We have a large long-term gas sales contract portfolio and are continuously evaluating midstream and downstream opportunities in order to take further advantage of our existing infrastructure, access to supplies and experience in marketing natural gas. Our downstream strategies may differ from region to region depending on our particular position in the area and the nature of the market in question.
In Europe, we endeavour to achieve greater efficiency from our existing supply portfolio, to update and refine our commercial relations with key customers and to establish new positions that will improve the flexibility of our operations. Through balancing, optimisation and trading activities, we plan to continue to create additional value on top of our long-term sales business.
Natural gas is the focus of many exploration and business development activities carried out by both INT and EPN. A large proportion of the exploration activities on the NCS are focused on gas, and a number of INT projects focus on accessing international gas reserves.
We aim to further develop our position on the NCS and internationally through increased production and investments in new fields and infrastructure aimed at serving the European and US gas markets. NG plans to strengthen established market positions in Europe with gas from the NCS, the Caspian Sea and North Africa. We plan to further develop the market position at the Cove Point terminal on the East Coast of the USA. Our aquisition of a 32.5% share in the Marcellus gas deposit in the Appalachian basin is expected to significantly strengthen our US natural gas business in terms of production, reserves and marketing.
The main objective of NG's strategy is to improve our growth opportunities in all parts of the natural gas business and fully exploit the opportunities that changing market conditions provide. This means increased focus on extracting value from the existing contracts and asset portfolio and increasing the value added from trading and optimisation activities beyond the landing point. It also entails increased internationalisation of the gas business, including activities in North America, LNG growth and the addition of new markets.
The main task for NG is to maximise value creation in markets that are constantly changing and deregulating, particularly Europe, making active use of the new opportunities offered and managing risks within acceptable parameters.
A necessary lever in support of this strategy is to continue to develop, maintain and operate the upstream and midstream (transport and processing) infrastructure required to safely and reliably deliver gas volumes where and when required. Efforts aimed at ensuring the safety, integrity and regularity of the infrastructure, while simultaneously upgrading and expanding the existing processing plants at Kårstø and Kollsnes are expected to be of key importance in Norway.
