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Decommissioning is one of the hottest topics in the oil and gas industry in the UK, with many rigs in the North Sea reaching the end of their lifespan as the most easily accessible reserves are used up. This is also the case in the other main drilling area in the Irish Sea.
In some cases, decommissioning is a simple process. The structure used for drilling the wells is simply floated away back to sure and addressed on land, with many of the materials being cleaned up and salvaged in order to be used in either further rig construction or even other, completely unrelated developments. However, only a relatively small number of abandoned rigs are suitable for such a solution, meaning that the process of decommissioning is often more laborious and time consuming.
The first stage for a more complex project is typical of the industry. Most projects, regardless of their stage in the drilling cycle, involve thorough planning and assessment. Specialist companies are often called upon for their knowledge and expertise in order to identify the safest, most cost effective ways of disposing of unused rigs. There are numerous considerations involved in the process, including not only cost and safety but also the environmental impact of any actions, the technical potential of any proposals and adherence to legislation. Many companies are also acutely aware of the impact of public opinion on their actions and must factor in the perception created for the companies involved.
Upon completion of an agreeable plan, the contractor is usually responsible for obtaining approval for the decommissioning process. Such approval is given by the government, and requires the contractor to justify abandonment, usually on the basis of the oil reserve no longer containing any acquirable fuels. If such an application is successful, the contractor is awarded a cessation of production order, indicating that they are free to seal the drilled area and begin to implement their plan. The governmental agency responsible will also assess the viability of the proposal to ensure that it meets their own criteria, both in terms of legislation and environmental concerns.
As soon as all requirements are satisfied, the contractor is free to commence decommissioning according to the timescales set forth in their planning documents. This may involve the use of other contractors, particularly in cases where the original project owner has sought approval but does not hold the relevant tools or expertise within the company itself. These additional contractors often feature decommissioning as a prominent aspect of their overall service and may even be involved in the original stages of planning to ensure that their expertise is used to cut costs and ensure a smooth project implementation.
The process generally involves a large amount of salvageable material which may be obtained at the site itself or back on shore, where it is redistributed appropriately, either in the form of reuse or recycling.