StatoilHydro Begins Arctic Drilling

Norway's StatoilHydro has begun a two-year drilling programme in the Arctic, one of the world's few remaining unexplored oil prospects.

The company could also cooperate with Russia in looking for oil and gas in Arctic areas disputed between Russia and Norway, writes the UK's Financial Times.

In October, StatoilHydro began deliveries of liquefied natural gas from its Snøhvit project, located near the Artic circle.

Anglo-Dutch oil major Shell has been blocked with legal action by US enviornmental campaigners from its planned drilling project in the Beaufort Sea, north of Alaska.

By staff writer