[ad_1]
With low oil prices and declining demand, oil exploration activity on the Norwegian shelf has fallen 30 percent, according to the analysis company.
Illustration of the Maersk Invincible drilling rig, which has been on various assignments on the Norwegian rig
Niels Christian Vilmann / RITZAU SCANPIX
Published:
Analysis company Westwood, which conducts research and analysis in the oil and gas sector, told the AFP news agency that oil exploration activity on the British platform in the North Sea has fallen by as much as 70 percent. compared to before the corona pandemic. According to the same company, activity on the Norwegian platform has dropped by 30 percent.
Big energy companies are still reliant on finding new oil fields, but big questions are being raised about whether exploration is still worth spending money on.
– The answer seems to be that it is not, judging by the many write-offs of hydrocarbon assets in the past, says analyst Stephen Brennock of the oil brokerage PVM.
He believes this will lead to a reorientation.
Instead, the oil giants will have to strengthen their renewable energy portfolios to survive.
The US oil giant ExxonMobil has cut its oil exploration activity by 30 percent, which represents a fall in investment of almost 10 billion dollars, more than 93 billion crowns. In the US, more than 30 oil exploration and production companies have gone bankrupt this year, and Norwegian analytics company Rystad Energy estimates that another 150 such companies could be gone by 2022.
also read
Equinor boss on oil double whammy: – It will affect the industry for a long time.
