Record Year for Statoil
14 Fevereiro 2005 - 6:25AM
PR Newswire (US)
Record Year for Statoil STAVANGER, Norway, Feb. 14
/PRNewswire-FirstCall/ -- Statoil ASA (OSE:STLOSE:NYSE:OSE:STO)
delivered an income before financial items, other items, income
taxes and minority interest of NOK 65.1 billion in 2004, compared
with NOK 48.9 billion for the year before. Net income after income
tax and minority interest came to NOK 24.9 billion -- more than 50
per cent above the 2003 result of NOK 16.6 billion. Income before
financial items, other items, income taxes and minority interest
for the fourth quarter of 2004 was NOK 18.7 billion as against NOK
12.7 billion for the same period of the year before. This
represents an increase of 48 per cent. Net income came to NOK 10.0
billion, compared with NOK 4.3 billion in the fourth quarter of
2003. Return on capital employed (1) came to 23.5 per cent in 2004,
up from 18.7 per cent the year before. The normalised return on
capital employed (1) was 12.3 per cent as against 12.4 per cent for
2003. Earnings per share came to NOK 11.50 for the full year, up
from NOK 7.64 in 2003, and NOK 4.64 for the fourth quarter as
against NOK 1.98 in the same period of the year before. "Statoil
experienced a record year in 2004, with a net income of NOK 24.9
billion," says chief executive Helge Lund. "This represents an
increase of more than 50 per cent from the year before and is the
best result we have ever achieved. "The profit improvement
primarily reflects high oil and gas prices and substantial
financial income. We can also take pleasure from a very competitive
return on capital employed of 23.5 per cent for the year. "An
organisation with expertise and drive has contributed to our strong
position at the beginning of 2005. A large portfolio of projects,
both in Norway and internationally, and good strategic positions
provide the basis for further development and growth." The group's
financial position is robust, and the board will propose to the
annual general meeting that a total dividend of NOK 5.30 per share
be paid for 2004, including NOK 2.10 as an extraordinary payment.
This means that the board has increased the ordinary dividend by
NOK 0.25, from NOK 2.95 per share in 2003 to NOK 3.20. The total
payout for 2004 corresponds to 46.1 per cent of net income.
Operating revenues totalled NOK 306.2 billion for 2004 compared
with NOK 249.4 billion the year before, and NOK 85.8 billion for
the fourth quarter as against NOK 65.4 billion for the same period
of 2003. Statoil increased its income before financial items, other
items, income taxes and minority interest by 33 per cent compared
with 2003. This improvement primarily reflects higher oil and gas
prices measured in NOK. In addition comes NOK 1.2 billion related
to changes in provisions for rigs. High refinery and petrochemical
margins also increased income by NOK 1.3 billion from 2003. Total
investment for 2004 was NOK 42.8 billion, including NOK 10.6
billion relating to the acquisition of assets. Net financial income
for 2004 came to NOK 5.7 billion as against NOK 1.4 billion the
year before. This high figure primarily reflects currency gains
from a NOK 0.64 strengthening of the Norwegian krone against the US
dollar during 2004. For the fourth quarter, net financial income
was NOK 5.2 billion compared with NOK 1.3 billion in the same
period of 2003. Total oil and gas production in 2004 averaged 1 106
000 barrels of oil equivalent (boe) per day. That compares with a
daily average of 1 080 000 boe the year before. Fourth-quarter oil
and gas output averaged 1 202 000 boe per day as against 1 214 000
boe per day in the same period of 2003. Income taxes amounted to
NOK 45.4 billion for the full year, corresponding to a tax rate of
64.1 per cent. Adjusted for changes to Norwegian tax legislation
relating to taxation of dividends (the exemption method) and
changes in the allocation of office costs against offshore
revenues, the tax rate came to 66.7 per cent. Tax in 2003 amounted
to NOK 27.4 billion. After adjusting for the positive tax effect
relating to the repeal of the removal grant legislation, this
figure came to NOK 34.1 billion -- corresponding to a tax rate of
67.9 per cent. Income taxes for the fourth quarter came to NOK 13.7
billion, corresponding to a tax rate of 57.2 per cent. Adjusted for
the exemption method and office costs, the tax rate came to 64.7
per cent. That compares with NOK 9.7 billion and 69.1 per cent
respectively for the same period of 2003. In connection with its
stock market listing in 2001, Statoil developed a scorecard for
2004. One important target was a normalised return on capital
employed of 12 per cent. An improvement programme was also
launched. "I'm pleased that the normalised return on capital
employed of 12.3 per cent exceeded the target," says Mr Lund. "Both
the scorecard and the improvement programme have been important
tools and a substantial driving force in improving our
profitability." Production was marginally below the target for the
year, mainly as a result of the rig strike on the Norwegian
continental shelf (NCS), the loss of output from Snorre A and
Vigdis after the well incident on Snorre A, and rather lower
international production than expected. Cost and income
improvements identified at 31 December 2004 contributed NOK 3.2
billion, compared with the target of NOK 3.5 billion set for 2004.
The main reason for this difference is a slightly lower growth in
output and higher unit production costs than expected in the
international business since 2001. Remaining proven reserves at 31
December amounted to 4 289 million boe as against 4 264 million boe
a year earlier. This represents an increase of 25 million boe. New
reserves added in 2004 came to 455 million boe, and the reserve
replacement rate was 106 per cent compared with 99 per cent in
2003. The average reserve replacement rate for the past three years
amounted to 101 per cent, while Statoil's target for this period
was 100 per cent. Six wildcat and appraisal wells were completed on
the NCS and six internationally during 2004. Eight of these wells
yielded discoveries, while two are awaiting evaluation. Three
people unfortunately lost their lives in the group's operations
during 2004. All worked for contractors involved in the development
of the South Pars project in Iran. Another person died after a work
accident at the Aker Stord yard on 31 January 2005. The total
recordable injury frequency - total injuries for Statoil and
contractor personnel per million working hours - was 5.9 in 2004 as
against 6.0 in 2003. The serious incident frequency per million
working hours was unchanged at 3.2. Important events during the
fourth quarter: * Eight operatorships and interests in three other
licences on the NCS were secured by Statoil from the predefined
area awards for 2004. * An oil discovery was made by Statoil in the
Topas prospect between the Gullfaks and Visund fields in the North
Sea. * Statoil reached agreement with Shell over licence
transactions on the NCS, which included a strengthening of the
group's interest in the Snorre field. * A plan for development and
operation of the Skinfaks/Rimfaks satellites was submitted to the
Norwegian authorities on 8 December. * During a well workover and
the extraction of a length of casing, an uncontrolled well incident
occurred on Statoil's Snorre A platform in the North Sea on 28
November. * Discoveries were made in the Rosebank/Lochnagar
structure on the UK continental shelf, and by the Tiger well in the
Gulf of Mexico. * Alba Extreme South began producing on the UKCS on
14 October. * Statoil and Total concluded an agreement which gives
the latter 49 per cent of block 4 in the Plataforma Deltana area
off Venezuela. The first well on this acreage was spudded on 1
January 2005. * Statoil was awarded three operatorships and an
interest in another licence during the second offshore licensing
round on the Faroese continental shelf. * Plans for the terminal to
receive gas from Ireland's Corrib field were approved by the Irish
government on 22 October.
http://hugin.info/132799/R/980387/145279.pdf Further information
from: Press: Wenche Skorge, +47 51 99 79 17 (office), +47 91 87 07
41 (mobile) Kjersti T Morstol, +47 51 99 26 71 (office), +47 91 78
28 14 (mobile) Investor relations: Mari Thjomoe, +47 51 99 77 90
(office), +47 90 77 78 24 (mobile) Ragnar Bulie, + 47 51 99 42 01
(office), + 47 99 57 42 01 (mobile) DATASOURCE: Statoil ASA
CONTACT: Press: Wenche Skorge, +47-51-99-79-17, or cell,
+47-91-87-07-41, or Kjersti T Morstol, +47-51-99-26-71, cell,
+47-91-78-28-14, or Investor relations: Mari Thjomoe,
+47-51-99-77-90, or cell, +47-90-77-78-24, or Ragnar Bulie,
+47-51-99-42-01, or +47-99-57-42-01, all of Statoil Web site:
http://www.statoil.com/
http://hugin.info/132799/R/980387/145279.pdf
Copyright