Arctic Portal logo

The Arctic Gateway

Map of the Dreki area

Iceland is excited as the first hints of oil discovery have been confirmed in the Dreki area, north of Iceland. One aspect for local communities is the service for the station.

A service station would mean jobs for the people in the communities, many desperate for employment after the crisis in Iceland. Municipalities in the northern part of Iceland have been exploring the possibilities of a service station for some time.

Icelandic company ODR has been working with service suppliers Asco in the search for the best area.

The role of ODR is storing and distributing petroleum products for the owners and operation of specialized maintenance for service stations and own equipment.

Asco runs sixteen service stations in five continents.

They found out that three areas are most prominent, in Akureyri, Húsavík and Reyðarfjörður. Vopnafjörður and Þórshöfn are also in consideration. An intention letter has been signed with the first three municipalities.

The service station would also service oil search in eastern Greenland, as well as the Dreki area.

It is thought that the first activities in the area will be in 1-3 years, when an oil rig would be positioned in the area.

The two Asco representitives have also looked at the infrastructure in the communities. "All these places are under consideration," Hörður Gunnarsson from ODR said.

"It is also possible to service the search from Greenland, from other service stations in Iceland because of the distances and the infrastructure in Iceland," Runar Hatletvedt from Asco in North Europe said.

Hörður added: "It is important not to get ahead of yourself now and not over invest. But the possibilities are there," he said.

Runar said that "based on past experience that we might see the first activities in 1-3 years, probably 2-3 years. It is realistic."

Hörður noted that it could also take up to 10 years for some activities, but it is clear that Iceland has great interests in the area and monitors the activities very closely.


Channel 2