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Oil Industry

When oil arrived in the late 1970s, it wasn’t thought that production from Shetland would last beyond the millennium. However, ingenious ways have been found of extending the life of fields, for example gas from fields west of Shetland is injected into fields to the east to force out more oil. Those newer developments west of Shetland have also been connected to the oil terminal at Sullom Voe. Thus, although oil production has passed its peak, the decline is gradual and it’s likely that the terminal will be in business for many years to come. Indeed, the French oil and gas company, Total, is to invest £500m in a new gas plant at Sullom Voe which is expected to open for business in 2013.

Despite the notable influence that it’s had on Shetland’s economy, the physical impact of the oil industry is very limited. The terminal is off the beaten track and few people live nearby. It has an enviable environmental record, thanks to the rigorous controls exercised by the Shetland Islands Council. A thorough, long-term programme of environmental monitoring has been in place since the terminal opened.

Elsewhere, there is some oil-related shipping to be seen in ports around the islands and oil platform decommissioning is undertaken at a site near the north entrance of Lerwick Harbour. Oil-related air traffic mostly uses Scatsta Airport, beside Sullom Voe, but some also passes through Shetland’s principal airport at Sumburgh.

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