• 4 minutes "Natural Gas Trading Picks Up Considerably Amid High Volatility" by Charles Kennedy - ...And is U.S. NatGas Futures dramatically overbought at the $6.35 range?
  • 8 minutes How Far Have We Really Gotten With Alternative Energy
  • 12 minutes  What Russia has reached over three months diplomatic and military pressure on West ?
  • 7 hours GREEN NEW DEAL = BLIZZARD OF LIES
  • 3 days Revisiting: "The U.S. Grid Isn’t Ready For A Major Shift To Renewables" from March 2021 by Irina Slav at OILPRICE
  • 13 hours What China is Learning from Russia's War in Ukraine and its Consequences
  • 5 days How cheap Chinese tires might explain Russia's 'stalled' 40-mile-long military convoy in Ukraine
  • 1 day Failure To Implement Russian Oil Ban Could Send Oil Crashing To $65
  • 3 days Natural Gas is the Cleanest and most Likely Source of Energy to Fuel the World.

Norwegian Oil Majors Revise 2017 Oil And Gas Investment Forecast Upwards

Optimistic about the near-term future of the oil industry, Norwegian oil companies have upped their investment plans for 2017 over the past three months, according to a survey conducted by the national statistics office.

The results of the survey, released on Thursday, show that the total number of oil and gas extraction and transport projects is expected to fall for the third year in a row because energy majors slashed expenditures by over 50 percent since the oil price crisis began in 2014.

This year the extraction and pipeline sectors will benefit from $17.87 billion in new spending – down significantly from the 2016 figure of $19.58 billion, but still greater than the industry’s previous estimates for 2017.

The increase is mainly due to higher estimates for field development, fields on stream and shutdown and removal,” Statistics Norway said in a statement.

While Canada and the U.S. ban Arctic drilling for oil and gas motivated by environmental concerns, and majors such as Shell pull out of their Arctic projects due to financial pressures, Norwegian energy companies are planning to increase drilling in the country’s Arctic shelf in the Barents Sea.

It seems that the limited oil price increase that followed OPEC’s production cut deal has been enough for Statoil and Lundin to decide to allocate more funds to Arctic drilling, especially since the price rise has been accompanied by a major discovery for Lundin and a likely future major discovery for Statoil.

Related: Statoil Sues Researcher For Allegedly Stealing Secret Frack Tech

The last two years have seen investment in the Norwegian oil sector contract by 27 percent after a 70 percent rise from 2010 to 2014, when oil prices hit above $120 a barrel. At the time of this article’s writing, one barrel of Brent traded at $56.51.

By Zainab Calcuttawala at Oilprice.com

More Top Reads From Oilprice.com:



Join the discussion | Back to homepage



Leave a comment

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