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Cost reduction saves client £5 million

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In his most recent project, Alec Hunter of Agile Business Consultants directly contributed to saving our client over £5M. Alec, an experienced manager with 35 years oil & gas experience, 26 of those with Shell fulfilling a variety of positions in finance, commercial and general management, including that of Brent System Manager, was able to identify opportunities to re-define the development plan for oil export metering.

Using his knowledge of the pipeline infrastructure and joint venture agreements Alec was able to identify immediate opportunities to reduce costs to the client.  Eventually a saving of £2m capex with additional lifetime opex savings of £3m were identified and delivered.  Not only was Alec instrumental in identifying the cost reduction opportunity, but he was the key factor in delivery.

Delivery of the savings required thorough consultation with the pipeline operator and the 3rd party company providing access to the export pipeline as well as discussions with DECC to gain regulatory support for Alec's proposal.  Although it was not initially possible to persuade the project team that Alec's plan would even be achievable his persistence enabled him to persuade  key people it was possible to challenge the plan and make these savings.

Alec has once again been repeated the success of cost saving with the initial gas export metering by identifying the opportunity to re-commission existing metering - removing the need for new meter at a saving of around £250 000.

 

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