INDUSTRY NOMINATES TRACTS FOR NORWAY'S 15TH OFFSHORE LICENSING ROUND

Oil companies have nominated more than 250 blocks for inclusion in Norway's 15th offshore licensing round. Norwegian Petroleum Directorate (NPD) estimates that more than 4 billion metric tons of oil equivalent remain to be found on the Norwegian shelf. The Norwegian Sea off Central Norway is to be the focus of the 15th round. NPD reckons about 1 billion metric tons of oil equivalent remains undiscovered there. Norway's Den norske stats oljeselskap AS is more optimistic than NPD, saying

Oct. 10, 1994

2 min read

Oil companies have nominated more than 250 blocks for inclusion in Norway's 15th offshore licensing round.

Norwegian Petroleum Directorate (NPD) estimates that more than 4 billion metric tons of oil equivalent remain to be found on the Norwegian shelf.

The Norwegian Sea off Central Norway is to be the focus of the 15th round. NPD reckons about 1 billion metric tons of oil equivalent remains undiscovered there.

Norway's Den norske stats oljeselskap AS is more optimistic than NPD, saying almost 2 billion metric tons of oil equivalent will be found in the Norwegian Sea.

A Statoil official said response to the licensing round is so good because areas of the Voring basin have been opened to licensing by government earlier this year. The basin is believed to be the most prospective unlicensed area off Norway.

Great interest also is reported for the More basin and Nordland area blocks, also opened this year (see map, OGJ, Mar. 28, p. 33).

Low prospectivity and environmental disputes with neighboring Sweden and with communities in southern Norway are said to have contributed to the quiet withdrawal of exploration of the Skagerrak areas from government's plans.

Moves by Norway's Ministry of Industry & Energy to improve license terms had little effect on 15th round nominations.

Operators recently imposed a moratorium on Norwegian, field developments. However, operators have become resigned to the fact that no more concessions on terms can soon be wrung from Oslo.

Statoil was first to end the thaw, by submitting a development plan for Norne field. This put Norne development back on track. But the company said this was only because field economics were unusually good for the region (OGJ, Oct. 3, p. 30).

Fifteenth round block offerings are to be announced about yearend, with license awards slated for fourth quarter 1995.