Receive our newsletter – data, insights and analysis delivered to you
  1. News
May 8, 2020updated 11 May 2020 6:00am

Equinor suspends 2020 production guidance due to market uncertainties

Norwegian energy firm Equinor has suspended its 2020 oil and gas output guidance due to market conditions as a result of Covid19 pandemic, collapse of oil prices and government-imposed curtailments.

By Himaja Ganta

Norwegian energy firm Equinor has suspended its 2020 oil and gas output guidance due to market conditions as a result of Covid19 pandemic, collapse of oil prices and government-imposed  curtailments.

The company reported adjusted earnings of $2.05bn and $0.56bn after tax in the first quarter this year (Q1 2020).

Equinor reported a $0.71bn net loss after taking net impairments of $2.45bn.

Equinor ASA president and CEO Eldar Sætre said: “The Covid-19 pandemic is impacting people, societies and industries across the world. Joint efforts by individuals, governments and companies are necessary to respond to the current global emergency.

“Safety is our first priority and we have taken actions to keep our people safe and healthy, contribute positively in the societies in which we operate and mitigate spread of the virus.

“We have also taken forceful actions to strengthen our financial resilience, and we are prepared to take further measures as necessary to protect people, operations and value creation.”

Content from our partners
How the North of Tyne region is leveraging its legacy to define its future
Q&A with Chevron Lubricants’ Paul Sly, global industrial OEM specialist, and Nathan Knotts, global brand technical manager
The important role of antifoam agents in oil-gas separation and amine treating

Equinor reiterated its plan to cut capital expenditure (capex) to $8.5bn this year from $10bn last year, and added it now expected spending for next year to be at about $10bn.

Last month, Equinor cut its quarterly cash dividend for the first quarter of the year (Q1 2020) by 67% compared to the previous year (Q4 2019) in response to the current unprecedented market conditions.

Last December, Equinor completed the previously announced sale of its onshore business in the Eagle Ford, Texas, US, to Spanish energy company Repsol for $325m.

In October last year, Petrobras signed a memorandum of understanding (MoU) with Equinor to focus on the development of natural gas business projects.

Related Companies

Topics in this article:
NEWSLETTER Sign up Tick the boxes of the newsletters you would like to receive. The top stories of the day delivered to you every weekday. A weekly roundup of the latest news and analysis, sent every Friday. The industry's most comprehensive news and information delivered every month.
I consent to GlobalData UK Limited collecting my details provided via this form in accordance with the Privacy Policy
SUBSCRIBED

THANK YOU