Norwegian oil output in June drops below NPD’s prediction

Norwegian oil production has dropped below predictions made by the Norwegian Petroleum Directorate (NPD) after being above the limit for two months in a row.

According to
the directorate’s report on Friday, preliminary production figures for June
2020 show an average daily production of 1,857,000 barrels of oil, NGL, and
condensate.

Average
daily liquids production in June was: 1,543,000 barrels of oil, 298,000 barrels
of NGL, and 17,000 barrels of condensate.

It is worth
noting that, the Government decided to implement a cut in Norwegian oil
production 29 April 2020.
The production figures for oil in June include this cut of 250,000 barrels per
day. 

The NPD said
that its oil production forecasts have been updated in the Government’s
proposed Revised National Budget for 2020.

The update was
presented on 12 May and takes the authorities’ oil production regulation into
account, as well as the delayed start-up of fields under development and oil
production in the first quarter.

Oil
production in June is 4.1 per cent under the limit set in connection with the
production adjustment for June.

The total
petroleum production for the first six months in 2020 is about 115.2 million
Sm3 oil equivalents (MSm3 o.e.), broken down as follows: about 49.1 MSm3 o.e.
of oil, about 9.4 MSm3 o.e. of NGL, and condensate and about 56.7 MSm3 o.e. of
gas for sale.

The total
volume is 5.7 MSm3 o.e. higher than in 2019.