Wednesday 9 June 2004

UKOOA WELCOMES HEIGHTENED INTEREST IN OIL AND GAS EXPLORATION LICENSES

Increase in offshore applications is good news for the UK continental shelf

The UK Offshore Operators Association (UKOOA), the representative organisation for oil and gas producers in the UK, welcomes the announcement by the Department of Trade and Industry (DTI) that the 22nd Offshore Licensing Round has generated a good applicant response.

Malcolm Webb, Chief Executive of UKOOA, said: Clearly the DTIs ability to offer flexible license terms in the form of Traditional, Promote and Frontier licenses is proving attractive to companies interested in investing in the UK continental shelf (UKCS).

The response to the 22nd Licensing Round is encouraging and builds on the success of the last round, demonstrating the continued interest in exploring for UK oil and gas prospects offshore.  This is good news for our industrys future.

Significantly, there could potentially be up to 20 new players arriving in the region. This is over and above the 23 new companies awarded licenses in the last round.  The new arrivals will help to enhance the diversity of players needed to ensure maximum recovery of the UKs remaining economic oil and gas reserves

-Ends-

Note to Editors

The UK Offshore Operators' Association (UKOOA) is the representative organisation for companies licensed by the British Government to explore for and produce hydrocarbons in UK waters.  It has 30 members.

For more information, please call 020 7802 2400.