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www.sdi.co.uk Scotland – Oil & Gas Gas

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Page 1: Scotland – Oil & Gas Gas€¦ · •£11.4 billion CAPEX in 2012, 2013 CAPEX was £14 billion •£44 billion of CAPEX approved and under development •45 new projects approved

www.sdi.co.uk

Scotland –Oil & GasGas

Page 2: Scotland – Oil & Gas Gas€¦ · •£11.4 billion CAPEX in 2012, 2013 CAPEX was £14 billion •£44 billion of CAPEX approved and under development •45 new projects approved

www.sdi.co.uk

•Update on UKCS

•Aberdeen – On the rise

•Scottish Development International – Who we are & how can we assist you

Index

Page 3: Scotland – Oil & Gas Gas€¦ · •£11.4 billion CAPEX in 2012, 2013 CAPEX was £14 billion •£44 billion of CAPEX approved and under development •45 new projects approved

www.sdi.co.uk

•£11.4 billion CAPEX in 2012, 2013 CAPEX was £14 billion

•£44 billion of CAPEX approved and under development

•45 new projects approved in 2011 & 2012

•The 28th round of petroleum licensing began on the 24th of January 2014

• Estimated 15-24 billion boe remaining on the UKCS or £1.5 trillion

•The UK Oil & Gas sector supports around 450,000 jobs

• Operating Expenditure in 2012 was £7.7 billion

UKCS

Page 4: Scotland – Oil & Gas Gas€¦ · •£11.4 billion CAPEX in 2012, 2013 CAPEX was £14 billion •£44 billion of CAPEX approved and under development •45 new projects approved

www.sdi.co.uk

•Significant remaining areas of prospects in the UKCS

•Estimated to hold potentially 3 - 4 billion barrels of oil equivalent (around 17% of the UK's oil reserves)

•Estimated to hold potentially10% to 15% of the remaining UK gas reserves

•Statoil - operator of Mariner & Bressay•Total - operator of Laggan & Tormore •Chevron - operator of Rosebank & Lochnagar •BP - operator of Clair •ExxonMobil - operator of Tobermory

West & East of Shetland

Page 5: Scotland – Oil & Gas Gas€¦ · •£11.4 billion CAPEX in 2012, 2013 CAPEX was £14 billion •£44 billion of CAPEX approved and under development •45 new projects approved

www.sdi.co.uk

•Increase in company activity, mergers & acquisitions and contract awards•Engineer and project manager company Amec is set to buy Foster Wheeler in £1.9 billion deal combining two big players in the UK’s oil and has sector.

• Dolphin Drilling has secured a UK North Sea contract with oil firm Chevron valued at £155m.

•Weir Group has also secured a new £59 million maintenance services contract with Lukoil Oil Company for the West Qurna-2 oilfield in Southern Iraq.

• Chevron is to invest £200m in the development of the Alder field in the North Sea, with gas being sent to the St Fergus terminal from 2016

•Wood Group has secured two “major” contract extensions in Africa worth approximately $250 million (£152.1 million). Group subsidiary Wood Group PSN (WGPSN) has secured a five-year extension to an operation, maintenance and construction management services contract for asset facilities in central Africa worth more than $140 million (£85.2 million).

Aberdeen – On the rise

Page 6: Scotland – Oil & Gas Gas€¦ · •£11.4 billion CAPEX in 2012, 2013 CAPEX was £14 billion •£44 billion of CAPEX approved and under development •45 new projects approved

www.sdi.co.uk

Substantial investment in infrastructure

•5 New business parks:

ABZ Business Parkwww.abzbusinesspark.com

•ABZ Business Park is an international commercial site, home to global oil and gas technology companies, major serviced office facilities and high-standard hotels across 54 acres. Located at Aberdeen Airport.

•D2http://www.d2businesspark.com/index.html

Planning permission granted for 1.4m sq ft of office, industrial and ancillary accommodation.The development has attracted occupiers including BP, Halliburton, Wood Group PSN, Aker Solutions and Schlumberger.

Aberdeen – On the rise

Page 7: Scotland – Oil & Gas Gas€¦ · •£11.4 billion CAPEX in 2012, 2013 CAPEX was £14 billion •£44 billion of CAPEX approved and under development •45 new projects approved

www.sdi.co.uk

Kingshill Business Parkhttp://knight-kingshill.co.uk/•Subsea city, home to Subsea 7, Cameron, Technip, Bibby Offshore, Taqa Bratani & Subsea UK

Aberdeen Gatewayhttp://www.aberdeengateway.com/•Strategically located on the south entrance to the city. Home to Enesco, Hydrasun & NOV

Prime 4http://primefour.co.uk/Located on the AWPR, home to Transocean, Premier Oil, Nexen & Apache

Page 8: Scotland – Oil & Gas Gas€¦ · •£11.4 billion CAPEX in 2012, 2013 CAPEX was £14 billion •£44 billion of CAPEX approved and under development •45 new projects approved

www.sdi.co.uk

600 000 sqft feet of grade A office available in the city centre in the next 5 years

Marischal SquareTriple KirksPinnacleThe former Bells Hotel GDF and Enquest at the harbour

Plus 200 bedroom urban villa hotel on justice mill lane, city centre

Page 9: Scotland – Oil & Gas Gas€¦ · •£11.4 billion CAPEX in 2012, 2013 CAPEX was £14 billion •£44 billion of CAPEX approved and under development •45 new projects approved

www.sdi.co.uk

Airport Development Zone• 4 new hotels• 3 New business parks• 1.2m sqft business space• £250m investment

New Exhibition and Conference Centre

(2017)

Prime 4•Phase 1 - 330,000sqft•£125m investment

•Nexen, Apache, Transocean

•Phase 2 - 500,000sqft•Premier Oil

Westhill – ‘SURF City’•3000 employees•40% of the UK subsea market

•Technip•Subsea 7•Taqa•Bibby Offshore•Subsea UK

Aberdeen Gateway•18 hectares

•Hydrasun•Tetra•Specialist Piping

Energy Parks•9 Incubators•21 Single sites•15 hectares expansion

The Core•40 hectares•Mixed use

Aberdeen Harbour expansion

Central Business District

Page 10: Scotland – Oil & Gas Gas€¦ · •£11.4 billion CAPEX in 2012, 2013 CAPEX was £14 billion •£44 billion of CAPEX approved and under development •45 new projects approved

www.sdi.co.uk

Aberdeen Western Peripheral Route

Page 11: Scotland – Oil & Gas Gas€¦ · •£11.4 billion CAPEX in 2012, 2013 CAPEX was £14 billion •£44 billion of CAPEX approved and under development •45 new projects approved

www.sdi.co.uk

•Major infrastructure project for Aberdeen & North East

•Scheduled for completion in 2018

•Alleviates traffic congestion through Aberdeen

•Opens up industrial opportunities north of Aberdeen/Peterhead

Aberdeen Western Peripheral Route

Page 12: Scotland – Oil & Gas Gas€¦ · •£11.4 billion CAPEX in 2012, 2013 CAPEX was £14 billion •£44 billion of CAPEX approved and under development •45 new projects approved

www.sdi.co.uk

•One of the two major ports servicing the UKCS

•Current facilities running a full capacity with no capacity for expansion in current location

•Identified in the Scottish National Planning Framework

•Nigg Bay is the preferred option

www.aberdeen-harbour.co.uk/about.../Directions%20for%20Growth.pdf

Aberdeen Harbour

Page 13: Scotland – Oil & Gas Gas€¦ · •£11.4 billion CAPEX in 2012, 2013 CAPEX was £14 billion •£44 billion of CAPEX approved and under development •45 new projects approved

www.sdi.co.uk

Nigg Bay £320M

Central Business 

District – GDF,Enquest

Page 14: Scotland – Oil & Gas Gas€¦ · •£11.4 billion CAPEX in 2012, 2013 CAPEX was £14 billion •£44 billion of CAPEX approved and under development •45 new projects approved

www.sdi.co.uk

•One of the two major ports servicing the UKCS

•Expansion plans include £40M project to move the fish market to an inner berth and free up further space for O&G

•Additional plans for a new industrial park in Peterhead

•Aberdeen Western Peripheral Route will open up Peterhead with improved connections to Aberdeen

Peterhead Port

Page 15: Scotland – Oil & Gas Gas€¦ · •£11.4 billion CAPEX in 2012, 2013 CAPEX was £14 billion •£44 billion of CAPEX approved and under development •45 new projects approved

www.sdi.co.uk

Page 16: Scotland – Oil & Gas Gas€¦ · •£11.4 billion CAPEX in 2012, 2013 CAPEX was £14 billion •£44 billion of CAPEX approved and under development •45 new projects approved

www.sdi.co.uk

•Wideroe daily Aberdeen to Stavanger & Bergen

•BMI Regional daily Aberdeen to Oslo & Kristansund

•BMI Regional daily Stavanger to Harstad & Tromso

•SAS daily to Stavanger & Oslo

Flight Connectivity

Page 17: Scotland – Oil & Gas Gas€¦ · •£11.4 billion CAPEX in 2012, 2013 CAPEX was £14 billion •£44 billion of CAPEX approved and under development •45 new projects approved

www.sdi.co.uk

Scottish Development International

Who Are We?

Global Reach

Our Approach

Key Sectors

Scotland’s Trade and Investment Strategy

Where We Add Value

Page 18: Scotland – Oil & Gas Gas€¦ · •£11.4 billion CAPEX in 2012, 2013 CAPEX was £14 billion •£44 billion of CAPEX approved and under development •45 new projects approved

www.sdi.co.uk

• Scottish Development International (SDI) is the specialist inward investment and trade arm of the Scottish Government

• Single point of contact for all international business development needs

Who Are We?

Page 19: Scotland – Oil & Gas Gas€¦ · •£11.4 billion CAPEX in 2012, 2013 CAPEX was £14 billion •£44 billion of CAPEX approved and under development •45 new projects approved

www.sdi.co.uk

GOVERNMENT AMBITION:50% increase in international exports by 2017

Team Scotland Approach• Customer focussed delivery• Aligning the work of the public and

private sector• Wider promotion of Scotland• Influencing and providing business

intelligence• Harnessing the potential of

international networks• Integrated business planning

Increasing international Trade• More Scottish businesses trading internationally• Greater support of Growth Businesses• International exploitation of Scotland education

sector

Attracting Inward Investment• Greater focus on strategic inward investment• Embedding companies, encouraging expansion

and developing supplier links• Low carbon opportunities

Promoting Scotland• Focus on growth opportunities in sectors• Ensuring a global footprint focussed on

opportunity• Emerging markets

SCOTLAND’S TRADE AND INVESTMENT STRATEGY

Scotland’s Trade and Investment Strategy

Page 20: Scotland – Oil & Gas Gas€¦ · •£11.4 billion CAPEX in 2012, 2013 CAPEX was £14 billion •£44 billion of CAPEX approved and under development •45 new projects approved

www.sdi.co.uk

OUR PURPOSE

• raise the ambition of more Scottish businesses to think, compete and trade globally

• Attract investment and talent which builds on Scotland’s globally competitive sectors

• Increase the global competitiveness of the business environment in Scotland

• Enhance Scotland’s image globally

Foreign investment

International trade

Economic D

evelopment

Page 21: Scotland – Oil & Gas Gas€¦ · •£11.4 billion CAPEX in 2012, 2013 CAPEX was £14 billion •£44 billion of CAPEX approved and under development •45 new projects approved

www.sdi.co.uk

SDI GLOBAL REACH

BackgroundStarted in 1981Joint venture:• Scottish Government• Scottish Enterprise• Highlands & Islands Ent

People230 staff • 23 overseas offices• Industry specialists• Local staff throughoutScotland

Page 22: Scotland – Oil & Gas Gas€¦ · •£11.4 billion CAPEX in 2012, 2013 CAPEX was £14 billion •£44 billion of CAPEX approved and under development •45 new projects approved

www.sdi.co.uk

WHERE WE ADD VALUE

Supporting Scottish companies in their global growth:

Trade

Identify market opportunities and provide market intelligence

International strategy development

Prepare businesses to do business overseas

Identify business partners and finance support options

Facilitate connections and business relationships

Inward Investment

Collaboration and risk reduction

Identify staff, training, property and academia

Identify business partners

Potential financial assistance

Dedicated aftercare

Page 23: Scotland – Oil & Gas Gas€¦ · •£11.4 billion CAPEX in 2012, 2013 CAPEX was £14 billion •£44 billion of CAPEX approved and under development •45 new projects approved

www.sdi.co.uk

KEY SECTORS

Financial & Business ServicesEnergy Oil & GasCreative Industries &

Electronic Technologies Food and Drink

Tourism UniversitiesLife Sciences Other Growth Sectors

• Aerospace, Defence,Marine

• Chemicals• Construction• Forest Industries• Healthcare• Textiles

Page 24: Scotland – Oil & Gas Gas€¦ · •£11.4 billion CAPEX in 2012, 2013 CAPEX was £14 billion •£44 billion of CAPEX approved and under development •45 new projects approved

www.sdi.co.uk

•SCOTLAND-NORWAY NETWORK MEETING JAN

•TRADE MISSION TO OSLO & STAVANGER APRIL

•ONS EXHIBITION AUGUST

•OFSHORE TECHNOLOGY DAYS OCTOBER

NORWAY ACTIVITIES 2014

Page 25: Scotland – Oil & Gas Gas€¦ · •£11.4 billion CAPEX in 2012, 2013 CAPEX was £14 billion •£44 billion of CAPEX approved and under development •45 new projects approved

www.sdi.co.uk

Thank You