Nov. 22 (UPI) — A key energy supplier to the European continent, the Norwegian government on Tuesday reported that both crude oil and natural gas production declined somewhat, though gas sales improved over month-ago levels.
Norway is among the largest producers and exporters of both crude oil and natural gas in the world, an importance that’s only more pronounced because it powers its own economy almost entirely with hydroelectricity.
As a supplier, its influence has only increased since the Russian invasion of Ukraine. With Western powers shunning Russian supplies, Norway could theoretically meet about 25% of the European demand for natural gas alone.
Data published Tuesday by the Norwegian Petroleum Directorate, the nation’s energy regulator, showed total gas production last month was about 10% lower than expected. Crude oil production, meanwhile, was 7.3% lower than the government had forecast. Production for both is down year-on-year as well.
That would not bode well for European economies looking to build up gas storage levels ahead of the winter heating season in the Northern Hemisphere. The government nonetheless reported that total gas sales by volume for October were about 7% higher than during the previous month.
The International Energy Agency, meanwhile, shows that gas storage levels as of Nov. 2 were above the five-year average for the countries that use the euro currency.
The potential for more resources remains high. The NPD in early November said a natural gas discovery made by Austrian energy company OMV in the Norwegian waters of the North Sea holds great potential.
