Norway will continue developing oil and gas resources in the Arctic, despite the European Union's (EU) policy aimed at stopping new fossil fuel projects in the region, according to a senior Norwegian government official.
Norwegian Energy Minister Terje Aasland said the country will continue developing reserves in the Barents Sea. While the EU currently supports a ban on new drilling in the Arctic for environmental reasons, the bloc is reconsidering its policy due to energy security concerns.
"In the current geopolitical and security context, along with the resource situation, I believe continued activity in the Barents Sea serves the interests of both Norway and Europe," Aasland said ahead of Norway's biennial ONS energy conference, which opened on Monday.
Europe has become dependent on Norway as its largest natural gas supplier since Russia invaded Ukraine in 2022. The Nordic country meets about 30% of the EU's and the UK's gas demand.
With the war between the US and Iran also tightening energy markets, consumers are beginning to reconsider policies.
Norway has argued to EU officials that the Barents Sea areas opened for oil and gas activity are ice-free, thus posing less risk of oil spills and other environmental impacts.
"We will develop these areas, and the EU will decide whether they impose a ban on buying that gas or oil," Aasland said.
The CEO of Equinor, Norway's largest oil company, Anders Opedal, said oil and liquefied natural gas (LNG) from the Barents Sea could be shipped anywhere in the world if the EU refuses.
"The only thing affected is European security. We have flexibility," Opedal told Reuters on the sidelines of the ONS conference.
Oslo's approach is supported by the industry. French oil company Total will appoint a new exploration director to consider new projects in Norway, CEO Patrick Pouyanne told Norwegian television.
Describing Norway as a natural energy supplier to Europe, Pouyanne said Total hopes to expand its market share as EU countries seek resources and new sea routes closer to home, amid global trade disruptions caused by the US-Israeli war targeting Iran.
