<scp>UK</scp> oil and gas output falls sharply again in 2024

UK oil and gas output falls sharply again in 2024The United Kingdom is pushing ahead with its net zero program but is also continuing to run down investment in the country's upstream oil and gas sector, leading to rising imports of both fuels.Industry is increasingly calling for a more balanced transition, optimizing low carbon extraction of remaining domestic hydrocarbon resources, while simultaneously driving growth in renewables.In 2024 total energy production in the United Kingdom was 95.7 mn mtoe, 5.5% lower than in 2023 and 68% lower than in 1999 when UK oil production peaked.While output of renewables has risen sharply over recent years, they have not grown by enough to compensate for falling output of oil, gas, and coal-leading to a switch from energy exporter to importer, and a hit to its domestic energy sector and the country's economic performance.UK crude output fell 11% in 2024 to 564,000 b/d, the lowest level since the early 1970s after a similar 11% fall in 2023.A slight rise of 3000 b/d in 2024 NGLs production saw overall liquids output fall by a slightly less steep 9% on the year to 632,000 b/d, according to the government (see Table 1). 1 UK crude is also becoming heavier, reflecting the growing proportion of newer fields such as Kraken, Mariner, and Captain.Lower output meant exports of crude and NGLs hit record lows in 2024 and were down 43% from 2019 levels at 24.2 mn mt, while imports rose to a record high for recent years.Gas production also fell by around 11% in 2024, leading to a 7.9% rise in imports and leaving the country increasingly exposed to winter LNG price spikes.The rising oil and gas imports come despite the United Kingdom still having over 10 bn barrels of recoverable reserves in the North Sea.But much of this is no