Norway's 2011 oil and gas production falls 5 %

Jan 16, 2012 12:00 AM

Norway's total oil and gas production fell by 5 % in 2011, to 218.7 mm cm of oil equivalent, the Norwegian Petroleum Directorate said. The fall was largely driven by lower gas production, the directorate said.
Norway exports most of its petroleum production. Total Norwegian production of oil and gas has been falling since 2004, mainly because of lower output of crude oil. The role of the Norwegian Petroleum Directorate is to get as much petroleum out of the shelf as possible.

The directorate is "worried that the number of new production wells falls," said Director Bente Nyland. This is the best method of increasing production in existing fields, and oil companies are "expecting a larger production" than what one should expect from the number of wells they plan to drill, she said.
The directorate expects production to rise in 2012, to 222 mm cm of oil equivalent, holding steady at this level until 2016.

Norwegian 2011 crude oil production fell to 97.3 mm cm, or 1.7 mm bpd, from 104.4 mm cm in 2010. Natural gas sales fell to 101.3 bn cm, 5 bn cm less than in 2010. The directorate said this was "largely market driven."
"We think this is a temporary dip," said Nyland, adding she expects a rise in Norwegian natural gas sales in the next five years. Norwegian 2011 crude oil production fell to 97.3 mm cm from 104.4 mm cm in 2010, while natural gas sales fell to 101.3 bn cm, 5 bn cm less than in 2010, the directorate said.

Investments in the oil sector, including exploration, are expected to rise to NOK 170 bn in 2012 from just under NOK 150 bn in 2011, the directorate said. But "a sharp and prolonged decline in the price of oil could have a major impact on investments," it added in a statement.
Recent, big Norwegian discoveries such as Skrugard and Aldous/Avaldsnes will "not increase Norwegian petroleum production," said Deputy Energy Minister Per Rune Henriksen, adding that "our goal is stable, high production and to dampen the production fall we know will come."

For the five-year period up to 2016, production is expected to be 1,120 mm cm of oil equivalent, the directorate said. For the five years 2007-2011, production was 1,170 mm cm of oil equivalent, it said.
In the next five years, Norway will produce 458 mm cm of crude oil, 110 mm cm less than in the previous five year-period, according to the directorate.

Alexander's Commentary

Change of face - change of phase

In the period of July 20 till August 3, 2015, Alexander will be out of the office and the site will not or only irreg

read more ...
« August 2019 »
August
MoTuWeThFrSaSu
1 2 3 4
5 6 7 8 9 10 11
12 13 14 15 16 17 18
19 20 21 22 23 24 25
26 27 28 29 30 31

Register to announce Your Event

View All Events