Operators focused on small and challenging projects in the UK North Sea that are offered investment incentives by Chancellor Alastair Darling in his 2009 budget to unlock 2 billion bbl and enhance indigenous production.As oil prices have fallen from $147/bbl last July to a range around $50/bbl today, Darling has come under intense pressure to offer tax breaks to the industry. Recently published data by Deloitte LLP showed there was a 78% fall in exploration drilling in this year’s first quarter compared with a year ago due to low oil prices, high costs, and financing difficulties. According to Deloitte, the government’s tax receipts from the North Sea is expected to almost hal...