DNO needs to see rapid growth on the NCS to reach its ambitious 50 by 50, 50 000 barrels per day in production by the company’s 50th anniversary in 2021.
DNO is the oldest oil and gas company in Norway, founded in 1971. With its 50th anniversary coming up in 2021, the company has set a high target through its 50 by 50 ambition (50 000 barrels of oil per day (bopd) production on the Norwegian continental shelf (NCS) by the 50th anniversary).
– We are looking to grow on the NCS, said Elisabeth Femsteinevik, Deputy Exploration Manager North Sea and Norwegian Sea at DNO Norge, during the NCS Exploration Strategy 2019 conference in Stavanger on November 21th.
During the first half of 2019, DNO produced on average 16 900 bopd. That means one or several aquisitions will be needed to reach the company’s target.
However, Femsteinevik also said DNO will continue to grow through exploration and maturing its portfolio which includes 86 licences on the NCS.
In 2020, the company may drill up to five exploration wells in the North Sea, three in the Norwegian Sea and one in the Barents Sea.
– Looking further out, our target is about 6 – 8 exploration wells per year.
The best possible database
While DNO started its activities on the NCS in the early 1970s, it has since ventured out abroad and become a significant player in the Middle East with production in Kurdistan and exploration and development assets in Yemen.
DNO re-entered Norway in 2017 with the aquisition of Origo Exploration and expanded its Norwegian footprint this year by aquiring Faroe Petroleum.
– As such, we are a new company and currently focusing on managing our portfolio and our opportunities. We have a broad and diverse portfolio of assets spread over different trap types, exploration themes (frontier, growth and infrastructure driven exploration), risk categories and plays.
According to Femsteinevik, the company’s philosophy when it comes to making good decisions on their exploration portfolio is to first and foremost have the best possible database.
– Tools and new technology are important as well, but those won’t help you if you start out with poor data.