Price level stops StatoilHydro projects
StatoilHydro believe that the current price level for oil will last for a long period. This force the company to adjust some of their future development plans. The costs are too high compared to the income. Therefore the Norwegian energy company is evaluating 40 of their planned projects on Norwegian continental shelf.
Øystein Michelsen in StatoilHydro calls on the entire Norwegian petroleum industry to cut costs in order to manage trough the period of low prices. He believes that if nothing happens, than it will have consequences for many companies. It is especially new projects which will be difficult to make profitable.