Perspectives for the Norwegian continental shelfJan Rosnes, VP Projects and strategy

Pareto presentation 29. August

Pareto presentation 29. August 2

From oil and gas to money to more money

Norges Bank - NBIM

Yearly SDFIcash flow

~100 bill. NOK

6

19

24

256

62

60

T rondheim

Kristiansund

Ber genOslo

Stavanger

Harstad

5

5

1 23

4

10987

15 16 17 18

26 27

32

31

29

3433 35

62026203

6204

36

67

65

42

Pareto presentation 29. August 3

Overview key subjects on NCS

• High oil price – opportunity and challenge

• Production and reserve replacement – two thoughts at the same time

• Structural changes – diversity required

• Climate change– increased environmental attention

• Competence – development, education, recruitment

12

6

19

24

256

62

60

58

T rondheim

Kristiansund

Ber genOslo

Stavanger

Harstad

5

5

1 23

4

1110987

15 16 17 18

26 27

32

31

29

3433 35

62026203

62046205

36

70

14

12

10

8

20 22

24

26

28 30

18 16

32

72

74

7120

7122

67

65

6

42

Pareto presentation 29. August 4

Two thoughts at the same time

Source: NPD

Pro

du

ksjo

nExplora-

tionDevelop-

mentPlateau Mature Tail-end

0-20% 21-50% 51-95% 96-100%

Trol

l gas

sVi

sund

G

jøa

Statfjord Nord

Heidrun

Kristin 72%

Ormen LangeSnøhvit 16 %

Åsgard

Statfjord øst

Oseberg

Tune

Ekofisk 88%Gullfaks

Grane

Kvitebjørn Snorre 80%Vigdis 83%

Tordis Draugen

Norne

Troll olje Veslefrikk

New discoveries in new areas

Make the mostof mature areas

Pareto presentation 29. August 5

Production level hinges on major fields

Time critical to maximize value from these fields and surrounding areas

Source: NPD/MPE

Pareto presentation 29. August 6

Existing large fields dominate NCS for the next decade

Both on capital and operational expenditure

Kilder: OLF, McKinsey

Pareto presentation 29. August 7

Undiscovered resources - two important focus areas

30% 35%

35 %

30%35%

35%

North Sea Norwegian Sea Barents Sea

35%

35%

30%

Total: 3.4 billion Sm3 oe

Pareto presentation 29. August 8

• Norwegian Sea

• West of Lofoten

• Barents Sea North

• Eastern Barents Sea

• Jan Mayen

• Skagerrak

?

?

?

?

?

In addition to the estimated undiscovered resources; there is also a potential in other regions

Pareto presentation 29. August 9

Two thoughts at the same timePro

du

ksjo

n

Exploration Develop-ment

Plateau Mature Tail-end

0-20% 21-50% 51-95% 96-100%

Trol

l gas

s

Visu

ndGjø

aStatfjord Nord

Heidrun

Kristin

Ormen LangeSnøhvit

Åsgard

Statfjord øst

Oseberg

Tune

EkofiskGullfaks

Grane

Kvitebjørn SnorreVigdis

TordisDraugen

Norne

Troll oljeVeslefrikk

New discoveries in new areas

(Petoro focus: Norwegian sea, Barents sea)

Make the mostof mature areas

(Petoro focus: Tampen, Oseberg, Troll,Haltenbanken)

Year 2015

Pareto presentation 29. August 10

Diversity still important for NCS

= 82 % av produksjon

}

Kilde: Econ

Petoro

Pareto presentation 29. August 11

Newcomers contributes to diversity ….. but mainly for exploration in mature areas

Source: St.prp.60 (2006-2007

Pareto presentation 29. August 12

Overview key subjects on NCS

• High oil price – opportunity and challenge

• Production and reserve replacement – two thoughts at the same time

• Structural changes – diversity required

• Climate change– increased environmental attention

• Competence – development, education, recruitment

12

6

19

24

256

62

60

58

T rondheim

Kristiansund

Ber genOslo

Stavanger

Harstad

5

5

1 23

4

1110987

15 16 17 18

26 27

32

31

29

3433 35

62026203

62046205

36

70

14

12

10

8

20 22

24

26

28 30

18 16

32

72

74

7120

7122

67

65

6

42