• 4 minutes Energy Armageddon
  • 6 minutes How Far Have We Really Gotten With Alternative Energy
  • 10 minutes Russia Says Europe Will Struggle To Replace Its Oil Products
  • 2 hours GREEN NEW DEAL = BLIZZARD OF LIES
  • 1 hour Reality catching up with EV forecasts
  • 5 days "Natural Gas Price Fundamental Daily Forecast – Grinding Toward Summer Highs Despite Huge Short Interest" by James Hyerczyk & REUTERS on NatGas
  • 5 days A Somewhat Realistic View of the Near Future for Electric Vehicles Worldwide
  • 45 mins 87,000 new IRS agents, higher taxes, and a massive green energy slush fund... "Here Are The Winners And Losers In The 'Inflation Reduction Act'"-ZeroHedge
  • 11 days The Federal Reserve and Money...Aspects which are not widely known
  • 15 days US Oil Independence is a myth and will always be a myth
  • 15 days Oil Stocks, Market Direction, Bitcoin, Minerals, Gold, Silver - Technical Trading <--- Chris Vermeulen & Gareth Soloway weigh in
ZeroHedge

ZeroHedge

The leading economics blog online covering financial issues, geopolitics and trading.

More Info

Premium Content

Norway's Natural Gas Production Could Set New Record This Year

  • As the European Union races to reduce its dependence on Russian gas, Norway is emerging as a new top supplier.
  • Norway could produce upwards of 122 billion cubic meters (bcm) of NatGas this year, setting a new production record.
  • Norwegian petroleum & energy minister Terje Aasland expects production levels can be sustained through the decade as new projects are coming online.

The European Union is reducing its dependence on Russian natural gas and has made some progress. Norway has displaced Russia as the top supplier of NatGas to the EU as energy supply chains are rejiggered, reported Reuters, as Moscow reduces flows to EU countries via the Nord Stream 1 pipeline.  According to government data in May, Norway ramped up NatGas production by at least 8% versus last year. This means the Scandinavian country could produce upwards of 122 billion cubic meters (bcm) of NatGas this year. 

Refinitiv Eikon data show Norway is now the largest supplier of NatGas to Europe, surpassing Russia, which has slashed Nord Stream capacity to just 20%. By Wednesday, the pipeline will undergo a surprise three-day shutdown for 'maintenance' work. 

Norwegian petroleum & energy minister Terje Aasland expects production levels can be sustained through the decade as new projects are coming online. This is undoubtedly a relief for the energy-stricken continent. 

"I expect that we can maintain the production levels we are at now until 2030. 

ADVERTISEMENT

"We see that there are projects and also plans for development and operation coming now that can help maintain the high gas volumes going forward," Terje Aasland told Reuters in an interview.

The energy minister said diversification of EU's Natgas supplies away from Russia is critical. He said, "this is an important message to get from the EU." 

Increasing flows from Norway also come as European Natas prices have tripled and repeatedly hit new records this summer. Though prices plunged on Monday from all-time highs reached last week following news Germany was ahead of schedule in filling up storage facilities ahead of winter. 

ADVERTISEMENT

Related: Belgian Energy Minister: Europe Faces Tough Winter Without Gas Price Cuts

"In principle, the market is predictable. When there is scarcity, prices are high. That also contributes to increasing production and steers the gas to the markets that need it most," Aasland said.

Despite Norway's largest oil and gas producer, the majority state-owned Equinor, boosting renewable energy and low-carbon technologies investments, it will also increase hydrocarbon exploration projects to meet EU demand. 

Europe's ability to unlock partial energy independence could be through Norway, as the oil-rich nation is now the largest supplier of NatGas to the continent and could be on track to sustain high production levels through at least 2030. 

By Zerohedge.com

More Top Reads From Oilprice.com:


Download The Free Oilprice App Today

Back to homepage


ADVERTISEMENT


ADVERTISEMENT



Leave a comment
  • George Doolittle on August 30 2022 said:
    Still gonna need electricity so definitely sounds like good news more for $IBM than anyone at the moment and going on forever now.

Leave a comment




EXXON Mobil -0.35
Open57.81 Trading Vol.6.96M Previous Vol.241.7B
BUY 57.15
Sell 57.00
Oilprice - The No. 1 Source for Oil & Energy News