Efforts to attract oil companies for exploration in Faroe Islands’ eastern continental shelf

Efforts are underway to attract oil companies to explore in the Faroe Islands, with a focus on the eastern continental shelf. The Geological Survey of the Faroe Islands has been actively engaged in enhancing the understanding of the geology in this region to facilitate resource assessments for interested parties.

Currently, there are 12 exploration licenses either fully or partially located within Faroese waters. The Foreign Affairs and Trade Ministry has conveyed this information to the financial committee of Parliament.

The initiative aims to highlight specific opportunities for exploration in the Faroe Islands and to clarify future actions of oil companies, especially in light of recent changes to tax regulations in the United Kingdom. The current tax rate on oil and gas production in the UK stands at 78 percent.

To further these discussions, the Geological Survey plans to participate in the BEOS oil conference in London this coming March.