News, Oil & Gas

Record interest in mature areas on the Norwegian Continental Shelf

The Norwegian Ministry of Petroleum and Energy has received applications from 47 companies in connection with the deadline for 2012 Awards in Predefined Areas (APA 2012) on the Norwegian continental shelf.

There has been strong interest in the APA licensing rounds in recent years, with many new production licenses being awarded and several large discoveries being made. This shows that mature areas on the Norwegian continental shelf remain of interest and represent substantial opportunities and value for Norway, the Ministry states in a press release.

The APA awards have given many new companies the opportunity to explore areas that have been available for exploration for several years. Most of the discoveries and opportunities in mature areas are too small to justify independent development. That is why discovering and extracting these resources before existing infrastructure connected to other fields is shut down is both necessary and good resource management.

“The government wants to maintain a stable level of exploration activity while also ensuring continued value creation and securing future state revenue streams from petroleum activities. Exploitation of the mature areas on the continental shelf is very important in this regard, and the APA system is our instrument for achieving this. I am therefore very glad to see that so many companies are showing interest in our mature areas on the Norwegian continental shelf,” continues Borten Moe.

The deadline for applications was 6 September. The Ministry plans to award new production licenses under APA 2012 in January 2013.