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Repsol to Shut Unprofitable Norwegian Oil Field

  • Floating production vessel due to leave Varg field in August
  • Remaining reserves are 8.7 million barrels of oil equivalent

Repsol SA plans to shut down its unprofitable Varg oil deposit in the North Sea, the first time a Norwegian field will be closed because of the crude-price collapse.

“Varg has been cash-negative since August 2015,” the company said in a Dec. 1 presentation to Norway’s Petroleum Safety Authority obtained by Bloomberg. Further investments in the field aren’t economical, it said.