Statoil Announces Gas Discovery in Kramsno Prospect in Barents Sea
Feb 25 14
Statoil ASA has announced a gas discovery in the Kramsno prospect in the Barents Sea. In 2013 Statoil launched a targeted exploration campaign around the Johan Castberg field in order to clarify additional oil potential in the area and make the development project more robust. The exploration campaign comprises five prospects, and Kramsno was the fourth of those. The exploration campaign has been designed to embrace this diversity and get the best possible understanding of the total resource base in the area. The prospects selected for the campaign test different play models in varied geological settings and are independent of each other. They were also large enough to have an impact on the development solution. Statoil is operator for production license PL532 with an ownership share of 50%. The license partners are Eni Norge AS (30%) and Petoro AS (20%).
Statoil Rejects Speculations About Acquisition
Feb 11 14
Helge Lund, Chief Executive Officer of Statoil ASA (OB:STL), has rejected all speculations that Statoil is looking to purchase an exploration company. Lund stated on February 7, 2014 that there is no purpose in looking at such an acquisition at a time when Statoil is forced to choose between several strong, internal projects.
Statoil Asa Announced Unaudited Consolidated Earnings and Production Results for the fourth quarter and year ended December 31, 2013; Provides Production and Capital Expenditure Guidance for the Full Years of 2014, 2015 and 2016; Announces Increased Dividend Proposal for the Year 2013; Plans to Introduce Quarterly Dividend Payments in 2014
Feb 7 14
Statoil ASA announced unaudited consolidated earnings results fourth quarter and full year of 2013 and production results for the full year of 2013. The company's fourth quarter 2013 net operating income was NOK 43.9 billion compared with NOK 45.8 billion a year ago. Adjusted earnings for the fourth quarter of 2013 were NOK 42.3 billion, compared to NOK 48.3 billion in the fourth quarter of 2012. The international result in the quarter was impacted by a higher gas share, lower realised prices and high depreciation cost in the US onshore business. Net income in the fourth quarter of 2013 was NOK 14.8 billion, which is an increase of 14% compared to NOK 13.0 billion in the same period in 2012. Adjusted earnings after tax was NOK 11.0 billion compared with NOK 15.1 billion a year ago. Total revenues and other income was NOK 158.4 billion compared with NOK 160.1 billion a year ago. Income before tax was NOK 39.8 billion compared with NOK 45.9 billion a year ago. Net income attributable to equity holders of the company was NOK 14.8 billion or NOK 4.64 per diluted share compared with NOK 13.0 billion or NOK 4.07 per diluted share a year ago. Adjusted earnings were NOK 35.4 billion compared with NOK 37.5 billion a year ago. Higher liquids prices measured in NOK were offset by reduced volumes of liquids and gas sold and lowers average gas prices due to increasing share of US gas. As on December 31, 2013, the company’s net interest-bearing debt adjusted was NOK 63.7 billion.
For the year 2013, the company's net operating income was NOK 155.5 billion compared with NOK 206.6 billion a year ago. The decrease is primarily explained by decreased production and lower prices for both liquids and gas. Impairment losses, provisions related to an onerous contract and a redetermination process, added to the decrease. Adjusted earnings were NOK 163.1 billion in 2013 compared to NOK 193.2 billion in 2012. The 16% decrease in adjusted earnings was mainly due to lower prices and reduced volumes of liquids and gas. Also, lower refining margins and higher depreciation expenses, added to the decrease. Adjusted earnings after tax was NOK 46.4 billion compared with NOK 55.1 billion a year ago. Net income was NOK 39.2 billion compared with NOK 69.5 billion a year ago. Total revenues and other income was NOK 637.4 billion compared with NOK 722.0 billion a year ago. Net income attributable to equity holders of the company was NOK 39.9 billion or NOK 12.50 per diluted share compared with NOK 68.9 billion or NOK 21.60 per diluted share a year ago. Cash flows provided by operating activities was NOK 101.3 billion compared with NOK 128.0 billion a year ago. Additions to property, plant and equipment was NOK 103.3 billion compared with NOK 94.8 billion a year ago. Exploration expenditures capitalised and additions to other intangibles was NOK 10.0 billion compared with NOK 16.4 billion a year ago. Adjusted earnings were NOK 132.5 billion compared with NOK 154.8 billion a year ago. The 16% decrease in adjusted earnings was mainly due to lower prices and reduced volumes of liquids and gas. Also, lower refining margins and higher depreciation expenses, added to the decrease.
Statoil delivered equity production of 1,940 mboe per day in 2013, compared to 2,004 mboe per day in 2012. The decrease is mainly a result of divestments and redetermination. Statoil increased its annual equity production outside Norway to a record high 723 mboe in 2013, driven by start-up and ramp-up of new fields.
Statoil will invest around USD 20 billion on average per year 2014-16. This is a reduction of 8% from previous estimates, mainly due to strict prioritisation and increased capital efficiency. Production growth is estimated around 2% 2013-14 and around 3% organic CAGR from 2013-16 from a rebased equity production of 1,850 mboe per day in 2013. Statoil expects to drill around 50 wells in 2014 and around 20 high impact wells from 2014-16. The exploration spend in 2014 will be around USD 3.5 billion. Income before tax was NOK 138.4 billion compared with NOK 206.7 billion a year ago.
The company announced that its Board of Directors proposed an increased dividend of NOK 7.00 in 2013 from NOK 6.75 in 2012.
The company also reported that, the Board will also propose to the Annual General Meeting (AGM) to introduce quarterly dividend payments, conditional on approval from the Annual General Meeting, in 2014 it will distribute two quarterly dividends in addition to the annual dividend for 2013.