BRIEFING Operators Battle to Make Norway's Offshore Competitive

摘要

As construction work begins on the first phase of Johan Sverdrup, it is increasingly clear the development stands as a lone bright spot in Norway's struggling offshore sector — but even there onerous regional costs are forcing operator Statoil to find solutions outside its home country. As Western Europe's largest oil producer, Norway has acutely felt the weight of triple-digit crude prices giving way to $60 oil. Exceptionally high costs have added further pressure, pushing upstream investment levels in the country down 15% this year, to 147 billion kroner ($17.8 billion), compared to 2014, according to the Norwegian Petroleum Directorate. Several projects have been postponed or canceled, and some 22,000 people are estimated to have lost their jobs since the beginning of the year. Industry watchers are warning that there will be a number of tough years ahead.