Norwegian petroleum refining company Equinor published its quarterly results on Thursday, reporting a 38.96% decline in Q1 2024 net operating income to $7.63bn (Nkr83.51bn).

The decline was primarily attributed to the downward trend in gas prices, which was partially offset by production growth and increased liquid prices.

Equinor realised a price for piped gas to Europe of $9.41 per million British thermal units (MMBtu), and the average liquids price was $76 per barrel, which reflected a decline of 50% and an increase of 3%, respectively, compared with Q1 2023.

The company recorded a 36.7% decline in adjusted earnings before tax for Q1 2024, which amounted to $7.53bn. However, the figure exceeded the $7.2bn forecast based on a survey of 22 analysts compiled by the company.

Cash flow from operating activities before taxes paid and working capital items amounted to $9.69bn for Q1. Cash flow from operations after taxes paid was $5.84bn.

Anders Opedal, president and CEO of Equinor, said: “Production on the Norwegian Continental Shelf [NCS] was high, and the international portfolio contributed with solid production growth. We continue with significant capital distribution and expect to deliver a total distribution of $14bn in 2024.”

Equinor said it produced 2.16 billion barrels of oil equivalent (bboe) per day in Q1 2024, an increase from 2.13bboe per day in the same quarter last year. 

The growth was largely due to the company's strong operational performance, increased capacity at Johan Sverdrup, the start-up of Breidablikk and new wells on-stream on the NCS. Additionally, it said the Vito field in the US Gulf of Mexico, the Buzzard field in the UK and new wells in Angola contributed to 3% production growth internationally.

“We remain a safe and reliable provider of energy to Europe. On the NCS, we got approval for the Eirin project, and the Sleipner and Gudrun fields are now partially operating with power from shore, all contributing to lower costs and emissions from production,” Opedal said in the statement. 

Equinor reported that in Q1, it produced 2.16 million barrels of oil equivalent per day, which aligns with analysts' expectations. The company has also projected that its oil and gas output will remain flat against its 2023 figures for this year.

Equinor's Market, Midstream and Processing division, which includes its trading business, registered a profit of $887m, compared with the $1.3bn the company made last year, yet it exceeded the $592m predicted in the poll.