Norway sees strong long-term demand for oil
Norway is at the forefront of Europe’s green energy shift, but it is also its biggest crude oil producer.
The country has so far juggled successfully with the two opposing concepts of emission-reduction and oil production, and according to its energy minister, it will continue to do so in the decades to come, despite forecasts about impending peak oil demand.
In an interview with Bloomberg, Terje Soviknes said that despite the renewables revolution, it still made sense—financially and morally—to explore for more oil. “I’m not that concerned with when exactly we get peak demand, whether that’s in 2030, ’35, ’40 -- or earlier for that matter. What’s most important is that there’s high demand, and that’s going to be there for decades to come. We must position the Norwegian shelf for that,” he said.
The official acknowledged OPEC’s progress in helping oil’s fundamentals move closer to balance, and said that for Norway, the most immediate threat was the lack of any significant new discoveries to ensure stable oil supply for the near term. In this context, the long-term trends in oil and fuel demand must take a back seat.
