News ORTEC

October 12, 2017 | Zoetermeer (NL)

EBN presents best practices in Decommissioning Optimization at Offshore Energy

ORTEC developed the optimization model for EBN.

The oil and gas industry has brought significant benefits to the economy in the Netherlands. Not only from onshore fields such as Groningen, but also from the Dutch part of the Southern North Sea. Today about 700 offshore wells and 150 platforms still generate some EUR 2-3 billion revenues annually. In the coming decades production volumes and revenues will decrease while decommissioning and its associated costs are imminent. Total offshore decommissioning expenditures (abex) are significant, currently estimated at more than EUR 5 billion. This equals one-third of the total future offshore revenues.

Together with EBN, the Dutch State participant in all offshore gas assets, ORTEC developed an optimization model to analyse several collaboration strategies in decommissioning. The results indicate that abandonment cost reductions could exceed 40% when all decommissioning activities are operated by a single dedicated decommissioning company. The results and recommendations of the report have been presented yesterday to Oil & Gas professionals at OffshoreEnergy17. Please read the full paper to learn more about decommissioning optimization.

Download the paper