Norway will be Europe’s key offshore oil and gas destination in the near future, with a series of fresh development projects over the next two years driving up the drilling expenditure, according to new research from a business intelligence provider.
According to the company’s latest report, offshore drilling expenditure will increase steadily at an Average Annual Growth Rate (AAGR) of 6.9%, from approximately $10 billion in 2012 to $12.8 billion in 2016.
Norway will be the primary contributor to this increase, achieving an estimated expenditure of $5 billion in 2016, followed by the UK with $4 billion.
Combined, Norway and the UK have already proved themselves to be the European leaders in terms of offshore Exploration and Production (E&P), along with drilling investments and activity, having consistently represented around 75% of the total offshore drilling expenditure in the European region.
These countries also boast the highest number of wells drilled annually, followed by Denmark and the Netherlands.
Copyright, Global Energy World, 2013.