In particular, these are projects of Norwegian oil and gas companies Aker BP and Equinor in the North Sea and Norwegian Sea. One of the projects is the Yggdrasil offshore field, where as many as 55 new wells are planned. The project would account for 650 million barrels of oil and gas, making it one of the largest projects offshore Norway in recent years.
Energy economist Hans van Cleef of consultancy Publieke Zaken thinks it is good news that investments are being made within Europe. "A picture is often painted that we will soon no longer need oil and gas, but in practice this will be the case for many years to come."
According to Van Cleef, extraction of oil and gas has been under pressure for a long time, but demand is not decreasing. Without European investment, there would be a shortage, causing prices to skyrocket.
Norway accounts for third gas supply
Jilles van den Beukel, energy expert at The Hague Centre for Strategic Studies, says the European gas market is about one-third dependent on gas from Norway. "If no European country would invest anymore, you would become dependent on countries like Saudi Arabia and Russia."
One-third of the European market consists of LNG gas. That has to be brought over from the United States, for example. Once it arrives in Europe, it still has to be processed in order to be used. According to Van den Beukel, Norwegian gas is 30 to 35 percent cleaner because it does not have to travel as far and does not require processing.
Environmental organizations are not happy with the Norwegian government's approval. The Norwegian chapter of Greenpeace, for example, expresses its disapproval on Twitter.
©NOS
