PGNiG Signs Contract for Sale of Oil from Its Norwegian Deposits to Shell

Polish fuel giant PGNiG has signed a contract for the sale of oil from its Norwegian deposits to Shell. The agreement, which was finalized on Thursday, is for an unspecified amount of time but PGNiG is already estimating that it will be worth $1.1 billion in the next five years, reported Gazeta Wyborcza.

The production of oil from the Skarv deposits, located in the waters of the North Sea belonging to Norway, will most likely begin in Q1 of 2012. This is despite PGNiG’s initial production target being August 2011.

PGNiG predicts that it will produce 250,000 of crude oil and 240 million cubic meters of natural gas from the deposits.


Source: wbj, October 21, 2011