Norway’s petroleum industry has been through another demanding year. With an oil market characterised in recent years by substantial oversupply, crude prices have more than halved since the autumn of 2014 from a relatively stable level of more than USD 100 per barrel. This has prompted cost reductions in the order of 30-40 per cent. The other side of this coin is that the industry has shed some 40 000 workers.
This year’s business trend report has been given the title Towards better times. Oil prices appear to have bottomed out, and supply and demand in the market could be back in balance during 2017.