The area mainly covered the Barents Sea, preventing the commercial exploitation of oil and gas resources in a fossil fuel-rich area without being under clear international jurisdiction.
A ceremony will take place in Murmansk in Russia on 15 September when the two countries sign a treaty agreeing to the final delineation of their Arctic maritime border, according to Norwegian Prime Minister Jens Stoltenberg.
Detailed rules on possible crossings of the line by oil or gas deposits will still have to be ratified by the two countries' legislative assemblies.
In April, Stoltenberg and Russian President Dmitry Medvedev signed an initial agreement on the border, paving the way to open up the region to offshore exploration, an area of environmental concern for the EU.
"There is agreement on exactly where the boundary line should be and on cooperation in the region, including on energy. This is what we shall sign and make public next week," Stoltenberg told Norwegian state broadcaster NRK."That we have in place an agreement means we can open up for business in this area," he added, according to Reuters.
Norwegian Oil & Energy Minister Terje Riis-Johansen had last month spoken of "golden times" ahead for industry, despite the country setting itself the target of becoming carbon-neutral by 2050.
"Since 60% of our resources haven't been brought up yet, that makes us attractive and there is great interest in exploration in Norwegian fields," he said in a speech at the Offshore Northern Seas biannual conference in the coastal city of Stavanger, according to online daily Views and News from Norway.
According to Norwegian oil and gas firm Statoil's CEO Helge Lund, a "massive exploration effort" is required in the Arctic, however, requiring a broader international agreement on access, ownership and production rules in the region.
The EU's environment, climate change, energy, research, transport and fisheries policies all have a direct bearing on the area. A communication released by the Commission in 2008 called for a common policy based on contributing to multilevel governance and the sustainable use of resources in view of the area lacking an international treaty on its exploitation, unlike the Antarctic.
The European Commission is currently planning to toughen rules covering accident prevention and liability for offshore oil drilling following the spill in the Gulf of Mexico (EurActiv 15/07/10) . It has in the past argued for Arctic multilevel governance to be "upgraded and adjusted" (EurActiv 24/11/08).
According to NRK, the border deal gives Norway a chance to extend its oil boom whilst North Sea reserves are depleting, but its prime minister said it would be years before the region is opened up for oil and gas activities, leaving room for an international accord to be reached.