Norway’s tax relief to boost rig demand but UK demand to take the biggest hit, Rystad says

Norway’s recent tax relief package for the oil and gas industry is expected to cut breakeven prices by 40 per cent, thereby boosting the country’s rig demand while the UK’s plunges, according to Rystad Energy.

A Rystad Energy assessment of the temporary tax relief package for the petroleum industry that Norway recently approved reveals that the move will improve exploration and production companies’ short-term liquidity and reduce breakeven prices for future development projects by about 40 per cent on average.

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