Extraction and related services, 2004, preliminary figures

The oil and gas industry employed around 29.000 people in 2004, a slight decrease from 2003. Meanwhile wage costs increased by 8 per cent, most for offshore personnel.

Weak growth in production - increased values

Extraction of crude oil and natural gas is the largest oil and gas activity, and accounts for almost 90 per cent of the value added. The gross value of production increased by 20 per cent to NOK 388 billion in 2004. Consumption of intermediate goods increased by 9 per cent, leading to an increase of value added of almost 22 per cent, to NOK 346 billion.

Production of oil and gas increased slightly in 2004, while the value of production increased by 21 per cent, for 301 billion to 364 billion, due to an increase in oil prices of almost 10 dollars per barrel. Average export price on gas increased correspondingly by more than 20 per cent.

While total oil production slightly decreased by almost 2 per cent, production of natural gas increased by 7 per cent.

In 2004 the extraction industry reported a total employment of 16.530 people, a slight decrease from 2003.

Increased activity in the oil service industry

The gross value of production in the service industry amounted to NOK 27 billion in 2004, an increase of almost 5 per cent from 2003. With an increase of intermediate goods consumption of 22 per cent, value added ended on NOK 9 billion. The service industry had a stable employment of around 12.500 people, while wage costs increased from NOK 8.3 to 8.7 billion.

Stable increase in pipeline transport

The pipeline transport industry had a gross value of production of NOK 18 billion in 2004. An intermediate goods consumption of NOK 1.9 billion resulted in value added of NOK 16.1 billion. This results in a 4 per cent increase from 2003. Due to the new transport regime in the pipeline industry, there is a break in time series in 2002. From 2002, incomes from the terminals on the continent are subtracted.

Tables:

• Table 1 Principal figures for extraction of crude oil and natural gas. 1998-2004
• Table 3 Principal figures for service activities incidental to oil and gas extraction excluding surveying. 1998-2004
• Table 4 Principal figures for transport via pipelines. 1998-2004. NOK million