Oil industry looks for Barents development concept

August 14, 2014

Key Norwegian oil industry representatives remain at odds over how to develop oil and gas resources in the Norwegian part of the Barents Sea. While the Norwegian government wants the regional oil resources to be taken to land-based terminal and processing facilities, the industry itself continues to prefer floating solutions for the projects.

However, the industry could be open for a compromise if the Norwegian state takes a bigger part of the costs. According to oil and gas analyst Hans Henrik Ramm, the Norwegian government should give the industry beneficial tax conditions for Barents infrastructure objects.

”The bigger the tax exemption, the better effect”, Ramm says to Offshore.no. ”We can imagine a system where field center development qualifies for extra exemptions”, he adds.

Copyright, Barents Observer, 2014.