Norway to join China’s CNOOC in oil exploration off Iceland

Offshore staff

OSLO, Norway – Norway's oil ministry said that Norway will team up with Chinese oil firm CNOOC to explore for oil offshore Iceland. Under a 1981 treaty, Norway has a right to take a 25% stake in Iceland's oil licenses, and the Norwegian government decided to exercise this right to join an exploration license with CNOOC in the waters between Iceland and Norway’s Jan Mayen Island.

Iceland awarded its first two licenses in January, in which Norway decided to participate. In June, it gave another license to CNOOC and Icelandic firm Eykon Energy, the first for a Chinese firm to look for oil in the Arctic, which, according to a US geological survey, could hold some 90 Bboe.

11/25/2013