Resources Case Study - North Sea Oil 🛢️

Question 1

What is some background information on NSO?

Answer 1

• began in 1975
• 40 BILLION barrels of extracted oil
• over 50% of reserves have been extracted with between 15-24 barrels left
• UK government benefitted £300 million

Question 2

Positives of NSO?

Answer 2

👍 UK produces 60% of its own natural gas (less reliant on foreign energy)
👍 employs thousands of people
👍 UK gov benefit from tax revenue
👍 positive multiplier effect (new industries)

Question 3

Negatives of NSO?

Answer 3

👎 Piper Alpha disaster of 1998 killed 167 workers and lost £1.7 billion
👎 Helicopter went down in 2016 (killed 13)
👎 Oil prices fell in 2014 - 150,000 workers fired
👎 Oil leaks cause huge environmental damage (2011- leaked 200 tonnes!)
👎 Non-renewable and will run out