Mrs. Thorhild Widvey, Minister of Petroleum and Energy, Norway, and Mr. Mike O'Brien, Minister of State for Energy and e-Commerce, UK, today signed the framework agreement concerning cross-boundary petroleum co-operation.

In connection with the signing ceremony, Minister Widvey commented:

To maximise the opportunities in the North Sea, the Ministers of Energy in UK and Norway have co-operated closely over the last few years to progress cross-boundary projects. Last year we agreed on the major Langeled project and the Boa and Playfair developments. Today we sign a very important agreement concerning future oil and gas developments in the North Sea.

Mr. O'Brien and I expect to approve two new cross-boundary projects before the summer – namely Enoch and Blane. This is encouraging since both fields have remained undeveloped for years. Now, the treaty has facilitated these projects.

The framework agreement will cover all new cross-boundary projects which are not already included in existing agreements. New projects that are covered are mainly:

• cross-boundary pipelines for transportation of petroleum to shore
• joint exploitation of median line fields
• use of infrastructure on one side of the border for development of projects on the other side.

The agreement is based on the principles initiated by the two countries' Energy Ministers in October 2003, and establishes the general principles applicable to cross-boundary projects. Most important are the procedures for permits and approvals where both Governments are involved; to which Government should applications be filed and when agreements between the two Governments are required. The agreement requires an extensive exchange of information between the two Governments and consultations before decisions are taken. An important element is the regulation of third party access to available capacity in cross-boundary pipelines.

The new agreement will facilitate and promote new projects and further strengthen the bilateral co-operation between Norway and the UK.

Framework Agreement (pdf format)

Background information:
 Press release of 3 February 2005 when the negotiations were finalized
A link to the information of the bilateral Framework Treaty is at the end of the press release.

Press release of 8 October 2004 on the development of two new fields made possible by the Treaty, Boa and Playfair

Press release of 27 February 2004 on the pipeline Langeled

More information on Langeled from the development operator Norsk Hydro