| Details: | The new Energy Minister and PILOT chair, Stephen Timms, today praised PILOT's work and welcomed the early opportunity to meet key figures from the oil and gas industry.
Launching PILOT's third Annual Report at the oil and gas industry's Share Fair in Aberdeen today attended by over 600 contractors and suppliers, Mr Timms said:
"PILOT has been extremely influential in advising and supporting both Government policy and industry practices in the UK oil and gas sector. That's why I am very pleased to meet the PILOT members and other industry figures so soon in my new role as Energy Minister. This has been an excellent opportunity to listen to the industry and discuss critical strategic issues facing it."
Through PILOT, the industry is working with Government to maximise economic recovery of the UK's remaining oil and gas reserves with clear targets for the level of production, expenditure and employment in the sector in the year 2010.
The Work of PILOT in 2002 charts the progress of the UK oil and gas industry towards the PILOT vision and highlights the recent activities in three key areas central to its effort:
· Safety: the PILOT vision was strengthened in 2002 by a clear target for safety performance which seeks to establish the UK in 2010 as the safest place to work in the worldwide oil and gas industry. The report summarises the actions taken in 2002 to drive the safety agenda forward, including the creation of a new Step Change Leadership Team, the re-launch of the Step Change in Safety website and Safety Alert database and the development of closer ties between the UK and Norway industry safety campaigns;
· Maximising Recovery/Progressing Partnership: In 2002, the inter-related nature of many of the initiatives (Brownfields, Undeveloped Discoveries and Stimulating Exploration) was recognised by grouping them together under the banner of Maximising Recovery and a new Industry steering group created to oversee its implementation and that of the Progressing Partnership initiatives. Achievements included the introduction of two new codes of practice (one for Licence Holders, the other for the Supply Chain), the release of fallow blocks and fields onto the LIFT website, the development of a new licensing regime, the "Promote Round", and the launch of the bi-annual Share Fair where operators and major contractors communicate their activity plans to the supply chain;
· UK Norway Co-operation: the initiative on co-operation with Norway produced a watershed report in August 2002, which sets a framework of recommendations for a more coherent approach to developing the North Sea's oil and gas resources.
Paul Blakeley, vice-president of Talisman Energy UK and co-chair of the Industry Leadership Team (ILT) within PILOT, said:
"PILOT came into being in response to the threat posed by low oil prices to UKCS competitiveness in the late 1990s. External factors beyond our control still continue to impact on the Industry and the stretching goals set for PILOT in 1998 today appear difficult to achieve. To reach the 2010 investment and production targets of £3 billion per annum and 3 million barrels of oil equivalent per day will require the full implementation across the sector of the changes PILOT has introduced and the alignment of all on-going work programmes with the PILOT vision.
"Ultimate success will depend on the innovative and co-operative efforts of all stakeholders across Industry and Government, and PILOT's ability to remain flexible and adaptive to continuing change."
Sir Ian Wood, chairman of the Wood Group and ILT co-chair, said: "Members of PILOT remain committed to their common purpose, which is to create the right conditions for the UKCS to retain its role as a major hub for oil and gas activity and to keep the UK contracting and supplies industries at the leading edge in terms of overall competitiveness."
Two further PILOT publications were also launched today: The Maximising Recover/Progressing Partnership Story and the Supply Chain Code of Practice 2002 Compliance Survey Report. |
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