§ Mr. Skeetasked the Secretary of State for Energy why only 70 blocks are on offer in the seventh round of offshore licensing including deep water areas.
§ Mr. GrayOne of the principal offshore objectives is that companies should thoroughly explore and appraise existing licensed territory. The licensing of 70 blocks under the new round will ensure that there are sufficient resources and facilities for that task while still providing the stimulus of new acreage.
§ Mr. Skeetasked the Secretary of State for Energy, since the British National Oil Corporation is not to have a mandatory right to a majority interest in future offshore licences, what minority interest he favours for the State corporation in the seventh round.
§ Mr. GrayI have no preference as to the level of BNOC interest. This will be a matter for the Corporation and its partners.
§ Mr. Skeetasked the Secretary of State for Energy why he is including a provision giving the British National Oil Corporation an option to take up at market value up to 51 per cent. of the petroleum produced under new licences.
§ Mr. GrayI made this clear in my statement of 26 July. I think the provision is right because as a large-scale oil trader BNOC can play an important part in securing vital United Kingdom national interests.
§ Mr. Skeetasked the Secretary of State for Energy (1) whether he is prepared to give British Petroleum, in which the State has a substantial stake, an option to take up at market value up to 51 per cent. of the petroleum produced under new offshore licences;
(2) whether he will grant crude oil deficient United Kingdom companies an option to take up oil produced under licences in the seventh round of offshore licensing.
§ Mr. GrayNo. The special role BNOC plays in safeguarding the nation's oil28W supplies would not be appropriate for private sector companies.
§ Mr. Skeetasked the Secretary of State for Energy what is the position of the British Gas Corporation in the seventh round of offshore licensing.
§ Mr. Skeetasked the Secretary of State for Energy whether he will give small companies or consortia of small firms priority in the seventh round of offshore licensing.
§ Mr. GrayI believe that small firms have a significant contribution to make to the seventh round, and I welcome this. I do not consider that it would be either appropriate or necessary to give them priority.
§ Mr. Skeetasked the Secretary of State for Energy what he anticipates will be the period of consultation permitted following the announcement of the terms of licences under the seventh round of offshore licensing.
§ Mr. Gordon Wilsonasked the Secretary of State for Energy what share of the North Sea oil exploration and development market is now estimated as having been borne by the United Kingdom and Scotland, respectively.
§ Mr. GrayThe value of orders placed for the United Kingdom Continental Shelf in 1978 was£1.6 billion, of which the United Kingdom share was 66 per cent. It is not possible to extract separate figures for Scotland.