Norway issues up to 70 new drilling permits for oil and gas
Norway's government announced on Tuesday that it is offering energy companies a total of?70?blocks in its annual licensing round to help them explore for oil and natural gas. The country wants to prolong the life span of its petroleum sector.
The new 'blocks' include 38 areas of the Barents Sea; 10 areas in Norwegian Sea; and 22 areas of the North Sea. Applications are due by September 1, and the final awards will be made in early 2027.
Norway's plan to extend oil and gas production in Norway for decades is based on the annual predefined areas (APA) rounds of new offshore exploration acreage. However, activity will likely decrease over the next few years.
The energy ministry has also approved a plan by ConocoPhillips to reopen the Albuskjell and Vest Ekofisk fields, as well as Tommeliten Gamma, which were closed in 2019.
According to the companies, late-life assets contain 90-120 million barrels?of oil equivalent in natural gas?and condensate.
The ministry stated that the total investment is expected to be 19 billion Norwegian crowns (2,05 billion dollars), and production will begin in 2028. It will continue until 2048. (1 Norwegian crown = 9.2619 Norwegian Crowns) (Reporting and editing by Louise Rasmussen, Terje Solsvik)
(source: Reuters)
