Statoil, one of many international oil companies to slash spending during crude’s collapse, is increasing exploration for the first time since 2013 as cost cuts and lower fees from squeezed suppliers allow it to get more work done for less.
Statoil plans about 30 exploration wells as an operator or partner in 2017, up from 23 last year, the company said on Wednesday. As many as 18 will be drilled off Norway, where it is based, with a focus on new blocks in the Arctic Barents Sea.
“Now is a very good time to explore, because it hasn’t been cheaper than this for many, many years,” said Tim Dodson, the executive vice president for exploration at the Stavanger-based company. “We can conduct considerably more activity for a similar amount of money than we could just a few years back.”
Mr Dodson said Statoil would spend about the same on exploration this year as in 2016, when it announced plans to invest us$1.5 billion searching for new oil and gasfields. That is far from the record $3.75bn of 2013, before crude tumbled. Still, the planned increase in wells indicates renewed optimism in the industry after oil prices recovered to an 18-month high and following a dismal two years of exploration results as companies cut spending.
Statoil will probably prove to be “among the more offensive exploration companies”, Mr Dodson said. “I would be surprised if there are many other oil and gas companies increasing their exploration activity in 2017.”
Six of Statoil’s wells this year are classified as “high impact”, meaning the prospects could hold at least 250 million barrels of oil equivalent in total, or 100 million barrels net for the company, Mr Dodson said.
Statoil will drill five to seven of its 16 to 18 Norwegian wells in the Barents Sea, where it has not explored since 2014. Industry observers will keep a close eye on the Korpfjell prospect near the Russian border, in a new exploration area, which Statoil’s partner Lundin Petroleum has said could hold “several billion barrels” of oil. The Oslo-based consulting firm Rystad Energy has estimated Korpfjell’s maximum potential at as much as 10 billion barrels of oil equivalent.
“We don’t operate with those kind of numbers as our expected volumes, but having said that, it’s definitely high impact,” Mr Dodson said. “If we were to make a 500 million-barrel oil discovery here, we’d be pretty happy.”
The Korpfjell well, which will also be Norway’s northernmost exploration well, will probably be drilled toward the end of the summer, Mr Dodson said. Conditions, including the distance to sea ice, are typically best in August, but the timing will also depend on the result of the two to three wells Statoil will drill in the area before Korpfjell, he said.
“The Barents Sea has yielded several of Norway’s most significant oil discoveries in recent years,” Mr Dodson said. “This campaign can provide us with crucial information about the long-term future of the Norwegian shelf.”
* Bloomberg
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COMPANY PROFILE
Founders: Alhaan Ahmed, Alyina Ahmed and Maximo Tettamanzi
Total funding: Self funded
Dubai works towards better air quality by 2021
Dubai is on a mission to record good air quality for 90 per cent of the year – up from 86 per cent annually today – by 2021.
The municipality plans to have seven mobile air-monitoring stations by 2020 to capture more accurate data in hourly and daily trends of pollution.
These will be on the Palm Jumeirah, Al Qusais, Muhaisnah, Rashidiyah, Al Wasl, Al Quoz and Dubai Investment Park.
“It will allow real-time responding for emergency cases,” said Khaldoon Al Daraji, first environment safety officer at the municipality.
“We’re in a good position except for the cases that are out of our hands, such as sandstorms.
“Sandstorms are our main concern because the UAE is just a receiver.
“The hotspots are Iran, Saudi Arabia and southern Iraq, but we’re working hard with the region to reduce the cycle of sandstorm generation.”
Mr Al Daraji said monitoring as it stood covered 47 per cent of Dubai.
There are 12 fixed stations in the emirate, but Dubai also receives information from monitors belonging to other entities.
“There are 25 stations in total,” Mr Al Daraji said.
“We added new technology and equipment used for the first time for the detection of heavy metals.
“A hundred parameters can be detected but we want to expand it to make sure that the data captured can allow a baseline study in some areas to ensure they are well positioned.”
THE SPECS
Engine: Four-cylinder 2.5-litre
Transmission: Seven-speed auto
Power: 165hp
Torque: 241Nm
Price: Dh99,900 to Dh134,000
On sale: now
The specs
Engine: Direct injection 4-cylinder 1.4-litre
Power: 150hp
Torque: 250Nm
Price: From Dh139,000
On sale: Now
UPI facts
More than 2.2 million Indian tourists arrived in UAE in 2023
More than 3.5 million Indians reside in UAE
Indian tourists can make purchases in UAE using rupee accounts in India through QR-code-based UPI real-time payment systems
Indian residents in UAE can use their non-resident NRO and NRE accounts held in Indian banks linked to a UAE mobile number for UPI transactions
Jewel of the Expo 2020
252 projectors installed on Al Wasl dome
13.6km of steel used in the structure that makes it equal in length to 16 Burj Khalifas
550 tonnes of moulded steel were raised last year to cap the dome
724,000 cubic metres is the space it encloses
Stands taller than the leaning tower of Pisa
Steel trellis dome is one of the largest single structures on site
The size of 16 tennis courts and weighs as much as 500 elephants
Al Wasl means connection in Arabic
World’s largest 360-degree projection surface
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Brief scores:
Toss: South Africa, chose to field
Pakistan: 177 & 294
South Africa: 431 & 43-1
Man of the Match: Faf du Plessis (South Africa)
Series: South Africa lead three-match series 2-0
No.6 Collaborations Project
Ed Sheeran (Atlantic)
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COMPANY PROFILE
Initial investment: Undisclosed
Investment stage: Series A
Investors: Core42
Current number of staff: 47
COMPANY PROFILE
Name: Almnssa
Started: August 2020
Founder: Areej Selmi
Based: Gaza
Sectors: Internet, e-commerce
Investments: Grants/private funding
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Electric scooters: some rules to remember
- Riders must be 14-years-old or over
- Wear a protective helmet
- Park the electric scooter in designated parking lots (if any)
- Do not leave electric scooter in locations that obstruct traffic or pedestrians
- Solo riders only, no passengers allowed
- Do not drive outside designated lanes
The specs
Engine: Long-range single or dual motor with 200kW or 400kW battery
Transmission: Single-speed automatic
Max touring range: 620km / 590km
Price: From Dh250,000 (estimated)
if you go
The flights
Emirates flies to Delhi with fares starting from around Dh760 return, while Etihad fares cost about Dh783 return. From Delhi, there are connecting flights to Lucknow.
Where to stay
It is advisable to stay in Lucknow and make a day trip to Kannauj. A stay at the Lebua Lucknow hotel, a traditional Lucknowi mansion, is recommended. Prices start from Dh300 per night (excluding taxes).
How to help
Send “thenational” to the following numbers or call the hotline on: 0502955999
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Joker: Folie a Deux
Starring: Joaquin Phoenix, Lady Gaga, Brendan Gleeson
Director: Todd Phillips
Rating: 2/5