Norwegian interests look south

Norwegian companies are looking toward Louisiana and the expansion of their approximately $20 billion a year in revenue to expand operations, create jobs and exchange in trade.

During a meeting last Wednesday between Tri-parish-area business leaders and a delegation of executives from Norway, opportunities were explored in building a partnership of common commerce between products of the warm Gulf of Mexico and the frigid North Sea.

“This could mean a great deal to this community,” Terrebonne Economic Development Authority CEO Steve Vassallo said. “We’ve already identified three or four tracts that we could pursue in bringing business here from Norway.

Representatives from eight petroleum-related companies were present to meet their American counterparts at the Courtyard by Marriott in a program organized by Louisiana Economic Development.

“The significance is far greater than just for Houma,” LED International Service Director Larry Collins said. “This meeting is taking place in Houma because it is the center for oil and gas activity in the Gulf of Mexico. We are trying to … demonstrate that Louisiana is where the action is.”

Collins said that while Houston might have the technological attractions, the Tri-parish area of Louisiana is where the nuts and bolts of doing business offshore takes place.

“Most of these folks have never been in southern Louisiana until this opportunity,” Collins said.

INTSOK Norwegian Oil and Gas Partners Regional Director Werner Karlsson said the purpose of the meeting was to establish a common connection between companies in both represented countries.

“We have so many things in common,” Karlsson said. “Louisiana is the size of Norway. They are approximately the same population. We are seafaring nations. We are into fishing. We are into oil and gas. We are culturally related.”

Karlsson said the resources of Louisiana, such as personnel, technology and projects, are appealing to him. The Norwegians have been working heavily in ultra-deepwater drilling and offer the largest offshore markets in the world. “It makes it very important that we work together,” he said.

“I want to see what business opportunities are available to us,” Morgan City-based Twin Brothers Marine Corp. engineer B.C. Fernandez said.

“I’m going to listen to what they have,” Houma-based Richard Restaurant Supply owner Henry Richard said. “In my business we do a lot of oilfield and marine work. We are all over the Gulf of Mexico on every rig and every boat. The North Sea has the same needs. I don’t have connections in Norway, yet. Hopefully, this will give me a contact.”

“I’m hoping there is great partnership between our companies in the region,” Lafourche Parish Economic development Director Gretchen Caillouet said. “I know some have already partnered and I think this event has brought them closer together. Hopefully, some other ventures will come out of it.”

One company owner formulating plans to open a location in the Tri-parish region is quickflange partner Tor Arne Hauge.

“I’m here to map the market and see what’s happening,” Hauge said. “So far, I’m really pleased. We see the U.S. market as our main market in [becoming] global. I will definitely establish here early next year. I’m sure I’ll be locating somewhere in Louisiana in the next six months.”

Karlsson said he was aware of growing concerns involving coastal restoration and environmental enhancement in Louisiana. “This is really important,” he said. “We take pride in Norway of having the lowest discharges in the world. To live in harmony with fisheries and nature is most important to succeed in our industry.”

Karlsson said that Norway has been ahead of the U.S. in terms of technological development for co-existence of industry and environment. “Many of the solutions being developed in Norway are meeting high standards by the regulator. We welcome a stricter environment in the U.S. when it comes to emission and discharges.”

“Looking at the North Sea, they are forecasting $175 billion in spending next year,” Vassallo said.

Vassallo said to compare the $175 billion to the $150 billion recovered from the Gulf of Mexico. “Those are the two top areas in the world for expenditures in the next four years,” he said. “We’re sitting on the 50-yard line.”

Vassallo said the international meeting in Houma was intended to forge relationships that serve the financial interests of all parties involved.