Start oil and gas investment in Norway before its to late
How to get more profit in oil and gas industry?Do more investment to oil and gas company. Before that, do market research where to find the best place for investing our money. Europe area is the most area people looking for oil and gas investment other then becouse this area still have good prospect in world economic crisis.
Investment in Norway's oil and gas sector is set to continue in 2010 after an expected 17 percent surge this year to a record 145.2 billion crowns ($22.88 billion), Statistics Norway said on Thursday.
In its quarterly forecast based on announcement already made by companies active offshore Norway, the statistics agency raised its 2009 investment view by 5.7 percent from March.
It forecast preliminary 2010 oil and gas investment at 136.1 billion crowns. This -- the first forecast for 2010 -- is set to rise as firms announce new plans, and is well above the 116.9 billion the agency gave for 2009 at the same time last year. "The sharp increase is mainly due to the fact that the operators' first-time reports for 2010 are significantly more complete than earlier first-time reports," Statistics Norway said in a statement.
Norway is the world's sixth largest oil exporter and Western Europe's biggest natural gas exporter but a sharp fall in oil prices in late 2008 and in the first months of this year cast doubt over whether its investment boom would continue in 2010.
The Norwegian Petroleum Directorate has said most of Norway's producing fields are robust at an oil price of $50-$70 per barrel and a dip below that level a few months ago forced a number of oil and gas producers to postpone projects.
"The figures were pretty high," said Steinar Juel, chief economist at Nordea in Oslo. "It gives the impression that there could be growth (in investment spending) next year."
Norway needs to maintain high investment spending to limit the drop in output from its ageing North Sea oilfields.
According to official forecasts, Norway's oil output is expected to dip to about 2 million barrels per day in 2009, while sales of natural gas this year are expected to rise to a record 102 billion cubic metres.
ECONOMIC RECOVERY NEARER
The forecasts also have a macroeconomic impact, suggesting stronger investments in 2010 than expected by the central bank and potentially a quicker exit from recession by Norway.
The oil and gas sector accounts for about a quarter of Norway's total investments and gross domestic product.
Norges Bank, which has slashed interest rates to record lows to cushion Norway's economic slowdown, had forecast a sharp fall in oil and gas investment in 2010.
"Norges Bank have envisaged a marked drop next year. If that doesn't happen there will be increased demand, more speed in the economy and less need for low interest rates," said Kyrre Aamdal, senior economist at DnB NOR Markets.
Knut Anton Mork, chief economist at Handelsbanken in Oslo, said the forecasts for both 2009 and 2010 were "surprisingly strong" and helped shine light on one of the biggest uncertainties facing Norway's economy.
"I believe we will get renewed economic growth already in the third quarter of 2009," Mork said. (Additional reporting by Richard Solem, Ole Petter Skonnord and Joergen Frich; editing by James Jukwey)
[Source]
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Investment in Norway's oil and gas sector is set to continue in 2010 after an expected 17 percent surge this year to a record 145.2 billion crowns ($22.88 billion), Statistics Norway said on Thursday.
In its quarterly forecast based on announcement already made by companies active offshore Norway, the statistics agency raised its 2009 investment view by 5.7 percent from March.
It forecast preliminary 2010 oil and gas investment at 136.1 billion crowns. This -- the first forecast for 2010 -- is set to rise as firms announce new plans, and is well above the 116.9 billion the agency gave for 2009 at the same time last year. "The sharp increase is mainly due to the fact that the operators' first-time reports for 2010 are significantly more complete than earlier first-time reports," Statistics Norway said in a statement.
Norway is the world's sixth largest oil exporter and Western Europe's biggest natural gas exporter but a sharp fall in oil prices in late 2008 and in the first months of this year cast doubt over whether its investment boom would continue in 2010.
The Norwegian Petroleum Directorate has said most of Norway's producing fields are robust at an oil price of $50-$70 per barrel and a dip below that level a few months ago forced a number of oil and gas producers to postpone projects.
"The figures were pretty high," said Steinar Juel, chief economist at Nordea in Oslo. "It gives the impression that there could be growth (in investment spending) next year."
Norway needs to maintain high investment spending to limit the drop in output from its ageing North Sea oilfields.
According to official forecasts, Norway's oil output is expected to dip to about 2 million barrels per day in 2009, while sales of natural gas this year are expected to rise to a record 102 billion cubic metres.
ECONOMIC RECOVERY NEARER
The forecasts also have a macroeconomic impact, suggesting stronger investments in 2010 than expected by the central bank and potentially a quicker exit from recession by Norway.
The oil and gas sector accounts for about a quarter of Norway's total investments and gross domestic product.
Norges Bank, which has slashed interest rates to record lows to cushion Norway's economic slowdown, had forecast a sharp fall in oil and gas investment in 2010.
"Norges Bank have envisaged a marked drop next year. If that doesn't happen there will be increased demand, more speed in the economy and less need for low interest rates," said Kyrre Aamdal, senior economist at DnB NOR Markets.
Knut Anton Mork, chief economist at Handelsbanken in Oslo, said the forecasts for both 2009 and 2010 were "surprisingly strong" and helped shine light on one of the biggest uncertainties facing Norway's economy.
"I believe we will get renewed economic growth already in the third quarter of 2009," Mork said. (Additional reporting by Richard Solem, Ole Petter Skonnord and Joergen Frich; editing by James Jukwey)
[Source]
