Yngve Slyngstad, who became the Pension Fund’s chief executive in January, has witnessed firsthand how the market’s latest convulsions affect a fund of this magnitude.

China’s largest offshore oil services group agreed to buy a Norwegian rival, Awilco Offshore, for about $2.5 billion to increase its drilling capacity and tap overseas markets.

The disclosure, on the eve of the contracts’ announcement, is the first confirmation of direct U.S. involvement in deals to open Iraq’s oil to commercial development.

A central reason that oil supplies are not rising with demand is that major producers outside OPEC, like Russia, Mexico and Norway, are showing signs of sluggishness.