 due to the high oil prices and an investment boom. But the remaining physical potential is substantial. Tax concessions can have a positive effect on incentives. The overall impact can be quite complex. Further cost reductions and technological progress are both necessary to enhance investment in the many undeveloped discoveries. The life of the province could then extend beyond 2050.
Original languageEnglish
Title of host publicationOil and Gas Law - Current Practice and Emerging Trends
Subtitle of host publicationVolume I: Resource Management and Regulatory Law
EditorsGreg Gordon, John Paterson, Emre Üșenmez
Place of PublicationEdinburgh, UK
PublisherEdinburgh University Press
Number of pages37
Volume1
Edition3
ISBN (Electronic)9781474420204, 9781474420198
ISBN (Print)9781474420181
Publication statusPublished - Feb 2018

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Keywords

  • Economics of North Sea Oil and Gas
  • Effects of Cost Reductions and Tax Incentives

Cite this

Kemp, A., & Stephen, L. (2018). Rejuvenating Activity in the North Sea Oil and Gas Industry: The Role of Tax Incentives in Context. In G. Gordon, J. Paterson, & E. Üșenmez (Eds.), Oil and Gas Law - Current Practice and Emerging Trends: Volume I: Resource Management and Regulatory Law (3 ed., Vol. 1). [2] Edinburgh, UK: Edinburgh University Press.