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Statoil (STO) plans to delay its Johan Castberg project in the Barents sea, blaming proposed...

Statoil (STO) plans to delay its Johan Castberg project in the Barents sea, blaming proposed changes to Norway's petroleum taxes. STO has said the changes would reduce the attractiveness of future projects, "particularly marginal fields and fields which require new infrastructure," but Johan Castberg isn't a marginal project. STO says it will continue to drill four exploration wells in the area.
Comments (3)
  • Vinofilo
    , contributor
    Comments (109) | Send Message
     
    That is one way to insure a government loses an election.
    5 Jun 2013, 10:34 AM Reply Like
  • rcpatrick5443
    , contributor
    Comments (678) | Send Message
     
    Sounds like a sensible way to proceed and to help government appreciate the impact of its tax decisions.
    5 Jun 2013, 12:51 PM Reply Like
  • Veritas1010
    , contributor
    Comments (1314) | Send Message
     
    With a 68% ownership by Norway in STO it is disturbing to see the Norwegian government getting greedy like the rest of the Western World, (and a fair amount of the developing economies too). STO faces many unique challenges in its refocus away from the Norwegian shelf to find economically safe and viable partnerships -where many of its minority interests internationally result in a lack of project control and importantly, the replacement reserves it needs going forward.

     

    STO has always had high cost of production in the frigid environment of the Norwegian Shelf. We know that STO is attempting to parlay this experience in various deals with several large companies and NGO's in the Artic. But, this is very expensive and certainly high risk to put it respectfully. Norway better "dummy-up" as Archie Bunker used to opine and figure out it doesn't pay to kill the goose who lays those golden NOK's.

     

    disc.: long STO, (still) hoping for Scandinavian reason and common sense.
    5 Jun 2013, 07:00 PM Reply Like
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