Invitation

The Royal Ministry of Petroleum and Energy (the Ministry) hereby announces an invitation to apply for licence on the Norwegian Continental shelf, in accordance with the Regulations of 5 December 2014 No. 1517 relating to exploitation of subsea reservoirs on the continental shelf for storage of CO₂ and relating to transportation of CO₂ on the continental shelf (the Storage Regulations).

Permit awards are conditional on the applicant having the financial strength, the technical and geological competence and reliability that are considered necessary to conduct activity in accordance with the Storage Regulations.

The purpose of the announcement is to invite qualified companies to submit applications for the award of permits in accordance with the Storage Regulations.

The announcement covers two geographical areas, one area in the Barents Sea and one area in the North Sea, see attached maps and coordinates.

Within the relevant area, the application should describe the reservoirs the applicant wishes to map or has mapped as suitable for storing CO2 and state the coordinates for the area the permit is to cover.

If a permit is granted in accordance with the Storage Regulations to multiple corporate bodies together, all participants must meet the conditions for award of the permit. In such a case, terms and conditions may be set as regards company structure and liability between the participants, and that a partnership agreement is entered into for the activity in accordance with the permit, cf. the Storage Regulations, Sections 3-1 and 4-1, last subsection.

In the event a permit is awarded, terms and conditions will be stipulated for the completion of the work program within a deadline set by the Ministry. If the work obligation is not fulfilled within this deadline, the permit will lapse unless the Ministry agrees to extend the deadline.

Special environmental and fishery conditions may be set for the permit.

The Ministry reserves the right to negotiate with the applicant (s) on the following:
a) Area of the permit.

b) Duration of the permit

c) Work obligation with timetable, including deadline for submission of plan for development and operation (PDO).

d) Terms and conditions for post-operation and transfer of responsibility to the State, represented by the Ministry of Petroleum and Energy.

The Ministry may grant permits to several applicants together and may appoint an operator.

The following criteria will be used when granting a permit in accordance with the Storage Regulations, the potential composition of licensee groups, and when designating an operator:

a) The applicant(s)'s knowledge of the geology in the relevant geographical area and how the licensee plans to carry out a further effective mapping of the area and a plan for storing CO2 in the relevant reservoirs.

b) The applicant(s)'s relevant technical competence, as well as how this can actively contribute to cost-effective activities under the permit.

c) That the applicant(s) has/have satisfactory systems for quality assurance and HSE.

d) That the applicant(s) has/have satisfactory financial capacity to carry out all activities under the permit.

e) The applicant (s)'s proposed work program and terms/conditions for post-operation and transfer of responsibility to the State, represented by the Ministry of Petroleum and Energy.

f) The applicant(s)'s experience with CO2 storage on the Norwegian continental shelf or equivalent relevant experience from other areas, including experience in planning and developing storage sites for CO2, oil and gas fields, or geological gas storage reservoirs.

g) The permit will as a general rule be granted to a partnership where at least one licensee as part of petroleum activities or CO2 storage, has drilled at least one well on the Norwegian continental shelf as operator or has equivalent relevant operational experience outside the Norwegian continental shelf.

h) The company appointed as an operator for a license in accordance with the Storage Regulations in the Barents Sea shall, as part of petroleum activities or CO2 storage, have drilled at least one well on the Norwegian continental shelf as operator or have equivalent relevant operational experience outside the Norwegian continental shelf.

The Ministry may, on the basis of applications received, decide whether an exploration permit or an exploitation permit is to be granted. An application for a permit must contain the information specified in the Storage Regulations. Reporting of financial and company matters shall be in line with the guide for application letter and company information (pdf)

Information of any kind that is communicated to the authorities in connection with the application will be subject to confidentiality until the permit has been granted, cf. the Storage Regulations, Section 11-20. Thereafter, the information will be subject to confidentiality to the extent that this follows from the Public Administration Act for a period of 20 years, cf. the Public Administration Act, Section 13 c) third paragraph.

A processing fee of NOK 109,000 must be paid in connection with submission of each application.

If several companies apply for a permit together, this is considered one application. In this case, one of the companies will be responsible for total payment of the application fee.

Payment shall be made to the state, c/o the Norwegian Petroleum Directorate, account no.: 7694.05.00326. The payment must be marked "Application in accordance with the Storage Regulations”. A copy of the receipt for the fee paid must be attached to the application.

The King in Council may decide that one or more permits shall be granted within the advertised areas but is not obliged to grant permits on the basis of applications received.

Application for licences shall be submitted to the Ministry in electronic format, with copies to the Ministry of Labour and Social Affairs, the Norwegian Petroleum Directorate and the Petroleum Safety Authority Norway in the same format.

The application shall be marked as follows:

"Application for a permit in accordance with the Storage Regulations",

and sent to;

The Royal Ministry of Petroleum and Energy
Section for Exploration
PO Box 8148 Dep
0033 Oslo

via L2S or Altinn

Copies shall also be sent via L2S or Altinn to:

Ministry of Labour and Social Affairs

Norwegian Petroleum Directorate

Petroleum Safety Authority Norway

Applications must be received by 12.00 a.m. on 9 December 2021

All applications received by the mentioned time are considered to have been received at the same time.