Norwegian oil and gas investment is expected to grow to US $21.2 billion in 2020

Norway's oil and gas investment is expected to grow 3.8% next year to NOK 194.6 billion ($21.2 billion), according to the Norwegian oil and Gas Association (nog), which will decline in the next few years. Nog had previously predicted that investment in 2020 would reach SEK 182.5 billion. The association said the increase was driven by the rising cost of some projects, but there was no sign of a sharp rise in inflation. Norway, the largest oil and gas producer in Western Europe, is expected to increase its annual production in 2020 due to the launch of the johansverdrup field in the North Sea in October. The investment forecast is based on a survey of 13 companies operating oil and gas fields in Norway. Nog added that investment is expected to fall to 170.7 billion kroner in 2021 and 163.3 billion kroner in 2022, compared with previous expectations of 168 billion kroner in 2021 and 156.5 billion kroner in 2022. Nog said the reason for the increase in the forecast is that mining activity is expected to increase as companies come up with more projects and invest in technology to improve mining rates. Another survey by Statistics Norway in November showed that oil and gas investment in 2020 will reach 182.6 billion kroner, a five-year high. Nog said the increase was mainly due to the inclusion of more items in the survey, such as the balderx project of vaarenergi, a subsidiary of Eni group.