Oil and gas activities, investments, Q2 2011

The estimate for 2012 is NOK 3.1 billion lower than the corresponding estimate for 2011 given in the 2nd quarter of 2011. The decrease is due to lower estimates of onshore activity, while the estimates indicate about the same level of investment in exploration, field development, fields on stream and pipeline transportation.

The Norwegian Parliament, Stortinget, is expected to approve the new development projects Ekofisk South, Eldfisk II, Valemon and Knarr within the next few days. According to the development plans, the total investment estimates in 2012 for these projects will total around NOK 20 billion. These estimates will not be included in the investments survey before they are approved. The expected high development activity in projects not yet included in the survey indicates a rise in the investment level from 2011 to 2012.

The investments for exploration activity in 2012 are now estimated at NOK 29.8 billion. This estimate is NOK 0.3 billion lower than the estimation for 2011 given in the 2nd quarter of 2010. Statoil made a promising discovery on Skrugard in a relatively unexplored area of the Barents Sea in April. The discovery will contribute to higher exploration activity in these parts of the shelf in the years ahead. The rig capacity will limit the total drilling activity on the Norwegian Shelf next year.

Investments for field development and fields on stream in 2012 are estimated at NOK 109.4 billion. This is NOK 0.3 billion lower than the corresponding estimate given for 2011.

Onshore activities and pipeline transportation are estimated at NOK 3.2 and 0.8 billion respectively.

2011

Total investments in oil and gas activities for 2011, including pipeline transportation, are estimated at NOK 144.4 billion. The estimate is NOK 3.2 billion higher than the estimate given in the previous quarter. The estimate for 2011 is NOK 4.7 billion higher than the corresponding estimate for 2010 given in the 2nd quarter of 2010. The aforementioned development projects will also have substantial investments in 2011 if parliament approves them. This will increase the estimates for 2011 further in the next survey when these projects are included.

Investments in the exploration activity in 2011 are estimated at NOK 28.1 billion¹, which is NOK 0.3 billion lower than the estimate given in the previous quarter. The estimate is also NOK 0.3 billion lower than the corresponding estimate for 2010, presented in the 2nd quarter of 2010.

Investments for field development and fields on stream are now estimated at NOK 109.5 billion; an increase of NOK 3.1 billion compared with the estimate in the previous quarter and NOK 7.2 billion higher than the corresponding estimate for 2010.

Onshore activities and pipeline transportation are estimated at NOK 6 and NOK 0.7 billion respectively.

Tables:

• Table 1 Accrued and estimated investment costs. Extraction of crude petroleum and natural gas and transport via pipelines. 2006-2012. NOK million
• Table 2 Accrued investment costs for oil and gas exploration, by cost category. Q4 2008-Q4 2010. Million NOK
• Table 3 Accrued investment costs for field development and fields on stream. Q1 2009-Q1 2011. NOK million
• Table 4 Estimated and accrued investment costs for oil and gas extraction and pipeline transport. 1985-2012