Norway plans to restart production in previously closed North Sea oil fields while the UK scales back its operations

Norway Revives North Sea Oil and Gas Operations

Norway is set to tap into billions of pounds worth of fossil fuels by reopening previously closed oil and gas fields in the North Sea, many of which are located near British waters.

According to a recent report from a Norwegian government agency, advancements in extraction technology have made it feasible to revisit fields that were once deemed too costly to operate.

This approach stands in sharp contrast to the UK’s current stance. In 2024, Energy Secretary Ed Miliband implemented a ban on new oil and gas drilling projects.

Industry analysts suggest that Norway’s proactive strategy in energy exploration highlights the UK’s increasing dependence on foreign imports, with some describing Britain as an “unwise neighbour.”

Norwegian officials state that this initiative will allow the country to sustain high levels of oil and gas output for at least another decade. Last year, Norway’s production reached its highest point in sixteen years.

The fields targeted for reopening include sections of the Ekofisk reserve in Norway’s southern North Sea, close to the UK border. Experts have long maintained that many dormant UK fields could also be lucrative if reactivated.

“A key factor behind our sustained high production is that fields are operating well beyond their original timelines, thanks to ongoing technological improvements that deepen our understanding of the subsurface,” the Norwegian Offshore Directorate reported.

“New projects, additional wells, and exploration in adjacent areas have extended the productive life of most fields. Many are now producing 10 to 30 years longer than first anticipated. Some fields that had ceased production are now being reconsidered for reopening.”

UK Faces Declining Domestic Production

By 2030, approximately 180 out of 280 UK oil and gas fields are expected to close, and the offshore industry is losing around 1,000 jobs each month. Over the past year, the UK spent £20.6 billion on oil and gas imports from Norway.

This trend is driving the UK’s reliance on foreign energy sources ever higher. Government forecasts indicate that by 2035, the UK will still require nearly 40 billion cubic metres of gas and 40 million tonnes of oil products annually.

However, domestic gas output is projected to fall from 30 billion to just 7 billion cubic metres, while oil production could drop from 35 million to 13 million tonnes. As a result, the UK may become 80% dependent on imports, primarily from Norway and the United States.

Ashley Kelty of Panmure Liberum investment bank commented, “It’s illogical to shut down our own production only to increase our reliance on imports.”

“Recently, Ed Miliband celebrated a deal to purchase £10 billion worth of Norwegian gas—the very same day Norway announced its largest ever licensing round. The Norwegians are well aware that their neighbour will buy whatever they produce, regardless of the price.”

Untapped Potential in UK Waters

Data from the North Sea Transition Authority indicates that UK waters still contain at least 14 billion barrels of recoverable oil and gas, with the potential for more than 20 billion. Since 1970, about 48 billion barrels have been extracted.

Despite this, a spokesperson for the UK Energy Department reaffirmed the government’s position against new exploration in the North Sea, stating that additional oil and gas would not lower energy bills, would not enhance energy security, and would only worsen the climate crisis.