The petroleum resource account as of Dec. 31, 2007

07.03.2008
Updated 15.4.2008 due to changes in gas production from Heidrun. The updated resource account shows that there are 8.4 billion Sm3 oil equivalents left to be produced and 56 discoveries yet to be approved for development.


The Norwegian Petroleum Directorate's (NPD's) resource account, which is now presented with updated figures as of December 31, 2007, is an overview of the estimated quantities of recoverable petroleum resources on the Norwegian continental shelf. Recoverable petroleum resources consist of both the original marketable and the remaining petroleum resources.

The resource estimates are based on reports submitted annually by the operating companies, NPD evaluations for fields and discoveries and NPD estimates of undiscovered resources. This account shows the estimated geographical distribution for the North Sea, the Norwegian Sea and the Barents Sea.

The resources on the Norwegian continental shelf are classified according to maturity as shown in the NPD's resource classification, reflecting the maturity, or project status, with regard to decisions to develop and produce the discovered petroleum quantities.

The total recoverable petroleum resources on the Norwegian shelf as of December 31, 2007 are estimated at approximately 13 billions Sm3 oil equivalents (Sm3 o.e.). This figure is more or less identical to last year’s account. The resources have, however, matured and there has been a substantial maturing of projects in fields in 2007. New projects in fields have also been initiated. This year’s account also shows that there has been a relatively good growth in exploration activity and an increase in gross reserves.

 


 

The estimate of the undiscovered resources is 1.260 billion Sm3 oil, 0.265 billion Sm3 condensate and 1875 billion Sm3 gas, a total of 3.400 billion Sm3 o.e. which represents 40 per cent of the remaining resources.

The remaining total recoverable resources are estimated at 8.4 billion Sm3 o.e. with an uncertainty range from 5.8 to 12.3 billion Sm3 o.e.

In 2007, 128.3 million Sm3 oil, 90 billion Sm3 gas, 17 million Sm3 NGL, and 3 million Sm3 condensate, in total  237.9 million Sm3 o.e., were sold and delivered. This is 10.9 million Sm3 o.e. less than in 2006.

12 new discoveries were made in 2007; 8 in the North Sea, 1 in the Barents Sea and 3 in the Norwegian Sea. The expected volume of the new discoveries is estimated at 49 million Sm3 oil and 17 billion Sm3 gas. The evaluation of the size of the discoveries is however ongoing and the figures are therefore uncertain. Compared to 2006, this constitutes a considerable increase in resource growth.

As of December 31, 2007 twelve fields were being developed; Alve, Alvheim, Gjøa, Rev, Skarv, Tyrihans, Vega, Vega Sør, Vilje, Volund, Volve og Yme. Volve started production in February 2008. According to plans the fields Alvheim, Rev and Vilje will start production in 2008.

Despite reserve increases on several fields and also maturing of resources to reserves, net remaining reserves have had a small decrease in 2007. Gross oil and gas reserves increased with 190 million Sm3 o.e in 2007. With a production of 238 million Sm3 o.e , the resource account show a small net reduction in remaining reserves of 48 million Sm3 o.e. (See footnote in table 1)

Accumulated gross oil reserve growth since 2005 is now 201 million Sm3 oil. 154 million Sm3 were booked in 2005. The account for 2006 showed a reduction of 18 million Sm3 oil while the account for 2007 showed an increase of 65 million Sm3. The accumulated growth now equals 25 percent of the authorities goal of adding 5 billion barrels of oil to the reserve base before 2015

Contingent resources in fields (RK4-7) have been decreased with 46 million Sm3 o.e. The reason for this decrease is a general maturing of projects in existing fields. There has been a maturing of resources from higher to lower resource categories and also a significant maturing of resources to reserves.

Contingent resources in discoveries (not yet approved for development) constitute 169 million Sm3 oil, 405 billion Sm3 gas, 16 million tons NGL, and 42 million Sm3 condensate, in total 646 million Sm3 o.e. This is a reduction of 8 million Sm3 o.e. compared with last years estimate. Even though resources are matured to reserves for the discoveries 6507/5-1 Skarv and 6507/3-3 Idun (in total 68 million Sm3 o.e) it is the exploration growth in 2007 that contribute to a reduction of only 8 mill Sm3 o.e compared with last years estimate.

56 discoveries are not yet approved for development (resource categories 4F, 5F and 7F).

Original in-places resources for fields are included in the downloadable file. These figures represent how much oil and gas was originally in-place before production start and include produced volumes, planned production, and volumes that will not be produced with the current plans. There are alternative methods of calculating the in-place volumes. The figures are therefore not necessarily comparable between fields.


Contact within the NPD:
Marit Arnesen, tlf. +47 51 87 64 33