Current PTRC Stock Info

Production in the U.K increased 100 MBOPD in 2015

Petroleum production in the U.K. showed an increase in 2015 – after many years of steady decline. Fields brought online in the second half of 2014, along with some brought on in 2015, and improved performance in the U.K.’s largest offshore field contributed to increasing its production by 100 MBOPD, according to the EIA. A similar increase in production has not been seen since 1998, when production showed slightly more than a 100 MBOPD year-over-year increase.

EIA UK Petroleum and other Liquids Production


The U.K. produced one million barrels of oil per day in 2015, making it Europe’s second-largest producer after Norway. More than 97% of its liquids production came from offshore fields, where development projects have long lead times. The majority of the offshore projects that began production in 2015 were approved in 2012, when prices were significantly higher.



One of the few onshore projects set to take place this year is Woodburn Forest-1 well in Northern Ireland, scheduled to commence drilling in May 2016. The project is targeting the Larne basin, which, due to political issues, is the only Carboniferous basin in Europe that is essentially untested for hydrocarbons.

One company with a 13% stake in the upcoming Woodburn Forest-1 well, Petro River Oil (ticker: PTRC), discussed the Larne Basin asset during its investor presentation at EnerCom’s The Oil & Service Conference™ 14.

Declining investment could signal U.K. production decline will continue

While production increased year-over-year even as oil prices were cratering, investment in new and existing projects is tracking the lower commodity prices, meaning production could fall in the near future. The EIA estimates that, given lead times required to approve and develop new projects, declining investment could begin affecting production in two to five years.

EIA UK Field Development Plans and Investment

In the U.K., project developers must receive governmental approval of their field development plans (FDP) prior to developing a field. The number of FDPs approved in 2015 was less than half the number approved in 2013 or 2014. Additionally, although the number of FDPs approved in 2014 was similar to the number approved in 2013, the investment associated with the fields approved in 2014 was much lower. Investment in new fields increased in 2015 even as prices continued to fall, more than offsetting the decreased spending on existing fields, but still keeping total investment well below levels seen in 2013.

A number of projects are expected to come online in 2016 and 2017, partially offsetting declines in the near future, but fewer approvals for new fields and less development of existing ones could impact production as soon as 2018, according to the EIA.

EIA UK Offshore Peak Production Volumes

Legal Notice