Centrica Energy Norway has secured a 50% operating share in block 719 of the Scarecrow licence in the Barents Sea, as part of The Norwegian Government‘s 22nd round on the Norwegian Continental Shelf (NCS).
The company will operate the Scarecrow licence in partnership with Lukoil and North Energy, who hold 30% and 20% respectively.
The 719 block will help Centrica further expand its business in Norway by beginning a new venture for the Norwegian upstream business.
Centrica Energy Norway regional director Dag Omre said: "We are delighted to be awarded this licence, which represents an important step forward in our plans of continuing to grow the business."
"We are already one of the fastest new entrants in Norway, and look forward to becoming a strong player on the Norwegian Continental Shelf," Omre added.
The Norwegian Government has decided to award 20 production licenses in the Barents Sea and four in the Norwegian Sea, as part of the 22nd round.
Under the latest round, participating interests will be offered to 29 firms, while operatorship will be offered to 14 firms.
According to Norway Ministry of Petroleum and Energy, 23 of the 24 production licences on offer are located north of the polar circle, while 20 of the licences are related to the Barents Sea.
The new production licences awarded in the 22nd licensing round will begin contributing to production in ten to 15 years’ time.
Norway Minister of Petroleum and Energy Ola Borten Moe said: "I am very pleased to be able to offer 24 production licences to 29 companies."
"The companies have demonstrated their strong interest and submitted numerous good applications. This confirms that the Norwegian Continental Shelf is a highly interesting petroleum province," Moe added.
Established in 2006, Centrica Energy Norway has secured 36 licences out of 40 applications to date. The company produces around 70,000 barrels of oil equivalent per day (boe/d) on the NCS.
Image: Norway Petroleum and Energy Minister Ola Borten Moe presenting the awards of new production licences in the 22nd licensing round. Photo courtesy of Norway Ministry of Petroleum and Energy.