From the North Sea (NT): Government measures will be required to help bridge the gap between socio-economic and commercial profitability as the BARENTS SEA, with its challenges of climate, drilling restrictions and lack of infrastructure, takes centre stage for the Norway’s offshore activities.
So says the annual business trends report from the Norwegian Oil & Gas Association, which sees investments peaking this year at NOK221bn ($31.6bn), before falling to NOK197bn in 2015. It then expects them to stabilise at NOK190-200bn up to 2019. Recent discoveries also mean that after a decade of decline, production at some point will turn up again, NOGA predicts.
According to Statistics Norway’s latest survey, 2015 investments will total NOK188.6bn, down 14% from this year. It warns that the forecast is based on budget proposals made in early October, before oil prices went into freefall, suggesting further reduction.
Field development is particularly likely to suffer, with capex forecast to fall 22% to NOK57.6bn. SN points out that no new PDOs have been filed recently. RWE Dea’s Zidane (31/13) and Premier’s Bream (31/14) projects, expected to apply for development approval around this time, have been postponed, while a PDO for Wintershall’s delayed Maria (31/x) development is now expected in Q2 2015.
Shell Technology Ventures has taken a stake in Dutch-based AIRBORNE OIL & GAS (30/12), which manufactures fully bonded composite pipe. Airborne is already qualified to supply flowlines to Shell.
Underwater equipment supplier MacArtney has acquired cable moulding and assembly manufacturer CALLIDUS SUBSEA which is based in Ellon, just outside Aberdeen. Callidus provides cable harnesses and assembly solutions, connectors and custom mouldings.
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