Why BP is cutting back in Aberdeen as oil prices soar

…Deeper reasons lie behind the cutbacks, however, and BP’s economies may just be the first of others by competitors. It is no secret that the North Sea fields are running out. Of the six BP-operated fields there, all but two – Rhum and Clair – started producing in the 1980s and 1990s. And two – Valhall and Magnus, Britain’s most northerly field – date from the early 1980s. In oil terms that makes them geriatrics.

The maturity of the North Sea fields is reflected in BP’s bottom line for its domestic business. Financial results for the latest quarter show something of a collapse in profits for the UK (read North Sea) operations. Before interest and tax, profits in exploration and production fell by


The only bright spot in domestic operations was a