Challenges in the optimal management of remaining petroleum resources

Continued growth in world economy is very much dependent on our ability to manage natural resources in an optimal manner. In this task we face several challenges. Developing alternative energy sources may take few decades. In the meantime we will continue to rely on fossil energy. However, growth in petroleum resources seems to fall short of projected demand. The remaining resources are progressively becoming more challenging in terms of size, accessibility and financing. In addressing this challenge we must face environmental and energy saving requirements both in the extraction and utilization phases. All this calls for great technological, financial, contractual and institutional achievements on local and global scales.
Turning to supplies in the medium term, the majority of remaining petroleum reserves is in the hands of national oil companies. The challenge of optimal recovery, particularly in aging giant fields calls for sophisticated modern technologies and state-of-the-art field practices. The question of putting in place optimal organisational and contractual solutions for equitable co-operation among host countries, international oil companies and the service industry requires great understanding and good-will negotiations.
Valuable solutions to some of the above challenges have been developed in the Norwegian approach. Some of the solutions may prove useful in pointing the way forward.