Four more licenses for PGNiG in Norway

Polish Oil and Gas Company (PGNiG) has been granted four new concession areas for development on the Norwegian Continental Shelf. More than 30 oil companies from all over the world competed for them. PGNiG will act as the operator in three of the four newly acquired licences. Thus, the number of licences in Norway in which PGNiG holds an interest will increase to 62.

As a result of the annual concession round (APA 2021), the Norwegian government ultimately awarded shares in over 60 production licences to 28 companies. PGNiG Upstream Norway, a subsidiary of PGNiG, applied for and received shares in four licences.

– We are consistently developing our business on the Norwegian shelf. We want to produce there as much own natural gas as possible, which will then be supplied to Poland. Therefore we expand our concession portfolio in Norway by means of acquisitions but also by regular participation in concession rounds – said Paweł Majewski, PGNiG CEO. – The acquisition of four new concessions proves the professionalism of our Norwegian team since the Norwegian government awards concessions only in response to applications which are best prepared geologically and technically. Moreover, the fact that we have been granted the role of operator in three out of the four new concessions is of great importance. It is also recognition of the competence of our specialists in Norway – they will manage the works related to development of deposits within the new concessions – he added.

Two of the newly awarded concessions are located in the North Sea. PGNiG Upstream Norway will act as the operator in both of them. In concession PL1135 (named Sanok in the application) PGNiG will take over 70 per cent of shares, the remaining shares will be held by Lotos. In licence PL1136, PGNiG Upstream Norway will share equally with Norway’s Equinor but will retain the operator status.

PGNiG’s two other licence applications related to areas adjacent to fields under development, i.e. extensions of existing licence areas. In the PL1055C licence, PGNiG Upstream Norway will acquire a 60% interest and the role of operator, with the remaining shares going to Shell. In the case of PL941B, PGNiG Upstream Norway will acquire a 20% interest, while AkerBP will be the operator with an 80% interest. The licence is located close to the Skarv field, from which PGNiG’s activities in Norway began.

Once the concession round is resolved, the Norwegian government formally offers interested oil companies to take a stake in the concessions for which the companies applied in 2021. Only then are they subject to official approval by the Norwegian Petroleum Administration.

 

source: PortalMorski.pl

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