İrem UZUN -TDO- Denmark will end all new oil and gas exploration in the North Sea, as part of a wider plan to stop extracting fossil fuels by 2050. The government also agreed to cancel its latest licensing round, which gives firms permission to search for and produce oil and gas. "We’re the European Union’s biggest oil producer and this decision will therefore resonate around the world. We are now putting a final end to the fossil era," Denmark's climate minister said.
Denmark began oil and gas exploration in 1972, and its North Sea revenues helped to make it one of Europe’s richest nations. In the last decade the government has turned its focus to clean energy, including offshore wind farms built by the country’s former state oil company. Denmark is estimated to produce 83,000 barrels of crude oil and another 21,000 barrels of oil equivalent in 2020. The Danish government estimates that the decision to phase out oil and gas production will cost the government coffers DKr13bn ($2.1bn) in lost revenue.
Environmental activists hailed Denmark's move as significant as it shows the way forward in fighting climate change. Greenpeace called it "a landmark decision toward the necessary phase-out of fossil fuels". "This is a huge victory for the climate movement," said Helene Hagel of Greenpeace Denmark.