PGNiG Upstream Norway, a subsidiary of the Polish oil and gas company PGNiG will buy all assets on the Norwegian Continental Shelf of global petrochemicals manufacturer INEOS Group, which includes 22 production licences and an interest in the Nyhamna terminal.
The hydrocarbon resources to be acquired by the PGNiG Group amount to 117 million barrels of oil equivalent and will increase PGNiG’s Norwegian resources by approximately 55 per cent. Therefore, following the transaction, the PGNiG Group’s annual gas production in Norway is expected to reach 4 billion cubic metres (bcm) in 2027.
“The transaction is of particular importance to PGNiG,” said Paweł Majewski, President of the PGNiG Management Board. “Acquisition of the INEOS E&P Norge assets means a sharp increase in our gas output in Norway and will ensure considerable gas volumes for the Baltic Pipe. Therefore, it will contribute significantly to the implementation of the PGNiG Group’s strategic objectives.”
Mr Majewski stressed that the characteristics of the new fields are well aligned with the PGNiG Group’s Strategy as natural gas accounts for some 94 per cent of the resources to be acquired.
“Our activities in Norway are closely linked to Poland’s energy security,” he added. “Starting from 2022, gas from the Norwegian fields will be transported to Poland through the Baltic Pipe. This will result in a greater diversification of the sources of gas imports, which is a guarantee of uninterrupted supplies of the fuel whose role in Poland’s economy is constantly growing. For PGNiG, diversification of the gas portfolio means more flexibility and the ability to offer attractive commercial terms to our customers.”