Oil_gas_cover 14/6/06 10:13 am Page 1

oil, gas and

petroleum
sector

Sector Briefing 2006

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Contents
Oil, Gas and Petroleum Sector

Introduction 3 Key roles for graduates 9

As it is 3 More roles for graduates 11
As it will be 5 Case studies 12
Big players 6 Jargon buster 14
A World view 7 Good reads 15
Getting in and getting on 8 Hot links 15

Writer: Terry Dray (University of Manchester)

Editor: Briony Chown (AGCAS)

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Published autumn 2006

To be revised autumn 2008

The writers of Sector Briefings are members of the
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(AGCAS). These Sector Briefings are edited by the
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Introduction
If you think about oil, gas and petroleum, the
chances are you think of central heating, oil rigs in
the North Sea or petrol and diesel powered
transport. If you remember science at school, you
might conjure up images of refineries – of lipstick,
plastics, candles and tar.
The breadth of the oil and gas industry is
considerable as is the diversity of its careers. The
oil and gas industry is a globally important
business.
Petroleum is often considered the lifeblood of
nearly all other industry, if not industrialised
civilisation itself, and thus is a highly prominent
and critical concern for many nations. It not only
As it is
The UK oil and gas industry has been self-sufficient
since 1980. It can expect to remain self-sufficient
in oil until approximately 2016, and in gas until
well into this century. The industry produces
approximately two million barrels of hydrocarbons
per day and has contributed £25billion to the UK
economy in the last 25 years. However, the UK’s
oil reserves are declining and production is set to
fall by 60% by 2011 (Cogent, www.cogent-
ssc.com). In general, the industry is witnessing
decreasing scale and increasing complexity.
UK oil comes mainly from the North Sea and off
the coasts of Aberdeen, Suffolk, Norfolk, Liverpool
and Morecambe Bay.
The UK now exports quantities of crude oil and is
acknowledged for expertise in the area of deep-
water technology – using advanced engineering
techniques for extracting a higher proportion of oil
from each field. This technique was unknown
twenty years ago. Consequently, UK specialists are
in demand all over the world.
The UK Continental Shelf (UKCS) is facing
significant challenges as the province matures.
Recovering oil and gas from the North Sea and the
Atlantic Margin (the area of water to the west of
Shetland and the north of the Hebrides) is a highly
technical, complex, dangerous and expensive job.
As supplies from larger oil fields run out, smaller,
more expensive fields are being exploited. UK oil
companies have to be inventive and invest in safe
and efficient techniques to remain competitive.
supplies two-thirds of the world’s energy, but also
drives the global economy and influences the
international political landscape. Oil, gas and
petroleum help to shape world affairs and provide
many of the raw materials for everyday life. This
industry constantly has to react to change – it is
an industry that needs to attract, develop and
retain the most talented graduates who are able
to deal with a range of challenges: technical;
economic; environmental; and social.
This Sector Briefing is intended for students,
graduates, Foundation degree graduates and
Diplomates who are considering a career in the
oil, gas and petroleum sector. It is designed to
be read alongside relevant AGCAS Occupational
Profiles.
The UK still has substantial recoverable reserves of
oil and gas, potentially exceeding the amount
already produced. However, many existing, large
producing fields are well into decline and
discoveries are becoming fewer and smaller or
have significant associated technical challenges.
CURRENT TRENDS
As the UK’s oil fields mature, the industry’s focus
has shifted from searching for new oil discoveries
to continuing the productivity of mature fields, as
well as developing smaller fields that were not
previously considered commercially viable. This
trend has prompted major oil companies to begin
selling some of their mature UKCS assets in favour
of other regions of the world. Smaller, independent
oil companies have been acquiring these UKCS
assets.
Natural gas is the UK’s largest source of primary
energy, supplying over 40% of the country’s total
energy needs. It is used as both a domestic and
industrial fuel. It generates electricity to provide
heat and power for homes and industries, and is
feedstock for chemicals, pharmaceuticals and
other products.
The UK is currently the world’s fourth largest
producer of natural gas and has more than 200
offshore fields in production around Great Britain.
The greatest concentrations of gas are found in the
southern sector of the North Sea, but significant
volumes are also produced from the central and
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northern North Sea, and the Irish Sea. Recent
discoveries indicate that further reserves could lie
in the north east Atlantic, to the west of Shetland.
THE FIGURES
Oil and gas
According to the UK Offshore Operators’
Association (UKOOA), www.ukooa.co.uk, in 2005:
• the UKCS produced around 3.5 million barrels of
oil equivalent (BOE);
• the offshore oil and gas industry spent £5billion
operating existing fields and invested over
£4billion in new production, both in capital
investment and exploration;
• HM Treasury received over £7billion in taxation
(2005/06) from the UKCS, compared with just
over £5billion in 2004/05.
The upstream oil and gas sector is a major
employer both within the UK and for UK nationals
overseas.
At the time of writing (spring 2006) the sector
provides employment for 260,000 people. Of
these:
• 30,000 are directly employed by operators;
• 155,000 are employed by contractors and the
supply chain;
• 75,000 are employed in jobs that are created
through the economic activity above.
The spread of jobs across the UK is as follows:
• 32% in Scotland;
• 25% in the South East of England;
• 11% within the North of England and East
Anglia.
Petroleum
The UK petroleum industry, also referred to as
downstream, consists of over 200 companies
involved in the refining, distribution and marketing
of petroleum products. They range from large,
multinational oil companies, supermarket chains
and independent retail groups, through to the
independent retailer with a single site.
The main product of the downstream industry is
transport fuel. This market is split into commercial
and retail. The commercial market includes power
generators, industrial, transport and agriculture
customers, independent fuel distributors, the
government and its agencies, public services and
the military. The retail market covers fuels mainly
sold from high street filling stations. The
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downstream petroleum industry employs over
150,000 people directly, and several thousands of
contract workers. The workforce is mainly
employed in stabilising, refining and
manufacturing, and in forecourt retailing activities.
ENVIRONMENTAL CONCERNS
Increased public concerns about environmental
disasters and the effects of fossil fuels on global
warming have sharpened the industry’s focus on
environmental and safety issues. As the demand
for energy grows so do concerns about the impact
on the environment.
The UKOOA Sustainability Strategy Update and
Progress Report 2005 details the industry’s
progress in developing and implementing a
sustainability strategy, and the Offshore Oil and
Pollution Prevention and Control Regulations
2005, indicate that protection of the environment
is high on the agenda of all oil companies.
Environmental management now forms a key part
of the decision-making process.
Recent improvements include:
• use of ultrasonic leak detection to reduce gas
flare losses;
• introduction of more thermally efficient power
plants on platforms;
• installation of simultaneous steam and electricity
production facilities in refineries to reduce
carbon dioxide emissions;
• work with conservation organisations to preserve
habitats that will allow species to flourish;
• investments in new technology to maximise
output from existing fields.
The offshore industry produces 80% of the UK’s
primary energy. It generates 3% of the country’s
carbon dioxide and methane emissions.
Decommissioning
Decommissioning is a major focus of the industry.
There are 6,500 offshore oil and gas production
installations worldwide. Four hundred of these are
off the coast of the UK.
Installations include sub-sea equipment fixed to
the ocean floor and various installation rigs. There
is a very strict legal framework that governs
decommissioning and 80% of structures are
brought to shore and reused or recycled.
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SAFETY
Health and safety is a key element of both industry
and working standards. The oil, gas and petroleum
industries operate in dangerous environments and
deal with extremely hazardous products. It is
therefore essential to ensure that workers within
this industry are highly trained in dealing with
health and safety issues, not only for their own
protection, but, most importantly, for that of the
general public. Health and safety legislation also
imposes very strict standards of safety training.
Health and safety statistics for the offshore oil and
gas industry show there were no fatalities in
2004/05. This is compared with three in 2003/04.
However, there were 48 major injuries in 2004/05.
The Dangerous Substances and Explosives
Atmospheres Regulations 2002 states that
effective measures to eliminate and reduce risks
must be taken.
Every installation has a safety case, which sets out
how risks will be managed. Initiatives in recent
years include ‘Step Change in Safety’ and the
government-sponsored ‘Revitalising Health and
Safety’. These initiatives ensure that the oil and
gas industry works together to deliver a 50%
improvement in safety performance. They also
As it will be
‘The future is unpredictable. We are watching
some of the geo-political certainties of the last
century being replaced by new forces and
dynamics. However we do know about certain key
issues that will be significant for the world
whatever happens – issues such as climate
change, development and energy security. Our
industry will have a critical role in these, so
although we cannot foretell the future, that does
not absolve us from seeking to set the energy
industry on a sustainable course for the remainder
of this century.’ Iain Conn, Group Executive Officer,
BP.
• Over the last 30 years, the demand for oil has
been decreasing while the demand for gas has
slowly risen. Natural gas is attractive because of
its environmental benefits and efficiency in
electricity generation.
• Over the next 25 years fossil fuels will continue
to supply the majority of the world’s energy
needs.
encourage sharing of safety information and good
practice across the whole industry.
A result of these initiatives has been the creation
of an oil and gas industry offshore passport
scheme called Vantage. The Vantage system tracks
trip histories, competency and training. It is a way
for operating companies to check that all the
requirements to travel offshore have been met.
CULTURE
Remoteness, long hours, harsh weather, close
proximity to work colleagues, reliance on helicopter
travel, and basic living accommodation mean that
offshore work is quite different from the standard
nine-to-five job. It is important to remember that
these conditions do not suit everyone.
Between 50 and 100 people live on a typical
installation. Work is usually in continuous shifts of
12 hours on, 12 hours off for two weeks, followed
by a two to three-week rest period ashore. Onshore
workers at terminals and refineries may be expected
to work to a similar pattern, although they are able
to go home at night.
Off-shift there are opportunities to work out in the
gym, watch videos, play snooker, read or use a PC.
Food is plentiful, but alcohol cannot be consumed.
• Biofuels, wind and solar will grow rapidly as
sources of energy, contributing 2% of total
energy supplied by 2030.
• The UK industry is facing increasing commercial
pressures driven by a declining production
profile. It has to contend with global
competitiveness in a high-cost environment.
• Development and operating costs are predicted
to rise over the decade.
• The UK is a high-cost province. As other areas
around the world are opening up to international
oil investment, the UK will need to compete
even harder for investment funds.
UK TARGETS
In the UK, PILOT – a partnership of the UK oil and
gas industry and government – has set out its
vision for 2010:
• Production level of three million barrels of oil
equivalent per day beyond 2010.
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• Sustained investment level of £3billion per year.
• additional revenue of £1billion from new
businesses.
• 100,000 more jobs than there would otherwise
have been in 2010.
• Prolonged self-sufficiency in oil and gas for the
UK.
PILOT aims to make the UK the safest place for
workers in the oil and gas industry by 2010.
NEW TECHNOLOGY
In the coming years, the UK industry expects to
make new discoveries and new developments.
Long-term investment in new technology will be
needed to increase productivity and find new
sources of oil and gas.
Big players
There are many different opportunities in the oil,
gas and petroleum sectors. You may be interested
in exploration, drilling, construction, diving supplies,
energy transportation, petrol retailers, or refineries.
There are over 30 companies involved in the
exploration and production of oil alone. Below are
some of the big players and main recruiters.
Amerada Hess
• Global energy company with operations in the
UK, USA, Norway, Denmark, Guinea, Gabon,
Azerbaijan, Thailand and Indonesia.
• Largest operator of sub-sea production wells and
fields on the UK Continental Shelf (UKCS).
• The HOVENSA refinery in the United States Virgin
Islands, a joint venture between a subsidiary of
Amerada Hess and a subsidiary of Petroleos de
Venezuela, S.A. (PDVSA), is one of the largest
crude oil refineries in the world.
• Graduate opportunities in areas of exploration,
production, refining, and marketing and support
functions.
BP
• One of the world’s leading energy companies.
• Established operations in 70 countries in Europe,
North and South America, Australasia and Africa.
• Largest supplier of liquid petroleum gas (LPG)
into the UK.
• One of the world’s leading producers of solar
power.
• There are graduate opportunities in commercial,
technical and human resources roles.
6
• The industry will need to increase its ability to
find and develop smaller, higher risk targets.
• Many wells lie deep under water – UK expertise
in this area will prove to be a very attractive and
valuable export.
• As oil prices seem destined to remain at a high
level, it may pay to apply ‘enhanced recovery’
techniques to existing and future finds. These
techniques are costly and require specialised
platform facilities.
• There will be increasing development of small
satellite fields linked by sub-sea collectors and
pipelines to an existing central platform and
pipeline to shore.
• With a more integrated hydrocarbon industry,
the sector will be looking to develop transferable
skills in its employees so they can move
between sub-sectors.
Centrica
• Leading supplier of energy and related services.
• There are opportunities in marketing, e-
commerce, HR, procurement, IT, and operations.
Chevron Texaco
• Among the top ten North Sea producers.
• Fourth largest petrol retailer in UK.
• Operates, or has interests in, eight oil and gas
fields in the UK sector of the North Sea and 14
in the Danish sector.
• Accounts for 180,000 barrels of oil per day.
Conoco Phillips
• Integrated energy company engaged in the
exploration, production, refining, processing and
marketing of petroleum and natural gas.
• Of non-government-controlled companies
worldwide, has the eighth largest total of proved
reserves and is the fifth largest refiner in the
world.
• Operates in 40 countries.
• 35,600 employees worldwide.
• Opportunities exist in a wide range of
occupations, including upstream and
downstream engineering, financial analysis and
marketing.
Exxon Mobil
• World’s largest and most profitable non-
governmental producer of oil and gas.
• Presence in 200 countries.
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• Explores for oil and natural gas in six continents Schlumberger

and has upstream operations in 40 countries.
• Largest refinery and pipeline distribution.
• Proved oil reserves, including tar sands, of 22
billion oil equivalent barrels are the highest in
the industry.
• Opportunities in a wide number of business
areas including gas and power marketing,
production and development, IT and finance.
National Grid Transco
• Transportation company.
• Opportunities including engineering and
commercial roles.
• Supplies products, services and technical
solutions to the oil and gas exploration and
production industry.
Shell
• One of the world’s leading energy companies.
• Has a presence in 135 countries.
• Major employer in a mature industry in the UK.
• Its Stanlow manufacturing complex produces
one sixth of the UK’s petrol.
• Opportunities in a wide number of business
areas including reservoir engineering, well
engineering, product/process research, supply
and distribution, and finance.

A world view
Oil and gas is a global industry. For example: OIL AND GAS PRODUCING COUNTRIES
• oil discovered in one continent is piped to
another; The ten largest oil producing countries are:
• companies and their staff operate across the • Saudi Arabia;
world; • Russia;
• events in one small, oil producing country can • United States;
have devastating effects on life in other, much • Iran;
larger countries; • China;
• the industry and its vacillations have an impact • Mexico;
on people throughout the world. • Norway;
• Venezuela;
THE CHANGING FACE OF THE INDUSTRY • United Kingdom;
• Canada.
The global economy is expected to show strong
sustained growth and will double to $70trillion by The ten largest natural gas producing countries
2030. The fastest growth will be in developing are:
countries such as China, India, Malaysia and • Russia;
Indonesia. Fossil fuels will continue to supply 60% • United States;
of the world’s energy needs through to 2030. Oil • Canada;
and gas combined will represent 60% of overall • United Kingdom;
energy by 2030 a similar share to today (Iain • Algeria;
Conn, BP 2006). • Netherlands;
• Iran;
Mergers have transformed the international oil • Indonesia;
industry. There are signs that this activity is likely to • Norway;
increase as the cost of finding and developing oil • Uzbekistan.
and gas climbs, and the outlook on oil and gas
prices remains confident. Multinational and state A growing percentage of the world’s production is
oil companies dominate the market, and there are in offshore areas, such as the Gulf of Mexico, the
a number of large, independent firms who prefer to North Sea, western Africa (Angola, Nigeria), Asia
specialise in upstream or downstream activities. (China, Vietnam), and Australia.
Recently privatised firms from the emerging
markets are also becoming bigger players. The number of countries involved in oil production
is growing – Turkmenistan, Vietnam, Azerbaijan,
Kazakhstan, China and Russia are just some of the

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countries where, in recent years, new fields have The Organisation for Economic Co-operation
been discovered. Broadly, countries can be split and Development (OECD)
into three groups: OECD is 30 countries that share a commitment to
democratic government and the market economy.
Organisation of the Petroleum Exporting It has active relationships with 70 countries, non-
Countries (OPEC) governmental organisations (NGOs) and civil
OPEC is made up of 11 developing nations which society. The OECD offers an opportunity to discuss
are heavily reliant on oil revenues as their main common policies to help stabilise exchange rates
source of income. Formed in 1960, the current and encourage growth.
members are Algeria, Indonesia, Iran, Iraq, Kuwait,
Libya, Nigeria, Qatar, Saudi Arabia, the United Arab Other oil producing countries
Emirates and Venezuela. OPEC members produce Oil producing countries who are not members of
40% of the world’s crude oil and possess more • Ecuador;
either organisation include:
than three-quarters of the world’s total proven • Russia; • Oman;
crude oil reserves. OPEC is hugely influential in the • China; • Syria;
sector – raising their prices, increasing or • Malaysia; • Yemen;
decreasing production can affect markets around • India; • Egypt;
the world. Some of the smaller countries are • Brazil; • Angola;
reliant on oil exports so low prices can have a • Argentina; • Gabon.
devastating effect on their economies. • Colombia;

Getting in and getting on

There is a wide range of technical and commercial
opportunities open to graduates in the oil, gas and
pertoleum industries. Oil companies generally
recruit internationally, so UK graduates will often
be in competition with those from the USA and
Europe.
If you are interested in a technical role, you may
find that a postgraduate qualification is useful. This
is partially because university education lasts
longer outside the UK, and because higher degrees
are the normal entry point to this career.
Make sure that you research postgraduate courses
carefully. Check how many students obtain jobs at
the end of the course. If the number is low,
practical experience may be better.
Once you have found a job, most companies offer
on-the-job training. If you are in engineering, then
you are likely to be encouraged to gain chartered
status and if you work in a commercial role you
may be encouraged to gain relevant professional
qualifications (eg in accountancy).
Continuing professional development (CPD) is
crucial in such a fast-changing industry. A learning
log has been created by COGENT so employees
can take responsibility for managing their own
career and personal development, through open
8
learning. More information is available on the
Oil Careers website, www.oilcareers.com.
Geographical spread – UK
Employment is available all over the UK and, for
some, worldwide, the largest regions being
Scotland, London and the east coast of England
(these include the ports and terminals where oil
and gas come ashore). There are oil refineries in:
• Edinburgh;
• Liverpool;
• Milford Haven;
• Southampton.
Offshore fields are found in the:
• North Sea;
• Atlantic Margin;
• Irish Sea;
• English Channel.
FINDING A JOB
The larger employers have comprehensive
websites. These contain a wealth of information
about graduate opportunities. Employers visit
universities to give presentations or attend fairs.
To find details of companies working in the North
Sea – from engineering to specialist diving and
drilling – go to the Energy Institute website,
www.energyinst.org.uk. The UKOOA has a list of
Oil_and_gas_inners 14/6/06 10:16 am Page 9
companies licensed by the government to explore
for and produce oil and gas in UK waters.
WORK EXPERIENCE INTERNSHIPS/
SUMMER PLACEMENTS
A number of companies now offer summer
courses, one-year industry schemes and summer
internships – valuable for a range of reasons. The
company has a chance to look at possible
candidates for graduate positions and, more
importantly, undergraduates obtain a real insight
into an industry that places high demands on its
workers.
• BP offers a range of opportunities, including
eight to 13-week summer placements for
penultimate-year students in technical and non-
technical areas. They also offer industry
internships, which last from 13 weeks to a year
in technical and commercial areas. These start
in July and applications are made online.
• ExxonMobil run one-year industrial placements
in technical, commercial and public affairs roles.
These start in July. ExxonMobil also offer eight-
week summer placements in technical and
commercial roles for penultimate-year students
and have international opportunities for students
on the Global Careers website,
www.globalcareers.com.
• National Grid Transco runs a one-year placement
scheme in engineering, commerce, finance, IT,
logistics, communications and in health and
safety. They also run eight-week summer paid
internship for students studying at partner
universities on BEng or MEng power-assisted
degrees.
Key roles for graduates
CHARTERED MANAGEMENT
ACCOUNTANT
Chartered management accountants apply the
principles of accounting to provide the financial
information necessary for the planning and financial
protection of organisations in the public and private
sectors. They establish and maintain financial
policies and management information systems, as
well as liaise with management colleagues on all
aspects of finance. Chartered management
accountants look to the future (rather than the
past, as in auditing). They analyse the performance
of a business and advise on how it can improve its
value. They may work in a finance function or within
• Shell offers a number of internships for
penultimate-year students in technical and
commercial areas. These last from eight weeks
to one year.
• Schlumberger operates placements of three
to six months, either in oilfield engineering with
a crew visiting a variety of well sites, or
engineering, scientific and research in other
areas.
There is a constant demand for high-quality
graduate applicants. Future direct and indirect
employment opportunities are likely to be in IT,
drilling and sub-sea well-head construction sectors.
Engineers and geoscientists are likely to be
required across the industry for the foreseeable
future.
The upstream industry gives graduates the
opportunity to develop a global career, providing
that they can adapt to domestic and international
relocations.
Potential candidates will frequently need to show
evidence of the following skills:
• presentation;
• teamwork;
• IT;
• technical skills;
• managerial skills.
Graduates are needed who can manage and work
with people as well as high-technology machinery.
specialist departments providing financial advice
and information to support strategic business
decision-making.
DISTRIBUTION/LOGISTICS MANAGER
Logistics managers are responsible for managing all
processes involved in a supply chain. This could
include liaising with suppliers of raw materials,
manufacturers, retailers and, increasingly, the end
consumer. Logistics managers co-ordinate all
processes to ensure customer satisfaction. An
awareness of and strategic response to external
influences, such as legislation, is vital. The role of
distribution manager within logistics can encompass
transportation, stock control and warehousing. It
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involves ensuring structures are in place to monitor
the flow of goods and materials. IT plays a key part
within the logistics field in forecasting increasingly
complex systems of stock levels, delivery times,
transport costs and performance evaluation.
ENGINEERING GEOLOGIST
Engineering geologists are concerned with the
detailed technical analysis and broad scientific
assessment of the impact of a development on its
site and population. They assess the integrity of
soil, rock, groundwater and other natural conditions
prior to major construction schemes, such as
tunnels, pipelines, buildings, docks and harbours.
They also advise on procedures required for such
developments and the suitability of appropriate
construction materials.
Engineering geologists are also involved with
analysing sites and designs for environmentally-
sensitive developments, such as landfill sites. By
monitoring development areas and analysing
ground conditions, they ensure that structures are
secure in the short and long term.
ENVIRONMENTAL MANAGER
Environmental managers are specialists employed
by organisations in the private, public and voluntary
sectors to co-ordinate the management of their
environmental performance. They must be able to
identify and resolve environmental problems with an
holistic perspective, acknowledging that the
political, social, legal and economic aspects of
issues are as important as those pertaining to
science and technology. Environmental managers
are often expected to act as an agent of change
within organisations. An important element of the
role is to provide training to staff at all levels to
ensure that the entire workforce recognises their
own contribution to improved environmental
performance.
GEOSCIENTIST
A geoscientist interprets geophysical, geochemical
and geological data to develop models of the
earth’s subsurface with the aim of discovering
commercially viable and exploitable reserves of
natural resources, such as oil and gas. They provide
the foundation for the exploration and production of
natural resources and for the discovery, development
and management of water supplies. They are also
involved in the production of reserves and may
provide specialist advice for engineering projects.
Geoscientists work in a variety of roles within the
natural resources sector. Terms such as
10
geophysicist, geochemist and sedimentologist are
also used for specialist roles within geoscience.
GEOPHYSICIST/FIELD SEISMOLOGIST
A geophysicist/field seismologist uses complex
equipment to collect data on earthquakes and
seismic waves, which move through and around the
earth. Their main responsibility is controlling data
quality. To do this, they monitor displays and
perform some initial interpretation. Job descriptions
vary according to the area of employment. The work
might be based: in academia – supporting an
equipment pool for UK academic seismologists; in
a research institute – investigating seismological
structures and providing seismological information
to the public and government; or with an oil
company or consultancy - undertaking seismic
exploration and producing their own controlled
source seismic data.
MARKETING EXECUTIVE
Marketing executives are involved in aspects of
marketing, including: planning; advertising;
promotion; public/media relations; product
development; distribution; sponsorship; and
research. The role is often challenging, varied and
exciting. As many organisations have marketing
departments, marketing executives can be found in
both the private and public sectors: from the
banking, retailing and media industries to voluntary
and not-for-profit organisations. The responsibilities
of the role will vary, depending on the size of the
organisation and sector, and whether the focus is
on selling a product/service, or raising awareness of
an issue that affects the public. Marketing
executives may also be known as marketing
assistants or co-ordinators.
MUDLOGGER
A mudlogger collects and monitors information from
drilling operations, such as drilling data, gas and
samples, using a range of equipment and
laboratory techniques including binocular
microscopes, ultraviolet fluorescence and thin
section analysis. They monitor drilling parameters,
including: speed of rotation; rate of penetration;
pump rate; pit levels; cutting rate; and mud flow
rate. Mudloggers are contracted to an oil company
via a service company and are based on an oil rig.
They feed information and advice back to the
drilling team for operational purposes, which is then
reported back to the oil company. Mudloggers are
also known as logging geologists or mudlogging
geologists.
Oil_and_gas_inners 14/6/06 10:16 am Page 11
PETROLEUM ENGINEER
Petroleum engineers apply technical skills and
knowledge to solve engineering challenges. They
function as integrators, connecting subsurface and
topside engineering activities to bring oil or gas
from the reservoir to the surface. They aim to do
this economically, safely and with minimum
damage to the reservoir and facilities. Petroleum
engineers acquire expertise in a wide range of
areas, including: petrophysics; drilling and product
operations; reservoir engineering; production
geology; production technology; and field
development economics. Other activities range from
managing material resources and contractor
relationships, to supervising drilling personnel. They
work in multidisciplinary teams alongside other
engineers, scientists, drilling teams and contractors.
SEISMIC INTERPRETER
A seismic interpreter analyses geological and
geophysical data about the earth's structure to
produce maps for evaluating the prospects of
recovering hydrocarbons for the energy industry.
Data about the earth's surface is gathered by
satellite or from acoustic readings. A seismic
interpreter uses sound waves to map the geological
structure below that surface. The work involves
analysing which rock structures are likely to contain
hydrocarbon deposits and how plentiful and how
deep such deposits are likely to be. Computer
generated 2D and 3D models are used to produce
this analysis and to follow movement and change
within the rock.
More roles for graduates
The following roles also exist in this sector. For
more information, see the relevant AGCAS
Occupational Profiles available in your careers
service or at www.prospects.ac.uk/ links/
Occupations. This list is by no means exhaustive.
• Cartographer
• Chartered certified accountant
• Database administrator
• Drilling engineer
• Health and safety adviser
• Industrial buyer
• Information officer/manager
• Information scientist
• Information systems manager
SOFTWARE ENGINEER
Software engineers research, design, test,
implement and maintain software systems to meet
client or employer needs. They use a variety of
computer programming languages and applications,
working in teams with other IT professionals, or
alone. Sometimes referred to as computer
programmers or software developers, the type of
organisation they work for includes: IT firms or
consultancies; major IT users; and organisations
that either harness, create or use IT, such as
banks, retailers, manufacturers,
telecommunications companies, the armed forces,
the public sector and voluntary sector
organisations. Software engineering is one of the
most popular professions in IT in terms of the
numbers employed.
WELLSITE GEOLOGIST
Wellsite geologists study rock cuttings from oil and
gas wells to determine what rock formations are
being drilled into and how drilling should proceed.
They identify critical strata from core samples and
rock-cutting data and build up knowledge of the
structure being drilled. Wellsite geologists are
experienced geologists. They decide when
specialised tests should be carried out and,
ultimately, when to stop drilling. They send frequent
reports and logs of completed drilling to the
operations geologist and offer geological advice to
oil company representatives. They also liaise with
drilling engineers, petroleum engineers and
mudloggers during the course of projects.
• Market researcher (qualitative/quantitative)
• Multimedia programmer
• Personnel officer
• Production manager
• Public relations officer
• Quality assurance manager
• Retail manager
• Secretary/administrator
• Solicitor, commercial
• Statistician
• Systems/business analyst
• Systems designer
• Systems developer
• Trader (equities, FX, futures, bonds)
• Training and development officer/manager
11
Oil_and_gas_inners 14/6/06 10:16 am Page 12
Case studies
JAMES, FIELD ENGINEER AND
GRADUATE RECRUITER
James knew since he was a child that he was going
to work in oil and gas. He grew up with a passion
for geology and the outdoors, and loves the risk
and unknowns in the business. As far as he is
concerned, there is no greater challenge than being
a field engineer – so that's where he started.
James works for Schlumberger and he feels that in
the service industry their reputation is unrivalled.
Schlumberger operates in an inherently changeable
environment – so workforce flexibility is required.
Once this is understood, the process is easy. The
orientation process is very thorough, but the aim is
to prepare standalone engineers for their work as
fast as possible.
The training is essential and dedicated learning
centres are designed to create service delivery
engineers in months, not years. People, technology
and profit are highly valued in the company.
Having recently moved into a recruiting role, James
is primarily responsible for the recruiting of graduate
engineers in the UK. He also works to maintain,
expand and improve relationships between
Schlumberger and UK and Irish universities. James
works as part of a team of four people and
between them they cover 12 countries. His work
also involves spending considerable time supporting
efforts overseas.
Working for Schlumberger forces James to combine
personal and business challenges. His greatest
challenge is to staff the company for the huge
upturn in business they are experiencing, without
dropping standards.
James values diversity and trust highly, and cannot
imagine a career where he wasn’t able to move
across different functions, jobs and locations. He
feels that his job is his life, and a fun one!
The company is results oriented and James has the
autonomy to use his own methods and approach.
His role is very diverse. He is at a university one
day, travelling the next, having meetings in Paris on
another and conducting phone interviews on
another. Every day is different, although the unifying
factor is usually high pressure and the need to get
things done quickly.
12
James always remembers that recruiting affects
people’s lives, so being slow and ineffective is not
an option.
James expects to spend about 18 months in his
human resources recruiting role before he moves
back to operations.
JONATHAN, TEAM LEADER IN HIGH
THROUGHPUT TECHNOLOGY
Jonathan always had an interest in chemistry and
science, so studying chemistry at university was a
natural choice. After he graduated in 1991 with a
choice of jobs, Jonathan chose to work for BP
because they paid a little more than the other
major recruiters. They were also local to Edinburgh,
and they seemed to offer a broader range of job
opportunities.
Experience of early personal development within BP
was good: whilst there were some ‘standard’
courses, much of the development was customised
to his own needs and included statistics, chemical
engineering and negotiating skills.
BP takes pride in its approach to health and safety,
and this has been a core part of Jonathan’s
training. There are also events that bring together
the newly recruited graduates and allow them to
learn more about the company. The continuous
development of all employees, not just the new
graduates, is encouraged at BP. For example,
Jonathan has been actively encouraged to gain
professional body membership and BP supported
him through his MBA studies.
In his current role, Jonathan leads a team of 15
scientists and engineers in the research centre
working on catalyst testing. However, he is
transitioning to a project manager role looking after
the construction (and then operation) of a multi-
million dollar pilot plant in the Hull Research and
Technology Centre. Both these roles involve a lot of
time talking to people – team members, and those
inside and outside BP – to understand,
communicate and help resolve key issues.
Jonathan is rarely at his desk for long. He enjoys
the networking parts of the job and representing
the company externally.
Oil_and_gas_inners 14/6/06 10:16 am Page 13
Jonathan has budgetary responsibility for his team,
and he takes a keen interest in ensuring safe
operations at all levels. He particularly enjoys
working with team members to help them reach
their full potential.
Ultimately, Jonathan would like to combine his
technical, communication and business skills that
he has aquired to help define the role of technology
within BP as a whole.
JULIA, MUDLOGGER
After a degree in geology at Manchester, Julia
started work as a mudlogger with Halliburton in
Aberdeen in April 2005. She is currently working
offshore on North Sea oil rigs.
Like most mudloggers, Julia works 12-hour shifts
partnered with another mudlogger who covers the
other half of the day. This ensures that there is a
mudlogger at their post on the rig at all times, day
and night.
A typical shift involves Julia catching and bagging
samples of rock cuttings, which come out of the
well during drilling. These cuttings are boxed and
their contents recorded. Julia analyses some of
these specimens separately in her ‘unit’ – a cabin
on the deck of the rig equipped with computers and
lab equipment used for testing and examining
samples. She describes the rock cuttings recovered
(their type, percentage of type in each specimen
and physical properties) and looks for any evidence
of hydrocarbons in the rocks.
The information obtained from the cuttings is then
recorded on the mudlog – a document produced by
loggers for the oil company that displays
information about the well on a depth-based scale.
Julia says that the only way to ensure that she can
answer any question asked of her is to follow the
routine and make sure everything is examined,
logged and reported – and no corners are cut.
Julia’s 12-hour shift is spent working alongside
another, more experienced logger – the data
engineer. Mudloggers often become data engineers
before they move into other oil industry jobs.
Julia would eventually like to be a wellsite geologist
after she has gained the necessary knowledge and
expertise that comes from mudlogging. Wellsite
geologists study the cuttings from the well to
determine what rock formations are being drilled
into and advise the drill crew on what kind of rocks
they may encounter while drilling. They then report
their findings to the office-based ‘operations’
geologist.
Julia states that most mudloggers are young – she
doesn’t know many who are in their forties.
Mudloggers typically work two weeks offshore
followed by two weeks at home. Julia states that
although when onshore they are not actually ‘at
work’, they can be called offshore at any time, even
at weekends. The only time they can’t be called
back offshore is when they are on booked annual
leave. As Julia says:
‘It’s a bit like being on-call as, even though I might
be at home, I still have to be prepared to go back
offshore if required. It is not uncommon for this to
happen at the moment when there is so much
drilling activity in the North Sea.’
That said, Julia is happy with this set up as it suits
her current lifestyle:
‘One way to look at it is that even though fourteen
12-hour shifts in two weeks sounds like a lot, once
I'm off the rig, I've got heaps of free time to enjoy
myself.’
13
Oil_and_gas_inners 14/6/06 10:16 am Page 14
Jargon buster
Appraisal well - drilled after the discovery of oil or
gas to establish the limits of the reservoir, the
productivity of wells in it and the properties of the
oil and gas.
Barrel - a unit of volume measurement used for
petroleum and its products (7.3 barrels = 1 ton:
6.29 barrels = 1 cubic metre).
Blow-out - accidental escape of oil and gas from a
well during the drilling stage.
Compressor - an engine used to increase the
pressure of natural gas so that it will flow more
quickly through a pipeline.
Decommissioning - removal of production
equipment and facilities from depleted oil fields.
Development well - drilled to produce oil and gas
after an appraisal well has proved the reserves
sufficiently large for exploitation.
Downhole - a term used to describe tools,
equipment and instruments used in the well bore,
or conditions or techniques applying to the well
bore.
Downstream - the refining, distribution and
marketing of petroleum products.
Exploration drilling - drilling carried out to
determine whether hydrocarbons are present in a
particular area or structure.
FPSO - floating production storage and offloading.
14
Exploration phase - covers the search for oil or
gas by carrying out detailed geological and
geophysical surveys followed up by exploratory
drilling.
M BOE - million barrels oil equivalent.
Midstream - refers to industry activities that fall
between upstream and downstream activities.
Most often applied to pipeline transportation of
crude oil and natural gas.
Mud - a mixture of base substance and additives
used to lubricate the drill bit.
Operator - company that has legal authority to
drill wells and undertake production of
hydrocarbons.
Platform - fixed structure resting on the seabed or
piled into it from which development wells are
drilled, to exploit an oil or gas field.
Plateau level - the level of peak production
reached by an oil or gas field.
Tour - work shift of a drilling crew, usually
pronounced as though it were spelled t-o-w-e-r.
UKCS - UK Continental Shelf.
Upstream - the exploration for, and extraction of,
crude oil and natural gas.
Wildcat - speculative exploration well drilled in
search of a new oil or gas accumulation.
Oil_and_gas_inners 14/6/06 10:16 am Page 15

Good reads
The following are suggested in addition to relevant
AGCAS Occupational Profiles (see ‘Key roles for
graduates’ and ‘More roles for graduates’), which
contain their own lists of useful resources.
Occupational Profiles are available from higher
education careers services and at
www.prospects.ac.uk/links/Occupations.
AGCAS and Graduate Prospects products are
available from higher education careers
services and on www.prospects.ac.uk.
AGCAS
AGCAS Special Interest booklets:
Going for Interviews; Job Seeking Strategies;
Making Applications
Prospects Graduate
www.prospects.ac.uk
Other
Energy Sourcebook, CMP Data & Information
Services, Annual
Journal of Petroleum Technology (JPT), Society of
Petroleum Engineers, monthly
The Leading Edge (TLE), Society of Exploration
Geophysicists, monthly
Offshore, Pennwell Publishing (UK) Ltd, monthly
Offshore Engineer, EMAP, monthly

AGCAS Occupational Profiles Oil and Gas Journal, Pennwell Publishing (UK) Ltd,
weekly
Graduate Prospects
Prospects Directory Petroleum Review, Energy Institute, monthly
Prospects Finalist

Hot links
The following are suggested in addition to relevant Oil and Gas, www.oilgas.co.uk
AGCAS Occupational Profiles (see ‘Key roles for
graduates’ and ‘More roles for graduates’) which Oil and Gas Job Search,
contain their own lists of useful resources. www.oilandgasjobsearch.com
Occupational Profiles are available from higher
education careers services Oil.com, www.oil.com
and at www.prospects.ac.uk/links/Occupations.
Oilfield Glossary, www.glossary.oilfield.slb.com
American Petroleum Institute www.api.org
Organisation of the Petroleum Exporting Countries
Cogent: The Sector Skills Council for Chemicals, (OPEC), www.opec.org
Nuclear, Oil and Gas, Petroleum and Polymers,
www.cogent-ssc.com Organisation for Economic Co-operation and
Development (OECD), www.oecd.org
DTI - Energy, www.dti.gov.uk/energy
PILOT, www.pilottaskforce.co.uk
DTI - Oil & Gas, www.og.dti.gov.uk
Rig Jobs, www.rigjobs.co.uk
Earthworks, www.earthworks-jobs.com
Global Careers, www.globalcareers.com Sub Sea Oil & Gas Directory, www.subsea.org/links/

The Health and Safety Executive (HSE) US Department of Energy, www.energy.gov

www.hse.gov.uk
World Oil, www.worldoil.com
Offshore Technology, www.offshore-technology.com
Worldwide Worker, www.worldwideworker.com
Oil Careers, www.oilcareers.com

15
Oil_and_gas_inners 14/6/06 10:16 am Page 16
ADDRESSES
British Geological Survey (BGS),
Kingsley Dunham Centre, Keyworth, Nottingham
NG12 5GG Tel: 0115 936 3100 www.bgs.ac.uk
Energy Institute, 61 New Cavendish Street, London
W1G 7AR Tel: 020 7467 7100
www.energyinst.org.uk
Institute of Materials, Minerals and Mining (IOM3),
1 Carlton House Terrace, London SW1Y 5DB
Tel: 020 7451 7300 www.iom3.org
Institution of Mechanical Engineers (IMechE),
1 Birdcage Walk, Westminster, London SW1H 9JJ
Tel: 020 7222 7899, www.imeche.org.uk
Petroleum Exploration Society of Great Britain
(PESGB), 5th floor, 9 Berkeley Street, London W1J
8DW Tel: 020 7408 2000 www.pesgb.org.uk
16
Society of Exploration Geophysicists,
8801 South Yale, Tulsa, OK 74137-2740, USA
Tel: 001 918 497 5500 www.seg.org
Society of Petroleum Engineers, Part Third Floor
East, Portland House, 4 Great Portland Street,
London W1W 8QJ Tel: 020 7299 3300
www.spe.org
UK Offshore Operators Association (UKOOA),
2nd Floor, 232-242 Vauxhall Bridge Road, London
SW1V 1AU Tel: 020 7802 2400 www.ukooa.co.uk
UK Petroleum Industry Association (UKPIA),
9 Kingsway, Londo WC2B 6XF
Tel: 020 7240 0289 www.ukpia.com
United Kingdom Onshore Operators Group
(UKOOG) Shepherds, Cranbrook, Kent TN17 3EN
Tel: 01580 715100, www.ukoog.org.uk
Oil_gas_cover 14/6/06 10:13 am Page 3

Jobs on
the net!
www.prospects.ac.uk
Job vacancies
Careers guidance
Work experience
Find it all on the UK's official
graduate careers website

visit www.prospects.ac.uk the UK’s official graduate careers website

Checklist What should you do next?

Check the websites, contacts and publications

listed at the back of this booklet.

Look at the other AGCAS publications listed at the

front of this booklet.

Speak to a careers adviser in your HE careers

service for more help and information.

Browse the prospects.ac.uk website for graduate

careers information.
Oil_gas_cover 14/6/06 10:13 am Page 4

Guide to AGCAS information

on prospects.ac.uk

Options
Ideas of what you can do with your subject of study, with details of skills
gained, jobs related to your degree, further study and other options.
www.prospects.ac.uk/links/Options

Sector Briefings
Overviews of the key job sectors, providing an insight into the culture,
tips for entry and progression, and examples of typical jobs and
leading employers.
www.prospects.ac.uk/links/SectorBs

Occupational Profiles
Focusing on over 400 different types of jobs, with details of entry
requirements, salary ranges, typical employers and vacancy sources.
www.prospects.ac.uk/links/Occupations

Special Interest Series

Information on job hunting, applications and interviews, postgraduate
study, changing your course, using your languages and what to do
after your course.
www.prospects.ac.uk

Country Profiles
Details for working and studying in over 50 countries around the world,
including the job market, visa requirements and vacancy sources.
www.prospects.ac.uk/links/Countries