Norwayâs oil major Statoil clinched a giant gas export deal with British Gas Trading, paving the way for a new North Sea pipeline that could tighten its grip on a growing UK market. Statoil said it would supply British Gas with 5.0 billion cubic metres (bcm) of gas per year for 10 years from October 2005, worth up to 50 billion crowns ($6.35 billion). The deal could spur construction of a new NOC 5â6 billion pipeline between Norway and Britain. âLooking at sales and production in the UK market, we estimate that there will be a need for a new pipeline around 2006-2008,â? a company official said, adding a final pipeline decision would be made in late 2002 or early 2003.
Statoilâs UK Managing Director Rune Bjornson told a news conference in London there were four alternatives to create a gas transport hub from Norway to the UK and continental Europe. He said Statoilâs preferred option was to link its Sleipner gas field to the UK Miller gas field which has a pipeline running to the St Fergus gas terminal in northern Scotland. Other alternatives were to link Sleipner with the Teesside terminal in NE England or with a Bacton terminal in SE England.