Announcement from Norway concerning Directive 94/22/EC of the European Parliament and of the Council on the conditions for granting and using authorisations for the prospection, exploration and production of hydrocarbons — Announcement of invitation to apply for petroleum production licences on the Norwegian Continental Shelf — Awards in Predefined Areas 2014
Date: 2014-05-28
Institutions: Norway
Subjects: Norway, continental shelf, extraction of oil, hydrocarbon, petroleum exploration, public contract








C_2014163EN.01000701.xml










28.5.2014   


EN


Official Journal of the European Union


C 163/7





Announcement from Norway concerning Directive 94/22/EC of the European Parliament and of the Council on the conditions for granting and using authorisations for the prospection, exploration and production of hydrocarbons
Announcement of invitation to apply for petroleum production licences on the Norwegian Continental Shelf — Awards in Predefined Areas 2014
(2014/C 163/07)
The Norwegian Ministry of Petroleum and Energy hereby announces an invitation to apply for petroleum production licences in accordance with Directive 94/22/EC of the European Parliament and of the Council of 30 May 1994 on the conditions for granting and using authorizations for the prospection, exploration and production of hydrocarbons, Article 3, para 2, litra a).
Production licences will be awarded to joint stock companies registered in Norway or in another state party to the Agreement on the European Economic Area (the EEA Agreement), or to natural persons domiciled in a state party to the EEA Agreement.
Companies which are not presently licensees on the Norwegian Continental Shelf may be awarded production licences if they are prequalified as licensees on the Norwegian Continental Shelf.
Companies submitting individual applications and companies applying as part of a group will be treated on equal terms by the Ministry. Applicants submitting an individual application, or applicants being part of a group submitting a joint application, will all be considered as an applicant for a production licence. The Ministry may, on the basis of applications submitted by groups or individual applicants, determine the composition of the licence groups, including removing applicants in a group application and adding individual applicants, and appoint the operator for such groups.
The award of a participating interest in a production licence will be subject to the licensees’ entering into an Agreement for Petroleum Activities, including a Joint Operating Agreement and an Accounting Agreement. If the production licence is stratigrafically divided, the licensees of the two stratigraphically divided licences will also be required to enter into a specific Joint Operating Agreement, regulating the relationship between them in this respect.
Upon signing the said agreements the licensees will form a joint venture in which the size of their participating interest will at all times be identical to their participating interest in the production licence.
The licence documents will mainly be based on relevant documents from the Awards in Predefined Areas 2013. The aim is to make the main elements of any adjustments to the framework available to the industry prior to the time of application.

Criteria for the award of a production licence

To promote good resource management and rapid and efficient exploration for and production of petroleum on the Norwegian Continental Shelf, including the composition of licence groups to ensure this, the following criteria shall apply to the award of participating interests in production licences and to the appointment of operator:






a)


The applicant’s geological understanding of the geographical area in question, and how the licensees propose to perform efficient exploration for petroleum.










b)


The relevant technical expertise of the applicant, and how this expertise may actively contribute to cost effective exploration and, as appropriate, the production of petroleum from the geographical area in question.










c)


The applicant’s experience on the Norwegian Continental Shelf or equivalent relevant experience from other areas.










d)


That the applicant has the satisfactory financial capacity to carry out exploration for and, as appropriate, production of petroleum in the geographical area in question.










e)


If the applicant is or has been a licensee in a license, the Ministry may take into account any form of inefficiency or lack of accountability demonstrated by the applicant as a licensee.










f)


Production licences will mainly be awarded to a joint venture where at least one participating interest have drilled at least one well on the Norwegian Continental Shelf as operator or have equivalent relevant operational experience outside the NCS.










g)


Production licences will mainly be awarded to two or more participating interests, where at least one has experience as mentioned under f)










h)


The appointed operator for production licences in the Barents Sea shall have drilled at least one well on the Norwegian Continental Shelf as operator or have equivalent relevant operational experience outside the NCS.










i)


For production licences in deep waters, both the appointed operator and at least one other participating interest shall have drilled at least one well on the Norwegian Continental Shelf as operator or have equivalent relevant operational experience outside the NCS. In the production licence one participating interest shall have drilled in deep waters as operator.










j)


For production licences where drilling of exploration wells in high pressure and/or high temperature (HTHP) is expected, the appointed operator and at least one other participating interest shall have drilled at least one well on the Norwegian Continental Shelf as operator or have equivalent relevant operational experience outside the NCS. In the production licence one participating interest shall have drilled a HTHP-well as operator.





Blocks available for application

The geographical area for which applications may be submitted is the area on the Norwegian Continental Shelf predefined for this licensing round. Applications for participating interests in production licences may be submitted for the blocks that are not licenced within the predefined area, and for blocks or parts of blocks that have been relinquished within the predefined area before the expiry of the deadline for submission of applications.
The full text of the announcement, including detailed maps of available areas may be found on the web-page of the Norwegian Petroleum Directorate www.npd.no/apa2014, or by contacting the Ministry of Petroleum and Energy, tel. +47 22246209.
Applications for petroleum production licences shall be submitted to:





Ministry of Petroleum and Energy




PO Box 8148 Dep.




NO-0033 Oslo




NORWAY




Two copies shall be submitted to:





The Norwegian Petroleum Directorate




PO Box 600




NO-4003 Stavanger




NORWAY





Deadline: 12.00 AM on 2 September 2014

The awards of petroleum production licenses in the Awards in Predefined Areas 2014 on the Norwegian Continental Shelf will take place 90 days after the date of publication of the invitation to submit applications and are planned for end of 2014/early 2015, but no later than 30 March 2015.