Rosebank A Nod To Government Policy

BMI View: Chevron's decision to develop the Rosebank project in the West of Shetland affirms the UK's decision to grant tax breaks on greenfield projects to stimulate investment in one of the country's few remaining undeveloped oil and gas regions. Although this reform could well help the country stem a long-term production decline, we point out that in the short-term output will still continue to fall. Government efforts will also have to be supported by high energy prices to make exploration and production in technically challenging deepwater regions commercially feasible.

To read the full article, please choose one of the following options: