News, Oil & Gas

Strong growth in the supplier industry

The Norwegian petroleum-focused supplier industry is experiencing significant sales growth. A survey conducted by Rystad Energy shows that sales have tripled since 2000.

The Ministry of Petroleum and Energy (MPE) reports that iInternational sales are estimated at NOK 150 billion in 2011, or around 40 percent of total industry sales.

“This is a welcome development. The technological challenges on the Norwegian continental shelf have spurred the development of an internationally competitive supplier industry,” says Minister of Petroleum and Energy Ola Borten Moe.

Despite a period of financial turbulence, growing global energy demand, a rising oil price and large discoveries both on the Norwegian continental shelf and internationally have opened up market opportunities for the Norwegian supplier industry. A large international market has developed for solutions and technology adapted to Norwegian waters. Other than the Norwegian continental shelf, the most important markets for Norwegian suppliers are South Korea, Brazil and the United Kingdom.

“Previous surveys have shown that internationalisation is having local ripple effects and providing powerful growth impulses across the country. Internationalisation is resulting in increased local value creation and employment. This is important to me, and I am pleased that the petroleum industry is benefiting local communities and regions across Norway,” says Borten Moe.

The rise in international sales has occurred simultaneously with an increase in activity levels on the Norwegian continental shelf. This indicates that the Norwegian supplier industry has the capacity and competitiveness to win contracts both on the Norwegian continental shelf and globally, MPE says in a press release.