In today's global energy economy, do you know what we do not talk about enough? Norway. That's right...Norway.
It turns out I am not the only one who thinks this – the U.S. Energy Information Administration ("EIA") featured a Today in Energy on Norway this week.
Many people in the U.S. do not realize what a hitter Norway is for Europe in the energy industry.
- Takeaway: Norway is a heavy hitter.
- Side Note: Norway is not a member of OPEC.
In fact, last year Norway hit record natural gas exports for the country – reportedly exporting 115 billion cubic metres (bcm). Norway was reportedly the third-largest exporter of natural gas in the world after Russia and Qatar as of 2013 and currently contributes about 4% of all non-OPEC oil production.
After a two-year downturn (primarily due to prices), the Norwegian Petroleum Directorate reportedly now expects a high level of activity in Norway.
- Key Components:
1. The Norwegian Continental Shelf (click here for Norway's oil history in 5 minutes)
2. The market in Europe for Norwegian gas.
Europe is reportedly planning to "rely heavily on [natural] gas for the coming two decades and beyond in its energy supply mix."
In fact, only yesterday the Norwegian Minister of Petroleum and Energy, Mr. Tord Lien, reportedly opened The Economist Energy Summit in London. As discussed in "Natural Gas is An Essential Part of a Sustainable Energy Future," Mr. Tord Lien articulated how "Norway has both the resources and the infrastructure to remain a stable and long-term supplier of natural gas to the European market."
- What does the future hold for Norway's energy industry?
Its controversial...some say that things are looking gloomy, some say things are looking up. The following headlines summarize both sides – click each to read the full article:
- Norway Offshore Increases Production as Exploration Investment Decreases
- Norwegian Sector May Have Turned the Corner: Some Analysts and Officials from the NPD [Norwegian Petroleum Directorate] Believe that the Country's Oil and Gas Industry is Ready for a Return to Better Days
- Norway's Energy Minister Doubts 2016 Natural Gas Exports Will Match Last Year
- Oil Price Concerns Marred Anniversary
Like the United States, Norway is getting more efficient in its drilling operations and has been simplifying its projects. While there are some doubts about what Norway's energy future may hold, one thing is for sure: we should keep Norway on our radar and pay attention, especially to its natural gas.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
