Norway expects less revenue with lower oil prices in 2002

By the OGJ Online Staff

HOUSTON, Oct. 11 -- Norway's revenue from petroleum operations is expected to drop to 205.5 billion kroner ($23.5 billion) in 2002, some 39 billion kroner ($4.5 billion) less than expected in 2001, as an economic recession reduces world demand for oil.

The 2002 estimate is based on an expected average oil price of 200 kroner/bbl ($22.86/bbl), down from an average 230 kroner/bbl ($26.29/bbl) in 2001, because of a global economic recession with declining world demand for crude oil, officials said.

Norwegian government officials estimate the total export value from the petroleum sector will be reduced by 9 billion kroner to 310 billion kroner in 2002.

Average oil production on the Norwegian continental shelf is expected to increase to 3.2 million b/d next year. Natural gas exports from the Norwegian continental shelf are expected to increase by 9 billion standard cu m to 71 billion standard cu m in 2002.

A slight reduction in petroleum industry investments also is expected, down to 55 billion kroner in 2002 from 56 billion kroner this year.