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Norway has raised fossil fuel production to replace supplies lost after the Strait of Hormuz closed. The government plans to reopen three North Sea gas fields and keep output high past 2030.
Norway has increased oil and gas production in recent weeks to offset supply losses caused by the closure of the Strait of Hormuz and sanctions on Russian energy. The government plans to reopen three North Sea gas fields and maintain elevated production levels beyond 2030.
Gahr Støre stated that the decision responds to unpredictable conditions created by the conflict involving Iran. He said Norway must secure energy supplies during periods of instability. Norway’s output increase replaces volumes previously imported from the Middle East.
Environmental groups have stated that the policy conflicts with climate targets and slows the shift toward renewable energy sources. No timeline has been announced for when the reopened fields will reach full capacity.
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en.antaranews.comGoldman Sachs stated on July 21 that crude prices could hit $120 per barrel if the Middle East war continues and the Strait of Hormuz stays closed. The bank had forecast a glut weeks earlier under different assumptions.