Wednesday, April 13, 2016

This is the oil industry’s main election issue – Tu.no

BERGEN: Tuesday went Statoil lead out with its claims, Tuesday comes Konkraft with its report on the oil company’s potential in the northern regions and during the year also comes a new roadmap for future oil and gas production Norwegian continental shelf – organized by OG21.

During Statoil Future Energy Forum in Bergen, where much of the lead in Norwegian industry was collected on Tuesday went petroleum and Energy Tord Lien far in saying that he hopes a large majority during upcoming parliamentary elections that he and FRP can get approval to impact study Lofoten and Vesterålen.

Drunk hotels

– I have seen what the oil industry has made tourism and fisheries. In Hammerfest there are now five hotels in Harstad and Sandnessjøen is the full hotels. And in Vesterålen goes fisheries as a bullet.

But then the majority will be so large that the Conservatives and the Progress Party will not have to deal with supporting parties Liberal Party and Christian Democrats. During a debate with Per Rune Henriksen (Ap) and Tina Bru (H) gave Terje Breivik (V) clear message:

– We consistently say no to investigate this area. It’s about classical nature conservation since this is the most renewable resources we have in this country and that later generations will live on.

By the way both Henriksen and Bru positive for an impact assessment to get most knowledge about the oil and gas resources in the area and about environmental considerations.

This requirement is supported by the LO, NHO and Norwegian industry.

New tax rules?

Terje Breivik also came with an initiative that attracted attention. He advocated that the government should set up a commission to look at the current tax for the Norwegian oil industry.

– There is no guarantee that the current deduction rules where oil companies can deduct 78 percent of their investment costs are the best for industry in the long term, said Breivik, who pointed out that it is almost 20 years since the last time it was made a study of the tax system.

the clear implication was that the industry should reap those resources already mapped instead to hunt for new fields.

But when had already Statoil CEO Eldar Sætre given praise for petroleum and Energy Tord Lien for both a new APA announcement (mature fields ) and announcement of 23rd licensing round with 57 new blocks, 54 of them in the Barents Sea.

– we can combine the oil and gas extraction with the fishing industry and environmental and natural resource management, as we did on snowy, said Sætre which called for a stronger cooperation between both oil companies and suppliers.

Half Erte costs

He noted planning with Johan Castberg, where we now see profitability with an oil price $ 45, almost half of what they originally thought.

the project will require an investment of around 60 billion and have great significance for the supplier industry both in existing clusters and in northern Norway.

petroleum and Energy Tord Lien gave a snap to Statoil and other oil companies that will draw the plans for the operation and development of existing resources:

– It is unacceptable in my script, but I would rather say it on my north Norwegian way – it’s not okay when you do not utilize the resource base fully. It’s like pissing in your pants to stay warm on feet better!

The little breiale and arrogant tone that has characterized previous group conferencing is gone. Assembly of approximately 300 leaders from the oil and gas industry was characterized by humility and self-criticism in terms of the past year cost explosion.

Now it’s restructuring which apply to all costs. The question is rather how many businesses can survive the new contract regime and the ongoing downsizing.

As technology director Margaret Øvrum said:

– It’s a tough time for everyone experience this. The worst thing for me is to see all the young people who do not find employment after education or have quit their jobs. At the same time now we must travel hag. We can come out of this stronger if all parties cooperate. We have had too much downtime and incorrect deliveries. Now we need to be much more concerned with quality at all levels.



Not afford to err

She won the support of top executives in Aker Solutions, Aibel, Beerenberg and OneSubsea.



Per Harald Kongelf  Aker Solutions will have a common project for  & # xE5; f & # xE5; reduce costs in the  oil industry.
Per Harald Kongelf Aker Solutions will have a common project to reduce costs in the oil industry. Photo: Roald Ramsdal

– We can no longer afford to fail. I am advocating for a common project which also includes governments and social partners. Now we must leave no stone unturned to improve, said Per Harald Kongelf, head of Aker Solutions in Norway.

He told about its improvement program, “The Journey,” which has resulted in a reduction of the costs the equivalent of 30 percent. It’s about simplification of work processes, standardization, lean methodology and application of existing technology in a more efficient manner.

– We have drawn inspiration from the automotive industry, where one is more concerned with a comprehensive value chain. Technology is not the main thing now. We have been a leader in new technologies, for example in terms of CCS, Åsgard subsea compression, automation and robotics, but now it is very important to work with efficiency and standardization, said Kongelf.

He won the support of Morten Walde in Beerenberg Corp., said the Norwegian shelf has been a laboratory for the whole world’s oil industry, since 40 percent of all business is export-oriented.

– We have invested a lot of radical Innovation. Now we need to be more concerned with the simplification and improvement. And we need closer collaboration with other industries and academia. We have much to teach, but still Engineers ourselves to death.



Missing talents

Professor Hilde Bjørnland BI had an interesting observation from his research showing that low oil prices simply not good for the economy because it overall is less capital in circulation when the entire industry cuts in their investments.

She referred to a comparison with Sweden, which last year had four percent GDP growth, while Norway only had one percent. Generally it goes worse with democratic countries with large commodity resources, such as Norway, Australia and Canada, because the ripple effects to other industries affected.

About 30 percent of the fluctuations in the mainland economy comes from oil and gas.

– Unemployment in the past year has increased more than during the financial crisis. In “oljeskyggens valley” – the Oslo area – believed that this is a western phenomenon, but it’s actually about a national crisis, said Bjørnland, who still believed that Norway was better placed than many other countries because of the large oil fund, low interest and the exchange rate.

– But we have not been made for a diverse business. We can not, for example transferring vacant engineers to school without having to take additional courses in pedagogy. Why can not they just start to teach math as they can from before, asked Bjørnland.

She also OECD statistics showing that Norway is the worst position in terms of proportion that takes education in science and technology.

– The oil has been a pretext for failing to adapt. Ola and Kari have served that we have had great revenue, but we do not currently an education system that is adapted to change. We must begin with the school and let kids learn programming and other subjects to be more creative when it comes to technology, said Bjørnland.

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