Multi-million energy investment

A multi-million pound investment in Britain's oil and gas supplies will be announced by the Government today.

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Oil and gas provide 'vital role' to Britain's future energy

Vince Cable on a visit to an assembly plant in Broughton yesterday Credit: Martin Rickett/PA Wire/Press Association Images

The oil and gas industry will play a vital role in British energy needs for decades to come, according to three Liberal Democrat ministers.

Business Secretary Vince Cable, Scottish Secretary Michael Moore and Energy Secretary Ed Davey were in Aberdeen this morning to set out their long term strategy, aiming to boost investment and supply chains while promoting exports.

Mr Davey said the industry will play a huge role despite efforts to promote cleaner fuels and decarbonisation.

"The primary products, oil and gas, on all estimations will remain an integral part of the mix for many decades to come," he told an invited audience which included industry leaders and local politicians.

"Only the UK can deliver what is required over a sustained period if you are going to get the most out of the oil and gas industry. The UK is a large economy - that is why we can provide the support.

"Smaller economies have difficulty absorbing the costs.

"The size of the UK economy can really create the framework and certainty."

'Extreme' engineering centre for subsea technology

An "extreme" engineering centre will be built to help develop deep sea technology.

The £7 million Neptune National Centre will be created on the River Tyne in Newcastle.

The River Tyne in Newcastle, where the Neptune National Centre will be created Credit: John Giles/PA Archive

Unveiling the centre as as part of a new oil and gas strategy, Business Secretary Vince Cable said: "This cutting-edge new facility will help put our academic community and industry at the centre of subsea and offshore engineering research."

Newcastle University will help provide funds of try scheme as a centrepiece for economic revival.

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Davey: Growth opportunities for gas and oil industry

Secretary of State for Energy and Climate Change Ed Davey Credit: Nick Ansell/PA Wire

Energy Secretary Ed Davey said the oil and gas industry is a vital strategic resource.

"With our support for carbon capture and storage, for decommissioning and by encouraging increased collaboration across different energy sectors, especially offshore, there will also be new sustainable growth opportunities for the industry and the wider UK supply chain."

Scotland welcomes UK's plans for gas and oil

Scottish Energy Minister Fergus Ewing said he welcomed the UK Government view that there is a long-term future for the industry.

He said that the UK strategy highlighted oil and gas as an "enormous economic resource for decades to come.".

Scotland's Oil and Gas Strategy, developed in conjunction with industry, lays out a plan to help the industry go from strength to strength, and rising capital investment - predicting that investment should rise from £11.4 billion in 2012 to over £13 billion in 2013 - clearly demonstrates the confidence investors and the industry have in Scotland

The Scottish Government has already launched its industry led Oil and Gas strategy and is implementing a range of measures to support the industry in this time of major investment. We welcome the UK Government's commitment to work with the Scottish Government in implementing its strategy.

– Fergus Ewing, Scottish Energy Minister

Vince Cable: This is an 'expanding industry'

Vince Cable, Secretary of State for Business Credit: Joe Giddens/PA Wire

At an announcement on the UK's oil and gas strategy in Aberdeen today, Business Secretary Vince Cable is expected to say:

"I want us to consider what barriers are stopping British companies bidding for and winning work in the North Sea.

"This is an expanding industry.

"We can either help create more jobs and opportunities across the UK if we get this right, or see work going overseas if not."

Ministers to announce oil and gas strategy

The Government will today announce an oil and gas strategy that aims to secure thousands of jobs and billions of pounds of investment.

Buzzard oil field in the North Sea, 50 miles from Aberdeen's coastline Credit: Danny Lawson/PA Wire

Plans for "tax certainty", skills development and supply chain support will be discused by three secretaries of state in Aberdeen, the oil capital of Europe.

Business Secretary Vince Cable, Scottish Secretary Michael Moore and Energy Secretary Ed Davey will speak to business leaders about the strategy this morning.

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