photo W. Stoichevski

Opening up new acreage off Norway now closed to drilling could up investment up to 250 billion kroner ($35 billion) between 2022 and 2240, according to a new report by Norwegian oil industry grouping KonKraft.

The report was submitted to the Norwegian Oil & Energy Ministry this week and tells politicians that leaving the pristine fishing areas around the Lofoten archipelago closed would "strengthen a fall in capital spending". The areas in question have been off limits due largely to the area birthing of three types of migratory cod.

"Investment could thereby decline to 20 percent of today’s levels after 2030," the report's authors warn.

The report, compiled by oil company "staffs" and bureaucrats, calculates the possible impact of opening the so-called Nordland VI, Nordland VII and Troms II acreage areas to exploration by 2012. Such a move is seen doubling investment forecast for 2030.

Closing off the under-explored Norwegian Sea until after 2020 could mean paltry spending 10 years from now with a corresponding roll-back of "expertise in key industry areas", the report's authors said.

"Production on the NCS could fall to roughly 1.6 million barrels of oil equivalent per day by 2030, a decline of roughly 60 per cent from the current level," Kon-Kraft warns.

If the areas in question remain closed, investment on the NCS could fall dramatically to 20 percent of the present level by 2030 (with oil at $60 or $100 per barrel).

Oil and StatoilHydro provide the Norwegian government with over half of its revenues.