Norwegian oil and gas giant Equinor recorded an increase in its first quarter 2019 profit as its production remained on par with the same period in 2018.
Equinor on Friday reported adjusted earnings of $4.19 billion in the first quarter 2019, down from $4.41 billion in the same period in 2018. Adjusted earnings after tax were $1.54 billion, up 4 percent from $1.47 billion in the same period last year.
IFRS net operating income was $4.73 billion in 1Q 2019 down from $4.96 billion in the same period of 2018. IFRS net income was $1.71 billion, a 33% increase from $1.29 billion in the first quarter of 2018.
Eldar Sætre , President and CEO of Equinor, said: “In a quarter with lower commodity prices, we deliver higher after-tax results than in the same period last year. Our cash flow from operating activities was strong at 6.5 billion dollars in the quarter, and we have reduced our net debt ratio to 19.4%. We maintain high production, continue with strong cost focus and strict capital discipline, and we are on track to deliver on our guidance from our Capital Markets Update in February.”
“Johan Sverdrup will start production later this year, and our project developments are on track to deliver production growth towards 2025,” Sætre added.
According to the company, production was maintained at a high level, but lower prices impacted the result. Underlying operating costs and administrative expenses per barrel increased somewhat from the same quarter last year, mainly due to new fields coming on stream.
Equinor delivered total equity production of 2,178 mboe per day in the first quarter, on par with the same period in 2018. Expected natural decline from mature fields was offset by portfolio changes, new wells and new fields coming on stream.
Offshore Energy Today Staff
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