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EnQuest to focus on productivity and winning new business for Sullom Voe Terminal

OIL company EnQuest has said it will reconfigure Sullom Voe Terminal in Shetland to make it fit for the purpose of stabilising throughput from the East of Shetland Basin while also winning new business.

The company took over the operation of the terminal from BP on Friday morning.

Chief operating officer Neil McCulloch said the terminal already processed a third of the company’s global daily production, a figure than would rise to just under 50 per cent once the acquisition of the Magnus field is counted in.

McCulloch said the company would be striving to make cost efficiencies, increase productivity and demolish parts of the terminal that were no longer needed.

“We want to make the terminal as fit for purpose as possible. Following good work, started by BP and other owners, it means that the terminal is serving its customers as efficient as possible, but also that it is in a mode where it is competitive for future business,” he said.

“We want to make sure that the size and shape of the terminal really fits the East of Shetland and the West of Shetland customer, and in essence has a feeling that it is fully utilised for the task at hand.”

While current throughput is down to around the 70,000 to 80,000 barrels a day mark, the company hopes to be able increase that over coming years.

“In terms of people employed here – we have taken on today 300 people in total, some on the island here, some in Aberdeen, and some offshore on Magnus.

“We will be looking through the year to come how best to apply those people in our business. We do want to make sure that the terminal has the right number of people and that we are not seeing low productivity.”

Currently there are around 220 staff employed by EnQuest at the terminal plus around 400 contractors working on site.

Union leaders said they were closely involved in the transfer.

Unite regional officer John Boland said: “Our Unite reps working for BP have been heavily involved in the transfer over to EnQuest and this has helped to resolve any issues.

“We hope that with EnQuest as the new operator of SVT, we will see a new focused approach to extending the life of the terminal and the employment of our members.”

In the second video clip Neil McCulloch gives his take on how Enquest evaluates the prospects of the East of Shetland Basis and how more business can be won from West of Shetland: