21st licensing round – award of participating interests

The Norwegian Government has decided to award 24 production licenses in the 21st licensing round. The awards in the 21st licensing round include 12 production licenses in the Norwegian Sea and 12 production licenses in the Barents Sea.

“The 21st licensing round will lay a foundation for further exploration of our least explored areas in the Barents Sea and deep-water areas in the Norwegian Sea.,” says Minister of Petroleum and Energy Ola Borten Moe.

Twenty-nine companies have been awarded a participating interest. Of these, 13 companies have been offered operatorships. Half of the 24 production licenses relate to the Barents Sea.

“There is unprecedented interest in our northernmost seas. The companies have been awarded 12 production licenses for the Barents Sea, making this the licensing round with the most awards relating to the Barents Sea. The present level of activity in the Barents Sea is high and increasing,” says Minister of Petroleum and Energy Ola Borten Moe.

He points to the development of the Goliat-field, an important new discovery in Skrugard/Sverdrup and several wildcat wells planned for 2011 and 2012. In addition, the Norwegian government has decided to initiate an opening process for the eastern part of the southern Barents Sea, and new acreage has been made available for awards through the integrated management plan for the area.

“The 21st licensing round will help to maintain this positive development of the Barents Sea as a petroleum province,” says Borten Moe.

Drilling has started on three wildcat wells, resulting in one new discovery. Another 11 wildcat wells are planned for the next few years. On completion, companies will have drilled exploratory wells under seven of the nine production licenses granted in the 20th licensing round.

“The safety level is high on the Norwegian Continental Shelf, reflecting today’s strict safety regulations. We are continuously working to strengthen the safety level on the Shelf. Drilling deep-water, high-temperature and high-pressure wells is particularly demanding, and requires a high level of company expertise. We have strengthened the licensee criteria in order to further enhance the safety level of these operations,” says Minister of Petroleum and Energy Ola Borten Moe.

In the 21st licensing round, additional requirements have been introduced with regard to the qualifications of the licensees that will undertake particularly demanding deep-water drilling operations or drill in areas in which high temperature/high pressure (HTHP) conditions are expected. Under these licences, there must be at least one competent partner in addition to the operator. The partner must have drilled at least one well as an operator on the Norwegian Continental Shelf, or have similar relevant experience from another offshore petroleum province.
 
The 21st licensing round was announced on 23 June 2010, and comprised 94 blocks in the Barents Sea and Norwegian Sea. By the deadline for submitting applications on 3 November 2010, 37 companies had applied for production licenses.

Offers of operatorships
(number of operatorships in parentheses):

BG Norge AS (1)
Chevron Norge AS (1)
ConocoPhillips Scandinavia AS (1)
Dana Petroleum Norway AS (1)
Dong E&P Norge AS (1)
ExxonMobil Exploration & Production Norway AS (1)
GDF SUEZ E&P Norge AS (3)
Lundin Norway AS (1)
OMV (Norge) AS (1)
Suncor Energy Norge AS (2)
Statoil Petroleum AS (8)
VNG Norge AS (1)
Wintershall Norge ASA (2)

Offers of participating interests
(number of participating interests in parentheses, including operatorships):

Bayerngas Norge AS (1)
BG Norge AS (1)
Centrica Resources (Norge) AS (2)
Chevron Norge AS (1)
Concedo Norge AS (1)
ConocoPhillips Scandinavia AS (5)
Dana Petroleum Norway AS (2)
Det norske oljeselskap ASA (1)
Dong E&P Norge AS (1)
E.ON Ruhrgas Norge AS (1)
Edison International Norway Branch (2)
Eni Norge AS (2)
ExxonMobil Exploration & Production Norway AS (3)
Faroe Petroleum Norge AS (1)
GDF SUEZ E&P Norge AS (3)
Idemitsu Petroleum Norge AS (4)
Lundin Norway AS (1)
Maersk Oil Norway AS (1)
Norwegian Energy Company ASA (2)
North Energy ASA (1)
OMV (Norge) AS (2)
PGNiG Norway AS (2)
Rocksource ASA (4)
RWE Dea Norge AS (2)
Spring Energy Norway AS (2)
Suncor Energy Norge AS (3)
Statoil Petroleum AS (11)
VNG Norge AS (1)
Wintershall Norge ASA (2)

Attachments in PDF format

Map

List of awards with work obligation