Norwegian oil and gas company Equinor has announced it will contest a penalty issued by Økokrim following an investigation into pollution at its Mongstad refinery.
Økokrim is Norway’s national authority for the investigation and prosecution of economic and environmental crime.
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The investigation agency fined Equinor Nkr220m ($21.66m) and has also ordered the confiscation of a further Nkr500m over violations of the Pollution Control Act.
This penalty is based on “years of inadequate maintenance” at the facility, reported Reuters.
Equinor confirmed that it received the penalty notice and announced its intention to challenge the decision in court.
The company stated: “The case concerns historical matters related to emissions and discharges that the company itself has uncovered, investigated and improved.”
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By GlobalDataEquinor legal and compliance executive vice-president Siv Helen Rygh Torstensen said: “Equinor has conducted thorough and transparent investigations and implemented a number of measures to correct relevant deviations.
“We disagree that the company has failed to fulfil its duty of proper maintenance of the plant over several decades and that the company has saved costs through inadequate maintenance.
“Økokrim has not specified what the punishable negligence consists of. The company therefore does not accept the penalty notice and will clarify the case in court.”
The Mongstad refinery, located around 60km north of Bergen on Norway’s west coast, is the country’s only oil refinery.
This facility started operations in 1975 and supplies fuel to Norwegian, European and global markets. It processes crude oil and wet gas, producing a range of finished products for various sectors.
Around 40% of the oil produced on the Norwegian Continental Shelf is transported to Mongstad. It receives oil from the Johan Sverdrup, Troll B and Troll C fields through pipelines, and further feedstock is supplied through ships.
Recently, Equinor, Vår Energi and Petoro agreed to invest just over Nkr4bn in the first discovery at the Johan Castberg oilfield in the Barents Sea.
