NOK 300 billion in net revenue from the petroleum industry

In the National Budget 2015, the State’s net cash flow from the petroleum industry is forecast to total close to NOK 300 billion in 2014 (fixed 2015 prices). Direct and indirect taxes account for around 60 per cent of the total. The State’s Direct Financial Interest (SDØE) contributes approximately 35 per cent, while the remainder comprises dividends from Statoil.

This forecast represents a drop of about 9 per cent in the State’s net cash flow from the petroleum industry compared to the estimate in the Revised National Budget 2014. The fall is primarily due to lower tax receipts and lower achieved gas prices than previously anticipated. In the forecast, oil and gas prices have been estimated at NOK 670 per barrel and NOK 2.15 per standard cubic metre, respectively (fixed 2015 prices). Current price levels indicate that these estimates are somewhat high.

- I am very pleased to see the petroleum industry continuing to produce substantial value for Norway year after year. The industry is Norway’s most important in terms of value creation, state revenue and export value. We can all be proud of how we manage our natural resources,” says Minister of Petroleum and Energy Tord Lien.

Petroleum industry investment (including in exploration) is expected to total approximately NOK 218 billion in 2014 (fixed 2015 prices). In 2015, investment is anticipated to fall by about 8 per cent, but will remain at a high level in historical terms. The investment level is primarily driven by the scale of the projects under development at any given time.

Total production of oil, LNG (liquefied natural gas), condensate and gas on the Norwegian continental shelf is expected to total around 214 million standard cubic metres of oil equivalents in 2014, with gas accounting for about half of total production. Production levels are expected to remain largely unchanged in 2015.

The total petroleum resource estimate has not been amended since the Revised National Budget 2014. The total recoverable resources on the Norwegian continental shelf are estimated at 14.2 billion standard cubic metres of oil equivalents, equivalent to 89 billion barrels. Some 44 per cent of the total recoverable resources had been produced by the beginning of 2014.

- The resource base on the continental shelf provides a foundation for value creation for many decades to come. To exploit this resource base, we have to work together to overcome the challenges we face, ensuring that the industry is efficient and competitive. We must also continue to concentrate on existing fields, develop new discoveries close to existing infrastructure and explore immature areas,” says Minister of Petroleum and Energy Tord Lien. 

 

Related news

Latest news

UiB and CMR in high-tech collaboration

Students from UiB last month joined an experiment with an ultra-high-speed camera. This was a part of the troubleshooting of the Field Kelvin Probe currently under development.

Hatteland Display at International Workboat Show 2016

Hatteland Display are highlighting its diverse portfolio of maritime displays and panel computers on its booth (#1658) at the International Workboat Show 2016 (IWBS 2016) this week.

Servogear Announces Upcoming Events

Servogear announces a busy end of November, beginning of December. They will be participating at important international exhibitions.

Teamtec and ANDRITZ Cooperation

ANDRITZ and TeamTec have signed a cooperation agreement for worldwide marketing of the SeaSOx exhaust gas cleaning system for the maritime industry. 

Export Credit Norway looking for Norway's Best Exporter

Export Credit Norway  has now opened the nomination process for the 2017 Export Award, searching the Norwegian exporter of the year. 

Global Economic Outlook

7 December, Oslo Chamber of Commerce invites to a session with insightful updates on the Norwegian and international economy.

Rebuilding for Hydrogen

M/Y “Che Guevara”, previously owned by Gaddafi, will be converted to run on hydrogen. Greenstat will lead the project and are seeking partners.

Scana training at Servogear

In week 43-45 Servogear  had the pleasure of having Mr. Sun Xiaojia and Mr. Tzuu Kin Tan from Scana staying in the Servogear hometown of Rubbestadneset.

Quality and Customer Satisfaction

Cost efficiency is important. But we can’t rely on cost-cutting alone. At Beerenberg we have asked ourselves the following question: What does it take for the market to continue to choose providers such as Beerenberg in th...