Norway Awards Record Number of Exploration Blocks

By Nerijus Adomaitis
Tuesday, January 15, 2019

Norway awarded a record 83 blocks to explore for petroleum resources in mature areas of the Norwegian continental shelf, in a sign of continuing interest from oil companies in the country's oil sector, the energy ministry said on Tuesday.

A lack of large discoveries on the shelf has prompted concerns that Norway's top industry, which employs about 170,000 people directly and indirectly, could fall into decline.

The government hopes that offering more licenses could trigger more activity.

"This is the largest licensing award on the Norwegian continental shelf. Fifty-three years after the first licensing round, this new record confirms the industry's belief in continued value creation and activity in Norway," Oil and Energy Minister Kjell-Boerge Freiberg said.

A total of 38 oil companies had submitted bids for acreage offshore Norway in the so-called predefined areas (APA) licensing round by last September's application deadline.

Western Europe's largest oil producer is expected to see its oil output decline this year to its lowest level in three decades, before rebounding next year.

The government handed out 37 licenses in the North Sea, 32 in the Norwegian Sea and 14 in the Barents Sea in areas near the existing discoveries. Altogether, 21 oil firms received operatorships.

Norway's majority state-owned oil and gas firm Equinor was awarded the majority, with 13 operatorships. Aker BP was awarded 11 operatorships, while Sweden's Lundin won 9.

Norway's DNO and Britain's Faroe Petroleum together won 9 operatorships. Middle East-focused DNO, which returned to the North Sea, recently won a hostile bid to acquire Faroe.

DEA and Wintershall, which have agreed to merge, have received a combined five operatorships.

The other companies that received operatorships and stakes in licenses include oil majors Total, Shell and ConocoPhillips, as well as Eni's Norwegian subsidiary Vaar Energy.

When announcing the round last May, the government expanded the pre-defined areas near the existing discoveries by a total of 103 blocks. 


(Editing by Terje Solsvik and Louise Heavens)

Categories: Energy Offshore Energy Activity Europe Oil Government Regulations

Related Stories

Malaysia’s Petronas and Oman’s OQEP Strengthen Oil and Gas Ties

SBM Offshore Starts Construction of FSO for Trion Oil Field off Mexico

Russia Targets 2028 for Sakhalin-3 Gas Project Start Up

Seatrium Secures ABS Backing for Deepwater FPSO Design

Hibiscus Petroleum Starts Drilling at Teal West Field off UK

PV Drilling Takes Ownership of Noble Corporation’s Stacked Jack-Up Rig

TotalEnergies Inks 10-Year LNG Supply Deal with South Korea’s KOGAS

PXGEO Nets First Seismic Survey off Malaysia

Saipem Marks First Steel Cut for Tangguh UCC Project at Karimun Yard

Dutch Contractor Completes Malaysia’s Largest 'Rig-to-Reef' Decom Project

Current News

Malaysia’s Petronas and Oman’s OQEP Strengthen Oil and Gas Ties

Southeast Asia’s 2GW Cross-Border Offshore Wind Scheme Targets 2034 Buildout

Pharos Energy Kicks Off Drilling Campaign Offshore Vietnam

Viridien to Shed More Light on Malaysia’s Offshore Oil and Gas Potential

US Pressure on India Could Propel Russia's Shadow Oil Exports

Energy Drilling’s EDrill-2 Rig Starts Ops for PTTEP in Gulf of Thailand

RINA Wins FEED Contract for Petronas’ Flagship CCS Project in Malaysia

ABL Secures Rig Moving Assignment with India's ONGC

Pakistan, Türkiye Deepen Oil and Gas Ties with Offshore Indus-C Block Deal

Eni-Petronas Gas Joint Venture Up for Launch in 2026

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