Into the 1980s

Abstract

There was much to encourage the onshore oil industry during the second half of the 1970s. A major double find had been made at Wytch Farm and was being carried through, albeit slowly, to highly profitable production. A step change in world prices had made it immensely more attractive to look for and produce oil. The continuing threat of a dislocation to supplies, as occurred in the aftermath of the overthrow of the Shah of Iran, increased the premium on secure sources, onshore and off. Yet, onshore activity fell away sharply in the four years from 1975.According to official figures, the total number of wells drilled declined from 19 in 1975, to 5 in 1976, 4 1/2 in 1977 (a well started in one year and completed in another is counted as a half to each), 7 1/2 in 1978 and only 3 1/2 in 1979. Moreover, of those wells drilled a large proportion were appraisal or development projects to exploit old discoveries. In the five years 1975 to 1979, only 13 1/2 of the 39 1/2 wells drilled were exploratory.¹