Oil and gas activities, investments, Q1 2009

In the last 10 years, the investment estimates given in February have on average been 5.4 per cent higher than the estimates given in the quarter before. The fact that the present estimate goes in the opposite direction is probably due to the worsening economic conditions in the oil industry, mainly represented by the drop in oil prices and the rising input costs.

The estimate for 2009 is still NOK 7.2 billion higher than the corresponding estimate for 2008 given in the first quarter of 2008.

Investments for field development and fields on stream are now estimated at NOK 100.3 billion.

This is NOK 8.1 billion lower than the estimate given in the previous quarter and NOK 4.5 billion higher than the corresponding estimate for 2008, given in the 1st quarter of 2008.

Investments for exploration activity in 2009 are estimated at NOK 29.2 billion. The estimate is on a par with the corresponding estimate for 2008, given in the 1st quarter of 2008.

Onshore activities and pipeline transportation are estimated at NOK 7.3 and 0.5 billion respectively.

Final investments in 2008

Total investments in oil and gas extraction and pipeline transport for 2008 were NOK 123.9 billion. This is NOK 3.5 billion lower than the estimate conducted in the survey last quarter, but an increase of NOK 14.2 billion compared with the final investments in 2007. The increase in 2008 is due to higher investments in all investment areas except pipeline transportation and onshore activity.

The final investments for exploration activity in 2008 came to NOK 24.4 billion. Compared with the final investment figures in 2007, the 2008 investments were NOK 6.5 billion higher. Compared with the previous quarter, the final figures were NOK 0.5 billion lower.

Final investments in field development and fields on stream for 2008 came to NOK 92.8 billion. This is an NOK 16 billion increase compared with final figures for 2007.

Onshore activity and pipeline transportation in 2008 came to NOK 4.9 and 1.8 billion respectively.

Tables:

• Table 1 Accrued and estimated investment costs. Extraction of crude petroleum and natural gas and transport via pipelines. 2004-2009. NOK million
• Table 2 Accrued investment costs for oil and gas exploration, by cost category. Q4 2006-Q4 2008. NOK million
• Table 3 Accrued investment costs for field development and fields on stream. Q4 2006 - Q4 2008. Million NOK
• Table 4 Estimated and accrued investment costs for oil and gas extraction and pipeline transport. 1985-2009