Norway to continue Barents Sea oil and gas development

Norway’s Minister of Energy, Terje Aasland, has announced that the country will continue developing oil and gas in the Barents Sea, despite the European Union’s support for a ban on Arctic drilling. Aasland stated that in the current geopolitical and security environment, continued activity in the region serves both Norwegian and European interests.

Norway is a critical energy partner for Europe, supplying approximately 30% of the gas demand for the European Union and Britain. While oil production recently reached its highest levels since 2009, official projections suggest a sharp decline in output after 2030 without the development of new fields. Aasland aims to maintain production and export levels until at least 2035.

Equinor CEO Anders Opedal noted that Barents Sea resources will find alternative buyers if Europe refuses to purchase them. Additionally, Fatih Birol, head of the International Energy Agency, has urged the EU to reconsider its opposition to Arctic development to ensure energy security. This comes amid concerns regarding European industrial competitiveness due to high electricity prices compared to the US and China.