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UKCS Decommissioning: Challenges in the current price environment
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Report summary
The continued low commodity price environment means a large proportion of UKCS fields are operating at a loss. Budget 2016 did little to improve company cash flows with so few currently in a tax paying position, but it does improve asset valuations. This may encourage new investment or at the very least, the continuation of loss-making operations over the short-term, rather than early cessation of fields.
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- UKCS Decommissioning: Challenges in the current price environment
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