Updating from 3 40 oe a
High oil prices have also generated optimism on the NCS, and thereby contributed positively to the number of exploration wells.
In addition, the Norwegian government has encouraged more exploration in mature areas through policy changes – including easier entry for new players, increased access to acreage, amendments to the area fee and tax changes.
Figure 3.4 Resources in discoveries proven in five-yearly periods by discovery size, 1966-2010 Figure 3.5 Cumulative growth in resources, 1967-2010 Since 1998, the annual growth in resources has been lower than annual production.
This is illustrated by figure 3.6, which shows resource growth and production per annum.
Although regarded as a mature area, it has yielded new types of reservoirs over the past five years.
A number of interesting medium-sized discoveries have been made, such as 16/1-8 (“Luno”) and 16/1-9 (“Draupne”).
Exploration is particularly vulnerable in such conditions because it represents a long-term and risky investment.There were several reasons for the latter development.One could be that exploration activity is particularly affected by price uncertainty.Figure 3.6 Annual resource growth and production, 1990-2010 Varied discovery success The average discovery success on the NCS is very high by international standards.Sequential exploration, technological developments and steadily growing knowledge have enhanced the probability of making new discoveries.