With spending on new facilities set to hit a fresh record of £13.5 billion this year, oil and gas firms are providing a major vote of confidence in an area where many were cutting investment not so long ago.
The report notes the surge in spending is being led by majors, who are spending huge amounts in areas like west of Shetland. It takes very deep pockets to fund exploration in the area, which has long been believed to contain big fields but where relatively little work has been done.
New tax breaks to encourage spending west of Shetland seem to be having the desired effect. Other allowances covering existing fields have helped prompt big fish and smaller fry alike to invest off Scotland.
Advances in exploration and production technology, like 4D seismic, have also helped boost activity.
Oil & Gas UK says with up to 24 billion barrels forecast to be recovered it will require years of massive investment to realise the potential of the UK North Sea.
But spending on new developments could drop after 2015, once work on bumper new fields like Clair Ridge is complete, and exploration activity remains below the levels seen in the last decade.
Meanwhile, many existing fields are in natural decline and vital infrastructure is ageing.
Against that backdrop Oil & Gas UK says politicians must safeguard the industry of regardless of their party or constitutional preference.