Scotland: new oil and gas strategy aims for sales of £30 billion by 2020News // August 14, 2012
Scottish Enterprise and Scottish Development International (SDI) will play a significant role in delivering Scotlandís new oil and gas strategy, which aims to target higher long-term recovery rates, increase exports and reach annual sales of £30 billion by 2020.
The Scottish Government has identified six priorities in its new strategy which, in addition to strengthening and expanding the supply chain, focusing on resource recovery, skills development and providing a supportive infrastructure, includes supporting innovation and developing export markets.
Scottish Enterprise will make up to £10 million available to support innovation in the sector over the next three years, particularly in the area of increasing recovery rates from reservoirs.
The new strategy also aims to increase sales from exports, so that international activity, having risen from 31 to 46 per cent from 2002 to 2010, reaches 60 per cent (£18 billion) by 2020.
SDI will provide support for companies to boost activities in key markets, such as Brazil, Norway and west Africa, and build on the recent establishment of its new base in Calgary, Canada.
The strategy Ė developed and to be delivered by industry, Scottish Government and public sector partners Ė builds on four decades of unprecedented economic success, which has recovered 40 billion barrels of oil equivalent and delivered £300 billion in revenues to the UK Government.
Alex Salmond, Scotlandís First Minister, said: "Oil and gas is one of Scotlandís greatest industrial success stories, having transformed the economic well-being of the UK over the last 40 years.
"With as much as £1.5 trillion of oil remaining to be extracted from reserves around these islands, an increasingly buoyant export sector now reaching 100 different countries, and emerging opportunities to deploy the sectorís vast expertise in other offshore projects, the industry has a bright future."
Paul Lewis, Scottish Enterpriseís Managing Director, Operations, said: "The oil and gas sector has a crucial role to play in Scotlandís future economic success. Weíve already seen an impressive increase in international sales from the oil and gas sector supply chain, for example, which were recently valued at over £7.6 billion.
"The challenge now is to increase this activity at an even faster rate by supporting more companies to enter new markets and fulfil their growth ambitions."