Preliminary data from the Norwegian Offshore Directorate revealed that Norway’s natural gas production exceeded expectations, reaching a historic peak in December.
The figures indicate a record high of 379 million cubic meters per day (mcm/day), marking a 7.7% increase compared to the directorate’s forecast and surpassing November levels.
In addition to the remarkable gas production, oil production also surpassed predictions by 1.9%, registering at 1.847 million barrels per day (bpd) in December, up from 1.805 million bpd the previous month.
Earlier this month, the annual report from the Norwegian Offshore Directorate highlighted that last year’s oil and gas production in Norway fell slightly below expectations. This deviation was largely attributed to unforeseen and extended maintenance shutdowns at various fields and onshore facilities during the summer.
Norwegian Natural Gas Production Achieves Historic Peak (Credits: Reuters)
However, the report noted a robust rebound in gas production during the autumn months, particularly in November and December, leading to a new export record for a single month in December. Approximately 12 billion standard cubic meters of gas were exported during that period.
Looking ahead, oil and gas companies are gearing up to intensify exploration activities and offshore spending in Norway in 2024. As Western Europe’s primary oil and gas producer, Norway aims to maintain production levels and increase exports to the broader European market.
Presently, exploration efforts are concentrated around existing infrastructure to facilitate swift tie-backs of discoveries and generate value while fields are still operational.
While crucial for near and medium-term production stability, the Norwegian Offshore Directorate encourages active exploration in more frontier areas, emphasizing the importance of diversifying exploration strategies.
The report anticipates the continuation of the robust exploration and production trends observed in the past year into 2024. The authority forecasts an uptick in exploration activity, with operators planning to spud 40 to 50 exploration wells, a notable increase from the 34 wells initiated last year.
