The streets of Aberdeen are lined with Range Rovers, Porsches and Audis. New commercial property and residential developments are popping up all over and around the city. It is boom time in Europe‚Äôs oil capital. And yet UK North Sea oil production is in free fall, despite record high expenditure. Figure 1 In the period 1999 to 2008, sharply rising oil price more than outweighed plummeting production and the total value of that production kept rising. But with oil price now stabilised and range bound $100-$120 / barrel, a continued fall in production will begin to drag the value of that production downwards as capital and operating costs go up. Data from the BP statistical review of World Energy 2013 . Click on all charts to get a larger copy. Oil Field Decline and Decline Rates Production from most oil fields begins to decline within a few years of […]