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WEST OF SHETLAND TASK FORCE FORGE AHEAD INTO NEW YEAR



Date:20 Feb 2007
Details:The joint Government / Industry Task Force, established to determine whether there is a collective solution to the development of the resource base to the West of Shetland, is on track to generate options in the New Year.
The Task Force Work Group - made up of representatives from DTI and the five key companies with operator control of assets / acreage in the region (BP, TOTAL E&P UK PLC, Chevron, ExxonMobil, and DONG Energy) - has met five times since project launch on 1st November. The project is already analysing the options in detail and aims to deliver a report to Ministers in spring next year.
Two consultants, Genesis Oil & Gas and Decisions Unlimited, have started work on the project, carrying out the technical and economic work required by the Task Force.
The analysis is looking at possibilities for development of a gathering hub which would allow gas to be brought to shore. Four different possible types of generic, hub scenarios have been identified to form the basis for the technical and economic evaluations:
* Onshore Hub at Sullom Voe
* Offshore Deepwater Hub at Laggan
* Offshore Shallow Water Hub close to Clair
* Alternative Deepwater Hub at Rosebank-Lochnagar
The Task Force is also addressing options for building a new pipeline to transport gas from the West of Shetland to the UK mainland. Several alternative gas transportation routes are being considered as part of the analysis as well as the option of using existing infrastructure. Work on alternative commercial models for development will start in the New Year, including options for involving other interested parties.
A further update of progress is planned for the New Year.
Contact:Audrey.banner@dti.gsi.gov.uk

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