Uk Norway Framework Agreement 2005

Below is a list of relevant treaties and agreements. This list may not cover all contracts and agreements and it is best to confirm contact with the corresponding OGA area team. The agreement may subordinate part or all of the agreement to the agreement of the contracting parties. On 4 April 2005, the United Kingdom and Norway signed a framework agreement on cross-border oil cooperation. The agreement was the culmination of several years of work, both by governments and their respective sector working groups – pilots and competition forces. In 2002, the Norwegian Industry and Industry Joint Working Groups found that a potential price of up to $2 billion could be achieved through joint work in the north Sea border regions in areas such as the development of new areas, the development of new existing fields, operational synergies and dismantling. In their agreement, the two countries faced the challenge of consolidating their two completely different offshore systems. The United Kingdom had a largely negotiated access regime, while the Norwegian gas industry was essentially regulated. The aim of the agreement is to increase the predictability of the participation of both governments in cross-border projects and thus facilitate the planning and implementation of these projects. The agreement addresses several issues, including: there are already cross-border areas under development, each of which has an individual contract (for example). B Statfjord). There are also contracts on specific infrastructure issues, such as.

B a 1998 framework agreement on the installation, operation and jurisdiction of offshore pipelines crossing the border. However, the scope of this treaty is limited: it only covers pipelines located on the continental shelf (excluding parts of territorial waters and land zones) that cross the border between the United Kingdom and Norway and link infrastructure on the one hand under the jurisdiction of one government and infrastructure on the other under the jurisdiction of the other government. For example, the Vesterled pipeline was not covered because it connected the Heimdal facilities on the Norwegian shelf and the Norwegian Frigg gas pipeline on the UKCS, both under Norwegian jurisdiction. Similarly, the pipelines are located directly from a Norwegian field to a British landing terminal outside its scope, since the landing terminal would be within the United Kingdom and not on the UKCS. In the past, different contracts for different projects have often been treated differently by different issues, such as regulatory responsibilities and pipeline management responsibilities. Each contract has generally been the subject of lengthy negotiations that have had an inhibitory effect on the development of marginal projects. The framework agreement paved the way for unprecedented cooperation between the UK and Norway on North Sea projects. Oil and gas companies can now develop cross-border oil and gas activities much more clearly and faster. This is a significant change from the old system of project contracts. In addition, Norway and the United Kingdom will benefit, as the United Kingdom offers Norway an important new market for its large Ormen Lange field and Norway as an attractive source of gas to contribute to the diversity and security of energy supply in the United Kingdom.

One of the main beneficiaries of the agreement will be the Langeled pipeline project, which could cover up to 20% of the UK`s future gas needs. Some of the benefits of the framework agreement have already taken the form of the Enoch and Blane fields. These two areas had not been built for years, mainly because of their cross-border nature, but they were recently approved by both governments for further use. Other examples include Langeled, Playfair, Boa, Statfjord Late Life and Tampen Link.