Thursday 22 November 2007

New Oil and Gas Academy Welcomed by Scottish First Minister and UK Energy Minister

The UK oil and gas industry today announced the creation of a new nation-wide, employer-led Oil and Gas Academy which will allow the industry to secure the skilled workforce it will need to sustain the long-term future of the UK continental shelf (UKCS).

The academy, which will officially be known as OPITO, The Oil and Gas Academy, will be funded by the industry to provide support for the investment that oil and gas employers throughout the UK are making in workforce development to ensure that the UKCS remains at the forefront of offshore expertise and technology.

Malcolm Wicks, the UK's Energy Minister, says: "It is essential that a workforce with the right skills and experience is maintained so that this vital industry can continue to make a significant contribution to energy production in the UK and to the export of oilfield goods and services around the world."

The First Minister of Scotland, the Rt Hon. Alex Salmond MSP, also welcomed the announcement saying: "This is a fantastic time to be working in the oil and gas sector. Not just because the price of oil is almost $100 a barrel, although that helps. It's because Scotland is at the heart of a truly global sector with new markets emerging, such as China and India, and rapid technological change bringing us exciting opportunities such as carbon capture.

"Altogether the North Sea has produced the equivalent of just over 36 billion barrels of oil and it could still have at least 25 billion to come. With good management we expect the North Sea to continue to produce oil and gas for another 30 to 40 years.

"The skills and dedication of our young professionals are crucial to our competitiveness and our ability to attract new investment. That's why I am delighted to welcome the launch of the oil and gas industry academy. Its work will help us to build the world-class skills required for the industry to thrive in Scotland and beyond."

The Oil and Gas Academy combines the financial resources of the Offshore Training Foundation (OTF), the charitable trust which was formed to promote education and training in the industry, with the professional expertise of the OPITO (Offshore Petroleum Industry Training Organisation) team which has an established track record in developing workforce standards and skills.

OPITO's chief executive, David Doig, comments: "Becoming an industry-owned body and combining with the OTF will enable the academy to focus entirely on the skills needs of our industry. While it will be headquartered in Aberdeen, employers throughout the UK will, for the first time, have a single, industry-led body focused on the development and delivery of the workforce capability needed for business success in the offshore oil and gas industry."

The strong, focused, co-ordinated effort of Oil & Gas UK has facilitated the delivery of the Oil and Gas Academy. Malcolm Webb, Oil & Gas UK's chief executive, said: "A highly skilled workforce is vital to the future health of the UK oil and gas industry, in terms of ensuring safe operations, domestic oil and gas production and the export of oil field goods and services across the globe.

"One of Oil & Gas UK's key priority areas is skills, which is indicative of the importance the industry places on the issue. I am delighted that the industry now has an academy through which to channel its enthusiasm for developing talent so that a sustainable future for the UK offshore oil and gas industry can be assured."

David Doig adds: "Employers will have direct influence over every aspect of the corporate governance and strategic management of their academy. They will be able to bring about real improvements in business performance by setting standards and identifying the specific skills needs of this vital industry. The academy will respond by designing and delivering a comprehensive and integrated suite of skills and training standards to address those needs."

The new academy will work with schools, colleges and universities on a shared agenda of encouraging greater uptake of mathematics, science and engineering subjects.  It will also support the continued development of safety, technical and leadership skills within the industry in response to identified need. Training standards and quality assurance on training delivery both here and around the world will also be advanced through the academy.  The new organisation will initially create around 10 new jobs, and intends to double in size within three years.

The Oil and Gas Academy will continue to contribute to the wider national skills and education policy agenda and share good practice through continued links with Cogent, the Sector Skills Council (SSC).

David Doig says: "The oil and gas industry acknowledges and thanks Cogent for its support and encouragement in this new venture. The Oil and Gas Academy will of course remain linked to Cogent through membership, participation on its Board and financial support and will work co-operatively with the Council to streamline activities and avoid unnecessary duplication of work. In return, Cogent will hold a ten per cent ownership stake in the industrys academy and have the opportunity to make two appointments to its board."

Dr John Beacham, chairman of Cogent, says: "We are delighted that the oil and gas industry has taken the initiative of establishing a skills academy. This will join the recently announced nuclear and process industry academies within the Cogent family. These Academies will be much needed centres of excellence for employers in the Cogent family in learning, training and education."

The Oil and Gas Academy will be officially launched at a breakfast briefing in Aberdeen on 4 December 2007 and in Norwich on 5 December 2007.

A video recording of the press briefing will be available at the following link shortly after it ends.

http://www.oilandgasuk.co.uk/videofiles/announcement2211.wmv

Notes to Editors

1. Oil & Gas UK is the leading representative organisation for the UK offshore oil and gas industry. Its members are licensed by the Government to explore for and produce oil and gas in UK waters and those who form any part of the industrys supply chain. It has 64 members.
2. The Offshore Training Foundation (OTF) is a charitable trust which was formed to promote education and training in the upstream oil and gas industry.
3. Owned by the industry and working for employers, OPITO's strategic role lies in identifying current and future skills needs and ensuring that education and training arrangements are in place to meet them. Until the formation of the academy, OPITO was a subsidiary of Cogent.
4. Cogent is the Sector Skills Council (SSC) for the chemicals and pharmaceuticals, oil and gas, nuclear, petroleum and polymer industries. SSCs provide employers with the opportunity to have greater dialogue with government, impact policies affecting skills and productivity, devolved administration departments across the UK and increased influence with education and training partners. 
5.  The academys initial funding will come from industry owned assets held in the OTF. Operational funding will be generated using existing income streams from sales of products and services to the industry. Other income streams will be derived from the development of national and international offerings using tried and tested business models such as already exist within OPITO.

 

For further information, please contact:

Sally Fraser                                         Oil & Gas UK Media Relations                        2nd Floor                                                         232-242 Vauxhall Bridge Road           London SW1V 1AU                 Tel:     020 7802 2404 Fax:    020 7802 2401 Email: sfraser@oilandgasuk.co.uk Pager: 07659 183 999