Breaking News
0
Ad-Free Version. Upgrade your Investing.com experience. Save up to 40% More details

Norway to raise gas exports to Europe as prices soar

Stock MarketsSep 20, 2021 11:40
Saved. See Saved Items.
This article has already been saved in your Saved Items
 
© Reuters. FILE PHOTO: Equinor's logo is seen at the company's headquarters in Stavanger, Norway December 5, 2019. REUTERS/Ints Kalnins/File Photo

By Nerijus Adomaitis

OSLO (Reuters) -Norway will allow state-controlled Equinor and its partners to increase gas exports from two offshore fields for the next 12 months amid concerns over a shortage of European gas supplies that have sent prices soaring.

Equinor, Europe's second-largest gas supplier after Russia's Gazprom (MCX:GAZP), said on Monday the government was allowing a combined 2 billion cubic metres (bcm) increase in exports for the gas year starting Oct. 1 from the Troll and Oseberg fields.

The increase corresponds to nearly 2% of Norway's annual pipeline gas exports, according to Reuters calculations.

The front-month gas price at the Dutch TTF hub, a European benchmark, has more than tripled this year to record levels, driving up power prices as the winter heating season approaches with below-average levels of gas in storage.

The situation is prompting Britain to consider state-backed loans to energy firms and big suppliers to ask for government support to cover the cost of taking on customers from companies that have gone bust.

"We believe that this is very timely as Europe is facing an unusually tight market for natural gas," said Equinor. "We are working on measures to increase exports from our fields on the Norwegian continental shelf."

The increase in exports, divided equally between Troll and Oseberg, will lift volumes from the fields to 37 bcm and 6 bcm respectively, Equinor said.

Norway has exported about 106 bcm of natural gas to Europe via pipelines since Oct. 1 last year. Exports for the previous full gas year, which ended on Sept. 30, 2020, totalled 105 bcm, according to Refinitiv Eikon data.

The Norwegian government sets output quotas for Troll and some other major fields to ensure the country is able to maximise its output of crude oil and natural gas over time.

Equinor, TotalEnergies, ConocoPhillips (NYSE:COP) and state-owned energy firm Petoro all have stakes in both fields, while Shell (LON:RDSa) holds a stake in Troll only.

Norway to raise gas exports to Europe as prices soar
 

Related Articles

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind: 

  • Enrich the conversation
  • Stay focused and on track. Only post material that’s relevant to the topic being discussed.
  • Be respectful. Even negative opinions can be framed positively and diplomatically.
  •  Use standard writing style. Include punctuation and upper and lower cases.
  • NOTE: Spam and/or promotional messages and links within a comment will be removed
  • Avoid profanity, slander or personal attacks directed at an author or another user.
  • Don’t Monopolize the Conversation. We appreciate passion and conviction, but we also believe strongly in giving everyone a chance to air their thoughts. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

Write your thoughts here
 
Are you sure you want to delete this chart?
 
Post
Post also to:
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
Comments (1)
Theo Marshall
Theo Marshall Sep 20, 2021 11:47
Saved. See Saved Items.
This comment has already been saved in your Saved Items
Yeah well done Norway
 
Are you sure you want to delete this chart?
 
Post
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.
Continue with Google
or
Sign up with Email