Norway Expects Gas Export Price to Fall Until 2021

Monday, October 8, 2018

Norway expects its gas export price to fall by more than a quarter by 2021 as increasing global liquefied natural gas (LNG) supplies outstrip growth in European demand.

Norway's 2019 fiscal budget on Monday showed it expects the average price for Norwegian gas to fall to 2.05 crowns/standard cubic meter (sm3) and reach a low of 1.70 crowns/sm3 by 2021, then rebounding in 2022.

The projections are higher than what Norway, Europe's second largest gas supplier after Russia, was expecting in its revised budget in May, when 2018's price was seen at 1.8 crowns/sm3 and 2019 just below 1.5 crowns.

The average price for Norway's gas was about 2.20 Norwegian crowns ($0.2655) per sm3 in 2018.

"Lower gas production in Europe will probably limit the price decline," the budget said, adding that LNG supply to Europe will fall in the period 2022-2025, which will push Norway's gas export prices up again.

Norway expects a long-term price of 1.94 crowns/sme3 from 2026.


($1 = 8.2866 Norwegian crowns)

(Reporting by Lefteris Karagiannopoulos Editing by Alexander Smith)

Categories: Finance LNG

Related Stories

Centrica and Thailand’s PTT Ink Long-Term LNG Supply Deal

Japanese Oil and Gas Firm Enters Two Blocks off Malaysia

Woodside Agrees Long-Term LNG Supply with Petronas Unit

Yinson Production Closes $1B Investment to Drive Further Growth

Petronas-Eni Upstream Joint Venture to Take Up to Two Years to Set Up

UK Firm Secures Exploration Extension for Two Blocks off Vietnam

ABL Lands Work on BP’s Indonesian Gas and CCUS Project

MODEC, Carbon Clean to Advance FPSO-Mounted Carbon Capture Tech

Aker Solutions, PTAS JV Hooks Brownfield Services Extension off Brunei

Fugro Lands Deepwater Gas Field Job in Southeast Asia

Current News

Centrica and Thailand’s PTT Ink Long-Term LNG Supply Deal

Petrovietnam, Partners Sign PSC for Block Off Vietnam

Japan Protests China’s New Oil and Gas Construction Activities in East China Sea

CNOOC Signs Hydrocarbons Exploration and Production Deal with Kazakhstan

Thailand's PTT to Buy LNG from Glenfarne's Alaska LNG Project

Woodside and Jera Agree LNG Cargoes Supply for Japan’s Winter Period

Petronas Expands Suriname Portfolio with Deepwater Block Acquisition

Japanese Oil and Gas Firm Enters Two Blocks off Malaysia

Yinson Production, “K” LINE Target Europe's CCS with FSIU and LCO2 Solutions

Woodside Agrees Long-Term LNG Supply with Petronas Unit

Subscribe for AOG Digital E‑News

AOG Digital E-News is the subsea industry's largest circulation and most authoritative ENews Service, delivered to your Email three times per week

https://accounts.newwavemedia.com