Forecast: Oil and Gas Extraction Production Value in the UK

The UK oil and gas extraction production value has seen significant declines from 2013 to 2023, with notable year-on-year drops of 16.58% in 2014, 13.44% in 2015, and a sharp 41.62% in 2016. Despite moments of recovery in 2017 and 2018 with increases of 19.21% and 18.58% respectively, the downward trend continued, culminating in an 8.9% decrease in 2023 to stand at 15.78 billion euros. The average annual variation over the last five years showed a negative CAGR of 9.41%.

Looking forward, the production value is forecasted to continue its decline. From 2024 to 2028, the compound annual growth rate (CAGR) is projected at -11.36%, resulting in a total estimated decrease of 45.28% over these five years. This suggests the industry might face ongoing challenges, possibly due to shifts towards renewable energy sources and other market dynamics.

Future trends to watch for:

• Continued impact of global energy transition policies on oil and gas demand.
• Advancements in extraction technology and their effects on production efficiency.
• Economic and geopolitical factors influencing global oil prices.
• Potential regulatory changes affecting the oil and gas sector.
• Investment levels in exploration and production activities.