"Agile's consultant added value – quickly and fundamentally in oilfield development.  His knowledge and experience in commercial agreements were invaluable from a small oil company perspective.”UKCS Area Subsurface ManagerThe client engaged our consultant to develop a Hydrocarbon Accounting process for their two new assets due to come on-stream in early 2009. During the development of the Hydrocarbon Accounting process our consultant challenged the client on their development strategy.

The client and their co-venturers were producing via their own facilities but after an initial offshore loading phase were planning to go “up and over” an existing platform. This would give them access to a major pipeline system and delivery to a shore terminal where crude would be stabilised and stored for loading to tankers.

Our consultant had extensive knowledge of the infrastructure and joint venture agreements and was able to propose that the client change their methodology and eliminate the need for a meter on the third party platform. This was not initially accepted but, after further discussion, the concept was accepted internally. Our consultant led discussions with the third party who was very much against this change. Following one meeting with this third party’s commercial and metering specialist they accepted that it could be possible to change the philosophy subject to discussions with the operator of the pipeline and the terminal.

The savings associated with this change in concept will result in cost savings of approx £1.5m to £2m and ongoing maintenance over the life of the fields will save between £1.5m to £3m.