OSLO – Norway, the largest oil producer in Western Europe, said on Saturday that the country still plans to cut oil production if the OPEC + group implements its plan.
“How Norway will cut production and what its size will be, we will have to come back to,” said Minister of Oil and Energy Tina Bru in a statement sent to Reuters by email.
On Friday, efforts by major oil nations to reach agreement on cuts of up to 15 million barrels of oil (b / d) were blocked when Saudi Arabia and Mexico failed hear at a meeting of G20 energy ministers.
But the meeting, in which Bru participated, again provided important context, she said.
Norway, which is not a member of OPEC, OPEC + or the group of major G20 countries, was invited to participate in the conference on Friday as it represents around 2% of world oil production .
Norway’s crude oil production was 1.75 million bpd in February, up 26% from a year ago. Including condensates and natural gas liquids (NGLs), the production of petroleum liquids was 2.1 million b / d.
“At the meeting, I said that Norway would consider a unilateral reduction in Norwegian oil production, provided that the agreement between the OPEC + countries on the reduction of production is implemented”, a declared Bru.
Norway has limited its oil production several times in the past, including from 1986 to 1990 and again in 1998-2000 and in the first half of 2002, always in tandem with others when prices fell.
The country’s annual crude oil production peaked at 3.1 million bpd in 2000 before falling to a 30-year low of 1.4 million bpd in 2019.
However, the government is forecasting a rebound in crude oil to more than 2 million barrels per day by 2024, not counting NGLs or condensates, as major new fields come into service, and Norway has also seen an increase of gas production over the past two decades.
(Report by Nerijus Adomaitis, written by Victoria Klesty, edited by Terje Solsvik, Toby Chopra and David Evans)