Statoil ASA (STO)

[eFinanceMarkets]

Norway regulator: Well-control incidents, leaks last year hit five year highs

Norway’s oil industry regulator is raising new concerns about declining safety standards in the North Sea amid a competition to cut costs.

The number of well control incidents and leaks from oil and gas facilities in Norway rose last year to their highest levels in at least five years, the Norwegian Petroleum Safety Authority says in its annual report, which calls on companies working in the North Sea - including state-run Statoil (NYSE:STO) and Royal Dutch Shell (RDS.A, RDS.B) - to do more to prevent accidents and take care of workers.

While Norway accounts for just a bit more than 2% of global crude oil production, the country has some of the world's strictest safety regulations, and its warnings carry weight in the industry.