3.250
%
Neutral
2
mm boe
45
%
The competitiveness of the Norwegian economy is built on openness and transparency, and its legal framework is among the world's most robust. The re-election of Labour in 2025 preserves a stable petroleum tax regime, annual APA rounds continue, and new developments such as Johan Castberg underpin output near record highs. Outlook amended from Neutral because the stable tax regime, continued licensing and production growth make Norway one of the most attractive jurisdictions. Outlook: Positive. Risk premia unchanged at 3.25%.
October 7, 2026
Europe - North West
mm bbl
bcf
Northern Europe, bordering the North Sea and the North Atlantic Ocean, west of Sweden.
Concession
Companies involved in upstream activities within the geographic areas described in Section 1 of the Norwegian Petroleum Tax Act is subject to a marginal tax rate of 78% (23% ordinary corporate income tax and 55% resource rent tax) on the net operating profits derived from its extractive activities. The area covered is generally the area within Norwegian territorial borders or on the Norwegian continental shelf (NCS).
Prime Minister Jonas Gahr Støre's Labour Party retained power in the September 2025 election. US and UK guidance describe a very low-risk, transparent market with a stable petroleum tax regime. The EIA notes that Norway is Europe's largest gas supplier and that oil and gas output is near record highs, with Johan Castberg starting production in 2025 alongside Johan Sverdrup. Annual APA licensing rounds continue, and the sovereign wealth fund remains the world's largest.
Source: ESRI, Heritage Index, HMG Foreign & Commonwealth Office, US Department of State, International Trade Administration, International Law Review, Ernst & Young, Wood Makenzie & OGA data.
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