Norwegian oil and gas company Vår Energi has reported net income of $25m for the fourth quarter of 2025 (Q4 2025), compared to a net loss of $175m for the same period in 2024.
The company’s earnings before interest, taxes, depreciation and amortisation (EBITDA) for the quarter increased by 57.2%, rising from $1.15bn to $1.8bn year-over-year (YoY).
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Vår Energi’s total income for the quarter was $2.2bn, a 32% increase compared to $1.6bn in the same quarter of 2024.
In terms of production, Vår Energi achieved 397,000 barrels of oil equivalent per day (boepd) in Q4 2025, up from 278,000boepd in Q4 2024, aided by the ramp-up of the Jotun floating production, storage and offloading unit and reduced maintenance activities.
Oil production rose from 159,000boepd to 259,000boepd over the same period, up 62.9%.
Gas production increased from 101,000boepd in Q4 2024 to 117,000boepd in Q4 2025, a 15.8% increase.
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By GlobalDataNGL production also grew from 18,000boepd to 21,000boepd, up 16.7%.
Total sales volumes also increased significantly from 22.7 million barrels of oil equivalent (mboe) to 35.3mboe over the same period.
Net profit for the full year 2025 climbed to $846m from $327m, leading to earnings per share of $0.31 against $0.11 in the previous year.
EBITDA for the full year grew by 11.1% to $6.3bn from $5.7bn. For the full year 2025, Vår Energi’s total income rose to $8.1bn from $7.4bn in 2024.
The company’s average production rate for 2025 was 332,000boepd, slightly below its guidance range of 330,000–360,000boepd due to delays and operational issues at the Johan Castberg field.
Despite these challenges, Vår Energi launched nine growth projects during the year, adding approximately 180,000boepd at peak production levels and enhancing operational efficiency to 92%.
Looking forward, Vår Energi plans to sustain its growth trajectory with a projected production range of 390,000–410,000boepd for 2026 and ongoing developments across 13 projects targeting around 210mboe in net reserves, with breakeven costs near $30 per barrel of oil equivalent and an internal rate of return above 30%.
The company also aims to explore up to 12 wells in 2026 as part of its continued exploration strategy.
Capital expenditure (capex) is forecasted between $2.5bn and $2.7bn for 2026, with an average annual capex of $2.5bn anticipated from 2027 through 2032 as Vår Energi focuses on unlocking long-term value through strategic investments and project developments.
Vår Energi CEO Nick Walker said: “We are pleased to have delivered transformational growth in 2025, doubling production in just two years.
“The company delivered record high production, high reserve replacement, strong financial performance and significant value creation, while further de-risking the outlook through the completion and startup of nine projects, including Jotun FPSO at the Balder field and Johan Castberg.
“Vår Energi has never been in a stronger position for long-term value creation, and continues to deliver attractive returns, reflected in shareholder distributions for 2025 of $1.2bn, in line with guidance.”
