Oil Production Platforms

HC Deb 14 April 1976 vol 909 cc550-1W

32. Mr. Corrie

asked the Secretary of State for Energy when he expects the first order for the platform site at Hunterston.

Mr. Eadie

The site is planned for completion sufficient to accept a contract by the end of June 1976. The award of a contract depends on the oil companies' plans and the success of the platform contractor, who takes an optimistic view of his prospects.

Mr. Skeet

asked me Secretary of State for Energy what loans or aid he proposes to make available to Laing Offshore to prevent a complete rundown of operations at Graythorp; and if he proposes to make State funds available to other oil platform site contractors who have personnel employed but no orders available.

Mr. Benn

Any oil production platform contractor is free to put to the Government at any time proposals to improve his capability to undertake a wider range of oil-related activities and these would be considered on their merits. The proposals I have received from Laing Offshore in respect of the Graythorp site fall in this category and are at present being examined.

Mr. Skeet

asked the Secretary of State for Energy how much State money has been invested in the oil platform site at Portavadie; and how many orders have been secured.

Mr. Benn

£12 million to date. No platform orders have yet been secured.

Mr. Skeet

asked the Secretary of State for Energy how much State money has been invested in the oil platform site at Hunterston; and how many orders have been secured.

Mr. Benn

The Government are guaranteeing the costs of the development of this site up to a maximum of £11.5 million. No orders have yet been secured. I also refer the hon. Member to the answer given today to the hon. Member for Bute and North Ayrshire (Mr. Corrie).

Mr. Skeet

asked the Secretary of State for Energy whether the British Gas Corporation is in a position to place orders for oil production platforms.

Mr. Benn

No. The British Gas Corporation is not the operator for any of the commercial oilfields in which it has an interest.

Mr. Skeet

asked the Secretary of State for Energy when he expects an upturn in oil production platform orders.

Mr. Benn

I have nothing to add to the answer given to the hon. Member on 22nd March.

Mr. Skeet

asked the Secretary of State for Energy to what extent technical reappraisals, subsea techniques, Government depletion proposals, the impact of PRT and inflated prices have reduced the placing of orders for oil production platforms.

Mr. Benn

The present hiatus in platform ordering by the operators has occurred partly because they want to complete full technical appraisal of their fields in the light of recent advances in drilling and production technology, and partly because they are reviewing platform design in the light of the operational experience already gained in the North Sea.