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Scotland takes energy message to Houston

Scottish energy sales to U.S. market accounts for about 20 percent of total.

By Daniel J. Graeber

EDINBURGH, Scotland, March 30 (UPI) -- Scottish Energy Minister Fergus Ewing said he's taking a message to Texas that his country is a ripe investment destination for the oil and gas industry.

"It is important that potential investors continue to have confidence in the world-renowned energy sector we have in Scotland, and this week I will speak directly with senior industry representatives emphasizing the Scottish government's support for the industry and championing Scotland's excellent oil and gas expertise, workforce and companies," he said ahead of his visit to Houston.

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The Scottish government estimates the oil and gas supply chain in the country boasted sales of more than $33 billion in 2013, the last full year for which data are available. Sales to the North American market totaled about $6 billion.

His visit to the United States comes as most energy companies are spending less on exploration and production as oil prices remain depressed. Rig counts, a benchmark for industry activity, are down when compared with last year.

In mid-March, the British government outlined tax plans to stimulate exploration and production in the North Sea. The Scottish government said the industry paid a "heavy price" because of decades of mismanagement in the regional energy sector.

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"The international oil sector is currently facing significant challenges, but I believe firmly in the value that Scottish businesses deliver to partners, particularly in deep-water and offshore exploration areas, and their ability to overcome those challenges," Ewing said in a statement Sunday.

Scotland pegged its future during a bid for independence on revenue from oil and gas reserves in the North Sea. The bid failed last year and the government in January said the region's energy sector needs a predictable set of governing policies in order to thrive.

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