UK/Norway Oil and Gas Co-operation Treaty
On 4th April 2005, UK and Norwegian Energy Ministers signed the UK/Norway Oil and Gas Co-operation Treaty. The treaty removes the need for negotiating separate (and time-consuming) treaties for specific projects in the North Sea and paves the way for unprecedented co-operation on North Sea oil and gas projects between the two States.
The new treaty covers:
- the Langeled South pipeline to the UK delivering gas from Norway's Ormen Lange field and other Norwegian fields to Easington in Yorkshire
- the development of any future oil and gas reservoirs which straddle the maritime boundary
- the use of infrastructure on one continental shelf (eg a platform) to develop a reservoir across the boundary
There is already tangible evidence that the process of co-operation is working. During the negotiations on the new treaty in 2004, an innovative approach was adopted by the two Governments and the commercial participants concerned to enable two small oil fields, Playfair and Boa (with small extensions across the continental shelf boundary) to be developed by the licensees of the State with the majority interest. Since the treaty was signed, two trans-boundary developments, Enoch and Blane, have already been approved by the two Governments.