1. Homepage
  2. Equities
  3. Norway
  4. Oslo Bors
  5. Aker BP ASA
  6. News
  7. Summary
    AKRBP   NO0010345853


SummaryMost relevantAll NewsAnalyst Reco.Other languagesPress ReleasesOfficial PublicationsSector newsMarketScreener Strategies

Equinor reduces 2019 capex spending view after second quarter lags

07/25/2019 | 04:43am EDT
A logo of Equinor, formerly known as Statoil, is seen at the company's headquarters in Fornebu

OSLO (Reuters) - European oil major Equinor said on Thursday it expects less capital expenditure this year, partly due to further cost savings at its Johan Sverdrup oilfield, after reporting quarterly earnings slightly below forecasts.

Adjusted earnings before interest and tax (EBIT) fell to $3.15 billion ( £2.53 billion ) from the year-earlier result of $4.3 billion, missing the $3.4 billion forecast by 22 analysts in a poll compiled by Equinor.

The company now expects capital expenditure of between $10 billion and $11 billion in 2019 against its previous guidance of $11 billion. French peer Total maintained its capex guidance at $14 billion on Thursday.

"The results have clearly been influenced by lower oil and gas prices. But at the same time, we are reducing our organic capital expenditure," Chief Financial Officer Lars Christian Bacher told a news conference.

The lower spending is due to efficient project execution, focus on cost controls and capital discipline, Equinor said.

Equinor said the company and its partners made further cost savings, of 3 billion crowns , in developing the giant Johan Sverdrup field in the North Sea, bringing total cost savings at the asset to 40 billion crowns.

It said Sverdrup, due to start production in November, would ramp up operations faster than expected and reach peak production in summer 2020.

Sverdrup, named after a 19th-century Norwegian prime minister, will be crucial to Equinor's revenues when output begins and is likely to account for 25% of the Nordic country's petroleum output at its peak in 2022.

The field, the biggest oil find made off Norway in more than three decades, is co-owned by Aker BP, Lundin Petroleum and Total.

"We guess some of the earnings miss will be compensated for by positive capex and Sverdrup comments," Sparebank 1 Markets said in a note to clients.

Shares in Equinor, formerly known as Statoil, were down 1.85% at 0827 GMT, lagging a flat Oslo benchmark index <.OSEBX>.

"With no incremental announcements on shareholder returns, Equinor is still the lowest-yielding stock among peers," Berenberg said in a note to clients.

"It is also the worst performer among the European integrated (oil companies) and, as such, the market may have already priced in the weak performance in Q2."

Equinor's equity oil and gas production was 2.01 million barrels of oil equivalent per day (boepd), down from 2.03 million boepd but in line with a forecast in the Equinor poll.

(Editing by Dale Hudson and Subhranshu Sahu)

By Gwladys Fouche and Nerijus Adomaitis

ę Reuters 2019
Stocks mentioned in the article
ChangeLast1st jan.
AKER BP ASA 0.08% 384.6 Real-time Quote.41.49%
BP PLC -1.55% 422.15 Delayed Quote.29.74%
EQUINOR ASA 0.24% 338.6 Real-time Quote.43.20%
LONDON BRENT OIL 0.39% 113.28 Delayed Quote.44.68%
LUNDIN ENERGY AB (PUBL) -0.36% 448.7 Delayed Quote.38.77%
NORWAY OSLO BORS BENCHMARK(TRG) -0.23% 1244.12 Real-time Quote.3.79%
SEA LIMITED -3.90% 74.19 Delayed Quote.-65.47%
TOTALENERGIES SE -1.58% 52.45 Real-time Quote.19.40%
All news about AKER BP ASA
05/23Aker BP Partners With Halliburton to Develop Field Development Planning App
05/23PRESS RELEASE : Aker BP and Halliburton collaborate to develop next generation field devel..
05/23Aker BP and Halliburton collaborate to develop next generation field development planni..
05/20Norway's April crude oil output lags forecasts by 10.6%
05/20Norway's April crude oil output lags forecasts by 10.6%
05/17Lundin Energy proposes name change to Orron Energy
05/16Nordic Oil & Gas Company Lundin Energy Plans Name Change As It Shifts Focus to Renewabl..
05/16Aker Bp Asa Elects Board of Directors
05/16Moody's Lifts Aker BP's Rating On Expected Completion Of Lundin Energy Deal
05/11Long term contract award for PSV in Norway
More news
Analyst Recommendations on AKER BP ASA
More recommendations
Sales 2022 74 107 M 7 718 M 7 718 M
Net income 2022 14 895 M 1 551 M 1 551 M
Net Debt 2022 8 339 M 868 M 868 M
P/E ratio 2022 10,9x
Yield 2022 4,75%
Capitalization 138 B 14 399 M 14 399 M
EV / Sales 2022 1,98x
EV / Sales 2023 2,24x
Nbr of Employees 1 773
Free-Float 35,0%
Duration : Period :
Aker BP ASA Technical Analysis Chart | AKRBP | NO0010345853 | MarketScreener
Technical analysis trends AKER BP ASA
Short TermMid-TermLong Term
Income Statement Evolution
Mean consensus HOLD
Number of Analysts 14
Last Close Price 384,30 NOK
Average target price 352,54 NOK
Spread / Average Target -8,26%
EPS Revisions
Managers and Directors
Karl Johnny Hersvik Chief Executive Officer
David Torvik T°nne Chief Financial Officer
ěyvind Eriksen Chairman
Ine Dolve SVP-Operations & Asset Development
Trond Brandsrud Independent Director
Sector and Competitors
1st jan.Capi. (M$)
AKER BP ASA41.49%14 399
EOG RESOURCES, INC.44.17%75 012
CNOOC LIMITED40.72%68 013