Reacting to the latest Oil and Gas UK Economic Report, to be published on Wednesday 6 September, Graham Hollis, Senior Partner for Deloitte in Aberdeen, said:
“A cautious optimism has returned to the industry, as it weathers the storm of the past three years. The latest economic report from Oil and Gas UK demonstrates just how much progress the UKCS has made on reducing operational costs, and the encouraging level to which confidence is returning to the basin – most notably through a significant uptick in M&A activity across the sector. Assets are finding their way into the right hands and a new cohort of private equity-backed businesses is breathing new life into the basin.
“Nevertheless, challenges still remain for the North Sea and its recovery needs to be carefully fostered. The report shows there are a potential £40 billion worth of developments in companies’ business plans – it’s up to all of those involved in the industry to help these come to fruition, requiring a collaborative approach between government, the business community, the supply chain, and wider stakeholders.
“The UKCS is vitally important to our economy and still supports more than 300,000 jobs. To ensure its future, we need to set about anchoring that talent pool in Aberdeen and the surrounding areas. While it will mean keeping the skills we already have, it will also mean ensuring we continue to attract a new generation of talent, which can carve out a new path for the industry in the years ahead.”