Released August 19, 2025 | GALWAY, IRELAND
en
Written by Martin Lynch, European News Editor for Industrial Info (Galway, Ireland)--Norway's northernmost oil field, Johan Castberg, has been officially inaugurated, highlighting the importance that the Barents Sea will play in slowing the expected decline in production beyond the 2030s.
Located 240 kilometers (km) north of Hammerfest, it is the the third producing field in the Barents Sea after the Snøhvit and Goliat fields. The field will produce for 30 years and at its peak will be able to produce 220,000 barrels of oil equivalent per day (Boe/d), according to lead developer Equinor (NYSE:EQNR) (Stavanger, Norway). The field consists of the three discoveries: Skrugard, Havis and Drivis, which were made between 2011 and 2013. It has estimated recoverable volumes of between 450 million and 650 million barrels.
Inaugurating the site, Norway's Minister of Energy Terje Aasland said: "The government wants to develop our petroleum sector. The Barents Sea is important for that. With Castberg in production, the Barents Sea now has both our second largest producing oil field, our second largest gas field and the largest discovery being considered for development. In addition, it has a large share of undiscovered resources. In order to slow the expected decline in production beyond the 2030s, the Barents Sea plays a key role." Industrial Info is tracking nine active Johan Castberg projects worth US$5.8 billion. Subscribers to Industrial Info's Global Market Intelligence (GMI) Project Database can click here for the reports.
Kjetil Hove, Equinor's executive vice president for Exploration & Production Norway, said: "This is a red-letter day. The Barents Sea is becoming increasingly important for Norway's role as a long-term energy exporter, and Johan Castberg will produce safely and efficiently for at least 30 years. We are well underway and have already made new discoveries in the area." Aasland pointed to the "ripple effects" benefits in Norway's northern territories with Norwegian supplier industries accounting for over 70% of deliveries to the project. "The Castberg field is a good example of the positive ripple effects of offshore production on the mainland. With Castberg, there are three fields in production in the Barents Sea. This provides secure jobs in the local business community and a basis for new assignments over the long term." Most recently, Aasland has promised to bring back annual oil and gas licensing in the country's waters to boost exploration and production: "[Norway needs] more discoveries and new production to continue to deliver the energy Europe needs. Therefore, the Labour Party government has today started the work of announcing the 26th licensing round on the Norwegian shelf. And we reiterate that we will continue to ensure stable access to acreage through annual licensing rounds. We will search more, find more and extract more."
Johan Castberg is an important field for Equinor and the country, which has become the leading gas supplier to Europe since Russia's invasion of Ukraine in 2022. Last year, Norway saw record levels of investment of almost US$23 billion in its oil and gas (O&G) sector. Statistics Norway revealed that total 2024 investments in oil and gas activity, including pipeline transportation, were US$22.9 billion, up US$1.1 billion on estimates made in the previous quarter. The jump of just over 5% was attributed to far-higher investment activity this year on the many developments that were started late in 2022 as well as cost inflation in the industry. The institute expects 2025 to continue this upward trend with an estimate of 8.9% higher than the estimate given for 2024 at the end of 2023. For additional information, see November 27, 2024, article - Norway Sees Record Oil & Gas Investment in 2024.
Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, IIR is tracking over 200,000 current and future projects worth $17.8 Trillion (USD).
Located 240 kilometers (km) north of Hammerfest, it is the the third producing field in the Barents Sea after the Snøhvit and Goliat fields. The field will produce for 30 years and at its peak will be able to produce 220,000 barrels of oil equivalent per day (Boe/d), according to lead developer Equinor (NYSE:EQNR) (Stavanger, Norway). The field consists of the three discoveries: Skrugard, Havis and Drivis, which were made between 2011 and 2013. It has estimated recoverable volumes of between 450 million and 650 million barrels.
Inaugurating the site, Norway's Minister of Energy Terje Aasland said: "The government wants to develop our petroleum sector. The Barents Sea is important for that. With Castberg in production, the Barents Sea now has both our second largest producing oil field, our second largest gas field and the largest discovery being considered for development. In addition, it has a large share of undiscovered resources. In order to slow the expected decline in production beyond the 2030s, the Barents Sea plays a key role." Industrial Info is tracking nine active Johan Castberg projects worth US$5.8 billion. Subscribers to Industrial Info's Global Market Intelligence (GMI) Project Database can click here for the reports.
Kjetil Hove, Equinor's executive vice president for Exploration & Production Norway, said: "This is a red-letter day. The Barents Sea is becoming increasingly important for Norway's role as a long-term energy exporter, and Johan Castberg will produce safely and efficiently for at least 30 years. We are well underway and have already made new discoveries in the area." Aasland pointed to the "ripple effects" benefits in Norway's northern territories with Norwegian supplier industries accounting for over 70% of deliveries to the project. "The Castberg field is a good example of the positive ripple effects of offshore production on the mainland. With Castberg, there are three fields in production in the Barents Sea. This provides secure jobs in the local business community and a basis for new assignments over the long term." Most recently, Aasland has promised to bring back annual oil and gas licensing in the country's waters to boost exploration and production: "[Norway needs] more discoveries and new production to continue to deliver the energy Europe needs. Therefore, the Labour Party government has today started the work of announcing the 26th licensing round on the Norwegian shelf. And we reiterate that we will continue to ensure stable access to acreage through annual licensing rounds. We will search more, find more and extract more."
Johan Castberg is an important field for Equinor and the country, which has become the leading gas supplier to Europe since Russia's invasion of Ukraine in 2022. Last year, Norway saw record levels of investment of almost US$23 billion in its oil and gas (O&G) sector. Statistics Norway revealed that total 2024 investments in oil and gas activity, including pipeline transportation, were US$22.9 billion, up US$1.1 billion on estimates made in the previous quarter. The jump of just over 5% was attributed to far-higher investment activity this year on the many developments that were started late in 2022 as well as cost inflation in the industry. The institute expects 2025 to continue this upward trend with an estimate of 8.9% higher than the estimate given for 2024 at the end of 2023. For additional information, see November 27, 2024, article - Norway Sees Record Oil & Gas Investment in 2024.
Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, IIR is tracking over 200,000 current and future projects worth $17.8 Trillion (USD).
