50 years as an oil nation
In October 1969, most people had given up hope of finding oil on the Norwegian continental shelf. Two months later oil history was written that making Norway the world's best country to live in.
23 December 1969 is the official starting point of the North Sea oil adventure. The North Sea activity has provided us with large revenues, and has had consequences for large parts of the economy. How important is oil to the Norwegian economy?
In February 1958, the Norwegian Geological Survey wrote a blunt letter to the Ministry of Foreign Affairs: “One can disregard the potential for coal, oil or sulphur on the continental shelf along the Norwegian coast”.
Dividing the continental shelf
Phillips Petroleum sent a letter to the Norwegian authorities in October 1962 requesting permission for exploration in the North Sea. The company wanted a license for the parts of the North Sea that were in Norwegian territory and could possibly come under the Norwegian continental shelf legislation.
In May 1963, the government established the Gerhardsen Norway's regulation over the Norwegian continental shelf. The new law stated that the state was the landowner and that only the king could grant exploration and extraction permits.
Discovery of black gold
In 1967, the first oil was found on the Norwegian shelf in the Balder oil field. However, the discovery was not profitable enough at the time, and it would take another 30 years for the oil field to be expanded.
The discovery in the Ekofisk field was declared commercially viable on the 23 December 1969, but the authorities had been close to giving up om ant involvement in Norway in October the same year. Two months later, Phillips Petroleum found what would prove to be one of the largest oil fields ever found at sea.
TESS took hold
Production from the Ekofisk field began on 15 June 1971, the same year that TESS entered the young offshore industry. The demand for hoses and on-site platform maintenance was high, and the little company from Drammen made the strategic decision to open a branch in Stavanger.
Since its beginning in 1969, TESS has grown into a leading position within the hoses and accessories arena. But it was in October 1991 that TESS made its big breakthrough, when it signed a major contract with Statoil. The contract was the first to be entered into with an operating division and included package solutions with ongoing deliveries of hoses for operation and maintenance. Additionally, deliveries to the oil company's subcontractors were included.
Fifty years after the Ekofisk discovery, the oil and gas industry is Norway's most important contributor of revenue, and the most significant area of investment and value creation. TESS has proven worthy of renewal contracts and expansions of its products and services with leading oil companies, supplying products and services that meet and surpass the industry´s highest quality and safety standards.