The shelf in 2004

14.01.2005
Press release 1/2005 - Petroleum production from the Norwegian continental shelf reached an all time high in 2004. The activity level is also high, with a number of new projects and field developments under way.
Petroleum production: New record
Production of marketable petroleum reached a new peak in 2004, with a total of 263 million marketable Sm3 oil equivalents being produced. This is 1 million Sm3 o.e. more than the record year 2003.

New fields on stream
Two new fields have come on stream during the year, Skirne and Kvitebjørn. For 2005 it is expected that another two will come on stream, Kristin and Urd.

Seven new players
A total of seven new companies were pre-qualified by the authorities in 2004 as licensees or operators on the Norwegian continental shelf.

Activity level
Investments for 2004 have been estimated at nearly NOK 70 billion (2004), excluding exploration costs. This is ten billion more than the previous year.

During 2004 the authorities received eight applications regarding Plan for Development and Operation (PDO) and PDO exemptions. Alvheim and Urd were approved in 2004, while Vilje and Rimfaks/Skinfaks IOR are expected to be approved during the first quarter of 2005.

New area
With areas included in the 18th licensing round and APA2004 around 60 per cent of the Norwegian continental shelf is opened for exploration. Last year a total of 44 new licenses were given.

Exploration
Seventeen exploration wells were started last year, and two of these were being drilled as we entered 2005. Of the 17 wells there are nine wildcat wells and eight appraisal wells. Four new oil discoveries have been made on the Norwegian continental shelf.

Stable resources
There is no change in the overall estimate of petroleum resources on the Norwegian continental shelf as of 31 December 2004 compared to last year's account. However, there has been a considerable maturing of the offshore resources.

External environment
During 2004 the NPD contributed to a series of different projects concerning external environment.

Contact in the NPD:
Eldbjørg Vaage Melberg, tel +47 51876100