Exciting news in the pipeline for UK oil and gas contractors, as recent drilling successes have been announced in the Port Stanley region of the Falkland Islands. Comments by Brian Swint of Bloomberg added weight to this theory as he indicated that ‘offshore oil in the waters around the islands could triple UK reserves and represent one of the biggest global oil and gas opportunities in the next few years’. With shipping restrictions already in place by South American governments, much of the supply to this series of emerging offshore oil fields would come directly from Europe, and so create opportunities for the UK-based supply chain and of course for UK oil and gas engineering contractors.
Experts are quoting a figure of 8.3 billion barrels coming from the water around the Falkland Islands in 2012, which is three times the UK’s reserves. In fact, one of three wells has been ranked by Morgan Stanley as ‘among the world’s top 15 offshore prospects this year’. Commenting on the developments around the Islands, Evan Calio, analyst at Morgan Stanley, said, “The area is underexplored and highly prospective. These could be like the high-impact wells in Ghana and Brazil a few years ago that opened up a whole host of basins.”