Minerals Report - International Seabed Authority
Minerals Report - International Seabed Authority Minerals Report - International Seabed Authority
to the data when an area is relinquished, Dr. Nyland responded that data on that area immediately becomes public. Another participant observed that the role of STATOIL seems to have changed. This participant asked Dr. Nyland to provide some information on the drivers behind that change. Dr. Nyland said that STATOIL and NPD were both created in 1972. She said in the case of STATOIL, the objective of the Kingdom of Norway was to have a state-owned oil company to participate in petroleum activities. In the case of NPD, Dr. Nyland said that the Kingdom decided to create a regulatory body that was not involved in petroleum development activities. She also said that they were designed in such a way that the relationship between them was as with other oil companies on the Norwegian shelf. She said that from its formation, and to assist it to grow, STATOIL was given a fifty per cent share in all blocks. Additionally under Norway’s petroleum legislation, oil companies were required to train STATOIL staff. Dr. Nyland said that during this period, STATOIL also handled the state’s direct financial interest in other petroleum activities, including the economic and financial sides of SDFI. Under the circumstances, Dr. Nyland said that the costs of STATOIL were carried, because the license paid for its interest. Dr. Nyland also said that over the years, STATOIL grew and as it became more competitive, the legislation created for it started to cause problems. She said that in 1985, the issue of what constituted the state’s direct share and STATOIL’s share in a license became very confusing. The state therefore decided to separate the shares by fixing its direct interest and making STATOIL’s share more transparent. The same participant recalled that Dr. Nyland had said that for data sharing, trust between the regulator and the companies was an absolute necessity. This participant asked Dr. Nyland how Norway had been able to achieve this. In response, Dr. Nyland said that the Norwegian authorities had worked very closely with the companies. She said that from the beginning for example, the framework conditions and regulations were sent to industry members for their evaluation. On the part of the industry, Dr. Nyland said that it established a coordinating body to deal with the authorities. Dr Nyland said that during the concession round, the Norwegian authorities concentrated on the use of the data, and convincing those concerned that their data were not being shared with other companies but were only for the use of INTERNATIONAL SEABED AUTHORITY 816
the authorities. She said that presently, the industry is eager to provide data as well as to discuss their interpretation and evaluation of their data. She commented that the large, technical staff members of NPD helps in this process because it is as qualified as their counterparts in industry are. One participant suggested that the model utilized by NPD would be useful not only for the International Seabed Authority but also for other nations trying to develop such an industry. Dr. Nyland pointed out that a number of countries have expressed interest in Norway’s approach. She said that interest has been shown in the data management side as well as in the licensing policy. She said that NPD has collaborations with the United States Bureau of Mines, Australia, India, Namibia, Tanzania, Mozambique, South Africa, Angola, Mexico, Brazil and Venezuela. Dr. Nyland was asked if NPD had an administrative role in environmental management. Dr. Nyland said that NPD coordinates the inputs of the national pollution agency as well as those of the Department of Environment. She said that in this regard NPD is to try to ensure that the environment is fully protected during offshore petroleum development. She said that for example if flaring is to occur, or substances discharged into the sea, it is reported to NPD, which in turn directs the request to the concerned environmental agency. INTERNATIONAL SEABED AUTHORITY 817
- Page 774 and 775: The stated purpose of the Minerals
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to the data when an area is relinquished, Dr. Nyland responded that data on<br />
that area immediately becomes public.<br />
Another participant observed that the role of STATOIL seems to have<br />
changed. This participant asked Dr. Nyland to provide some information on<br />
the drivers behind that change. Dr. Nyland said that STATOIL and NPD<br />
were both created in 1972. She said in the case of STATOIL, the objective of<br />
the Kingdom of Norway was to have a state-owned oil company to participate<br />
in petroleum activities. In the case of NPD, Dr. Nyland said that the Kingdom<br />
decided to create a regulatory body that was not involved in petroleum<br />
development activities. She also said that they were designed in such a way<br />
that the relationship between them was as with other oil companies on the<br />
Norwegian shelf. She said that from its formation, and to assist it to grow,<br />
STATOIL was given a fifty per cent share in all blocks. Additionally under<br />
Norway’s petroleum legislation, oil companies were required to train<br />
STATOIL staff. Dr. Nyland said that during this period, STATOIL also<br />
handled the state’s direct financial interest in other petroleum activities,<br />
including the economic and financial sides of SDFI. Under the circumstances,<br />
Dr. Nyland said that the costs of STATOIL were carried, because the license<br />
paid for its interest. Dr. Nyland also said that over the years, STATOIL grew<br />
and as it became more competitive, the legislation created for it started to<br />
cause problems. She said that in 1985, the issue of what constituted the state’s<br />
direct share and STATOIL’s share in a license became very confusing. The<br />
state therefore decided to separate the shares by fixing its direct interest and<br />
making STATOIL’s share more transparent.<br />
The same participant recalled that Dr. Nyland had said that for data<br />
sharing, trust between the regulator and the companies was an absolute<br />
necessity. This participant asked Dr. Nyland how Norway had been able to<br />
achieve this. In response, Dr. Nyland said that the Norwegian authorities had<br />
worked very closely with the companies. She said that from the beginning for<br />
example, the framework conditions and regulations were sent to industry<br />
members for their evaluation. On the part of the industry, Dr. Nyland said<br />
that it established a coordinating body to deal with the authorities. Dr<br />
Nyland said that during the concession round, the Norwegian authorities<br />
concentrated on the use of the data, and convincing those concerned that their<br />
data were not being shared with other companies but were only for the use of<br />
INTERNATIONAL SEABED AUTHORITY 816