The offshore supplies industry: can Scotland win the ninth round?

Later this spring the Government will announce the results of the ninth round of licencing 'blocks' of the UK Continental Shelf (UKCS) for the purposes of exploration and development of new oil and gas reserves. The blocks on offer are an intriguing mixture of unexplored 'mature' areas in the North Sea and 'frontier' acreage in places such as West Hebrides and West Shetland. In terms of attracting bids the latest round is already clearly a success: 147 applications have been received and over half the 195 blocks on offer have attracted attention. Since the Government only expected to license some 80 blocks, it has every reason to be satisfied with this response. This economic perspective considers whether Scotland can overcome obstacles to realising the potential of offshore supplies industry.