§ 3.33 p.m.
§ Lord SandysMy Lords, I beg leave to ask the Question standing in my name on the Order Paper.
§ The Question was as follows:
§ To ask Her Majesty's Government what is their latest estimate of the United Kingdom's recoverable oil reserves, and what percentage of them still remain untapped.
§ The Parliamentary Under-Secretary of State, Department of Energy (The Earl of Avon)My Lords, Table 2 of the Brown Book shows the total of proven and possible recoverable oil reserves as 1,950 million tonnes. Approximately 604 million tonnes of crude oil and natural gas liquids have been recovered, leaving 69 per cent. of reserves untapped.
§ Lord SandysMy Lords, I thank my noble friend for that encouraging reply. Can he confirm that the total share of the business which United Kingdom companies have is 72 per cent. of a total order book amounting to no less than £2.61 billion?
§ The Earl of AvonYes, my Lords, I agree with my noble friend. The share was standing at about 72 per cent., worth some £1.88 billion in itself.
§ Lord GrimondMy Lords, can the noble Earl interpret the words "possible recoverable" in his reply? Does that imply that these reserves are theoretically recoverable at however great cost, or are they economically recoverable, and if so what assumptions are made about the future price of oil?
§ The Earl of AvonMy Lords, the terms used in the Brown Book at the moment are "proven, probable and possible reserves". These are reserves in existing discoveries. Most can be economically brought up at present prices.
§ The Earl of LauderdaleMy Lords, would my noble friend agree that the rising estimate of North Sea oil reserves is to be largely attributed to the effects of the Budget of last year encouraging greater exploration? Could he say whether the department are now giving any thought to recording and estimating the volume of coal reserves under the North Sea on the Continental Shelf?
§ The Earl of AvonMy Lords, I agree with what my noble friend said in the first part of his supplementary.I would need notice of his second point under a separate Question.
§ Lord Stoddart of SwindonMy Lords, in the light of the new figures which have been issued is the noble Earl able to tell us the date to which the Government think.that we now have self-sufficiency in oil?
§ The Earl of AvonMy Lords, in relation to the figures I have been giving the House this afternoon, remaining recoverable reserves so far discovered would last ten and a half years if present production rates are maintained.