Decom North Sea (DNS), the offshore oil & gas decommissioning forum, is stepping up its work to ensure the UK supply chain benefits from the sizable opportunities on offer from decommissioning activity due to ramp up over the coming years.

The body has grown in less than a year to have more than 120 members, including operators, major contractors, service specialists and technology developers. In-depth consultation with its board, members, partner organisations and industry generally was completed recently to identify priorities for action and set a course of strategic direction for the years ahead.

Decom North Sea chief executive Brian Nixon said: “With around £1billion of decommissioning expenditure forecast annually for the UK North Sea by 2015 and only 7% of projects completed to date, there is a clear need for us to support our supply chain to secure maximum business potential.

“Compelling support was recorded for Decom North Sea to look at increasing current activities, namely networking events which provide value to our members; regional and topical focus groups; industry communication and knowledge sharing; mapping the supply chain strengths and capabilities; further development of appropriate contracting models: and facilitating introductions across the industry.’’

However in addition, a range of more strategic initiatives and opportunities have been identified and prioritised including the following:-

• provision of detailed and reliable market intelligence drawn from existing industry sources and filtered to be easily accessible by DNS members – (an industry led workgroup has now been established to lead this initiative)

• facilitate groups of members to share information, form alliances, address technologies etc.

• research decommissioning in other sectors including nuclear and salvage, to study how they deal with timing uncertainty, identify areas for transfer of experience, cross business opportunities etc. – (a first workshop on nuclear synergies has been held, with a separate group reviewing the salvage industry)

• be active with governments, regulators and operators on behalf of DNS membership

• understand capabilities and gaps relating to people, processes and technologies, and then put in place mechanisms to address the issues and opportunities – (a skills steering group is now in place)

• promote existing capability, new capacity, case studies etc.

• engage with the financial investment community to understand their drivers – promote awareness of members capabilities and needs, facilitate introductions

• look overseas to identify market opportunities and to promote member capabilities.

Mr Nixon added: “These initiatives are listed in line with the priorities established recently by board members. The next step is for Decom North Sea to scope out and assess the level and type of resource that will be required to progress and deliver them.’’

In line with the priorities identified, Decom North Sea has organised a programme of events, seminars and share fairs in collaboration with regional energy development organisations and government agencies, with activity covering the north-east, Highlands and Central Belt in Scotland, and the north-east and south-east in England where most of the potential supply chain for the decommissioning market is based.

Decom North Sea board chairman Murdo MacIver said: “One of the principle reasons for setting up Decom North Sea was to provide a mechanism for sharing non commercial information and to establish a platform that would allow companies from across the industry to obtain consistent and clear information. The recent strategy consultation, which involved all the new directors recently voted onto the board, has fully supported this and it is great to see some real drive and enthusiasm from the board in delivering these strategic objectives.”

Decom North Sea board member Eddie Grant added: “The inception of Decom North Sea has been ideal in bringing decommissioning activities to the forefront and removing much of the uncertainty as to when projects are likely to take place, which in turn assists companies with planning and investment for new innovative technologies required. It brings together companies of all sizes who share the same ambitions and the networking is very beneficial to all involved. The forum successfully amalgamates the supply chain to bring new innovations and ideas to prospective decommissioning projects. Overall, Decom North Sea’s initiatives will be imperative for companies looking to benefit from the increasing opportunities opening up for UK companies in the decommissioning market.”

Tags: Decom North Sea