After suspending some rig work to save capital, Norwegian energy company Statoil said Tuesday it sold acreage in a key U.S. shale play for $394 million. Statoil said it sold a 6 percent stake in the Marcellus shale play to U.S. company Southwestern Energy, leaving the Norwegian company with a non-operated 23 percent interest in the region. Statoil in 2008 entered Marcellus through a joint venture with Chesapeake Energy and now says the divestment is part of its optimization strategy.”I am delighted that we have concluded this important transaction with Southwestern despite the turbulence in today’s energy markets,” John Knight, executive vice president for global business development at Statoil, said in a statement.
Statoil in early December suspended contracts for four rigs because of lower profitability.
The company last month suspended operations for rigs working in the Barents Sea through the end of the year, including Transocean Spitsbergen, which has a day rate of $535,000.
Analysis from Ernst & Young finds most of the investments of on the Norwegian Continental Shelf are based on oil below the $80 per mark. Some U.S. shale basins are more expensive to operate, though Marcellus remains profitable at as low as $24 per barrel.
“The transaction reduces Statoil’s non-operated holdings at an attractive price, demonstrating the value of the Marcellus assets,” Torstein Hole, Statoil senior vice president and U.S. onshore head, said.
Marcellus represents about 18 percent of total U.S. gas production and remains one of the more attractive shale basins in the United States. Production since November increased by 213 million cubic feet per day over the previous month.
Statoil shares down more than 1 percent in Tuesday trading.
The Norwegian Agency for Development Cooperation (NORAD), and the Cuban ministries of Foreign Trade and Foreign Investment (MINCEX), and the Ministry of Energy and Mines signed new agreements for bilateral cooperation in the oil sector, confirming the negotiations between the two countries started in 2011. The signed documents are part of the Oil for Development program of NORAD. With this program Norway holds meetings with Cuban authorities to share experiences on staff training, development of techniques and knowledge sharing about fuel.
Norway’s Statoil has found more gas offshore Tanzania at the Giligiliani-1 well, increasing its total for an eventual investment decision on a liquefaction plant with Britain’s BG Group, which operates neighbouring exploration blocks, it said on Tuesday. Statoil announced yesterday that it had found another 1.2 trillion cubic feet of gas in its block, taking its total volume in-place to 21 trillion cubic feet, or about 3.8 billion barrels of oil equivalents.Similarly, BG has also found about 15 trillion cubic feet of gross resources in nearby blocks.
Kenya and Norway will sign an agreement on petroleum resources to help the east African country manage new oil discoveries, Norway’s new ambassador to Kenya was quoted as saying. “We are considering a long-term agreement with Kenya’s ministry of energy and petroleum on effective and socially responsible management of petroleum resources,” Victor Ronneberg said, according to a note issued by Kenya’s Presidential Strategic Communications Unit.Ronneberg presented his credentials to Kenya’s President Uhuru Kenyatta on Tuesday.
Norges Bank Investment Management bought an office and retail complex opposite Paris’s Le Madeleine church for 425.6 million euros ($570 million) from a fund managed by Blackrock Inc. (BLK) The 31,500 square-meter (339,000 square-foot) Le Madeleine building has been completely refurbished since it was acquired by Blackrock Europe Property Fund III in 2009, the world’s largest money manager said in a statement today. Tenants include Chanel, Visa and C&A.
A North Sea platform was shut and half its workers evacuated after an oil and gas leak. The incident happened on Saturday afternoon on the Statfjord A platform, one of three platforms in the large Statfjord oil field on the UK-Norway border. Following the discovery of the leak, 168 members of staff were evacuated to platforms B and C by helicopter.Kjetil Visnes, a spokesman for Statoil – which runs the oil field, said: “The leak was reported at about 4.40pm. It had occurred some 10 minutes before.”
A conference on ‘Oil and Gas Cyber Security’ will be held from 3 to 4 June 2014 in Oslo, Norway. By 2018 the oil and gas industry will be spending up to EUR 1.37 billion on cyber security. The increased demand to protect a multi-billion dollar global industry is being spurred on by the ever growing cyber threat across the globe.
The dramatic escalation of the situation in the Karabakh conflict zone raises serious concerns, Norwegian FM Børge Brende stated. “Norway urges the sides to the conflict to cease military actions and honor the ceasefire agreement signed in 1994. Human losses and destabilization of the situation in the region should be avoided. On Friday evening battles began all along the Line of Contact established in 1994. Despite the ceasefire, from time to time clashes took place between the sides, but the last day was the toughest one since 1994.’
LAST week, the Tunisian National Dialogue Quartet — a motley civil society coalition of labour, industry, human rights activists and lawyers — received the Nobel peace prize in Oslo. The five-member Norwegian Nobel committee praised the quartet’s “decisive contribution to the building of a pluralistic democracy”, while African Union chairwoman Nkosazana Dlamini-Zuma had noted previously that “Tunisia has become a beacon of hope for peace in Africa”.The coalition helped their country avert civil war in 2013 by pushing political parties to accept a government of technocrats to organise democratic elections, negotiating a secular constitution that protected the rights of women, and coaxing the Islamist Ennahda party to surrender power. It was appropriate that Tunisia — the cradle of the “Afro-Arab Spring” — was awarded this prize, which four South Africans — Albert Luthuli, Desmond Tutu, Nelson Mandela and FW de Klerk — have won.
The Peace and Reconciliation Foundation revealed the FARC’s unilateral cease-fire reduced the intensity of conflict by nearly 90 percent. Representatives from Cuba and Norway, the two guarantor nations of the Colombian peace process, called Wednesday for a bilateral cease-fire in order to help deescalate the armed conflict that has grown bloodier over the last two months.“We call on the parties to continue their efforts to continue to advance in the discussion of the pending issues, including the adoption of a definitive bilateral cease-fire and end to hostilities,” read a communique by Rodolfo Benitez, the Cuban representative, and Dag Nylander, the Norwegian representative.

Norway has joined 6 other countries in supporting the peace process in the southern Philippines despite a deadly clash that killed 44 members of an elite police force, at least 17 Muslim rebels, and 7 civilians. “It is now more important than ever to put every effort into the peace process,” Norwegian Foreign Minister Børge Brende told the Philippines, according to a statement by the Philippine Department of Foreign Affairs on Wednesday, February 11.Brende added: “Armed conflict is a serious threat to development and has negative consequences far beyond the actual battlefield. A lasting settlement in Mindanao would benefit the entire population of the Philippines.”
The FARC-EP delegation participating in the negotiations with the Colombian government met with Norwegian Foreign Minister Borge Brende, in which the guerrilla informed on the progresses of the peace process. According to a statement released today, the insurgent delegation in the peace process in Havana since 2012 with the government of President Juan Manuel Santos, met yesterday about two hours with Brende and his companions, to exchange information on the progresses of the peace process.The important contribution of Norway (as guarantor country in the negotiations along with Cuba) is making to achieve peace in Colombia was recognized during the meeting.
A U.N. envoy said Wednesday that deadlocked talks to reunify ethnically split Cyprus were at risk of being derailed amid a dispute over rights to search for offshore gas. Espen Barth Eide said it’s unclear when talks would resume. “I am increasingly concerned that things are not moving,” Eide said after talks with Cypriot President Nicos Anastasiades.Cyprus was divided in 1974 when Turkey invaded after a coup aiming at union with Greece. Turkey doesn’t recognize Cyprus as a state and insists it won’t allow a unilateral oil and gas search by the internationally recognized Greek Cypriots at the expense of Turkish Cypriots in the island’s breakaway north.
The government and communist insurgents have agreed to resume their off-and-on peace talks after more than a year since their negotiations bogged down in Oslo, Norway, which has been retained as the third party facilitator. But there was disagreement on when the talks would resume between the government and the Communist Party of the Philippines (CPP) and its armed component the New People’s Army (NPA) that have been waging a Maoist-style insurgency for 46 years, considered the longest in Asia and the Pacific.In a video message posted on his Facebook, Jose Maria Sison, the CPP founder who is on exile in the Netherlands, said the talks could start in the first half of January 2015.
The Norwegian Nobel Committee has awarded the Nobel Peace Prize for 2014 to India’s hindu Kailash Satyarthi and Pakistani Muslim teenager Malala Yousafzai “for their struggle against the suppression of children and young people and for the right of all children to education.” “Children must go to school and not be financially exploited. In the poor countries of the world, 60 per cent of the present population is under 25 years of age. It is a prerequisite for peaceful global development that the rights of children and young people be respected.
Norway announced Tuesday that it was delaying the meeting of an international donor group for the Palestinian Authority (PA), planned for next week, in light of the kidnapping of three Israeli teenagers last Thursday by Hamas terrorists. The Ad Hoc Liaison Committee (AHLC), which is responsible for coordinating international funding of the PA and is chaired by Norway, was set to meet in Oslo on June 25.”The situation is not conducive to having an AHLC meeting at this point,” Norwegian Foreign Ministry spokesperson Frode Andersen told AFP. Frode avoided specifically referencing the kidnapping as the reason for the delay.
‘I am pleased that we can now see a positive development in South Sudan. IGAD and the parties deserve recognition for having taken an important step towards a peaceful solution to the conflict. The further negotiations will not be easy, and the parties must demonstrate that they really are willing to fulfil what they have promised,’ said Foreign Minister Børge Brende. At a meeting of the Intergovernmental Authority on Development (IGAD) on 10 June, President Salva Kiir and former Vice President Riek Machar agreed on the framework for a political solution to the conflict in South Sudan.