Milliardløft for Røkkes oljeselskap | DN

Kjell Inge Røkt's Aker BP oil company has made significant progress in Oslo Børs after posting solid results for the third quarter.

This share is up 4.2% to NOK 307.80, bringing the oil company to over NOK 110 billion.

The increase in the price of Aker shares, which holds 40% of Aker BP, equals 1.6 billion euros. For Aker's largest shareholder, Kjell Inge Røkke, who controls more than 67% of the market, paper profit amounts to NOK 1.1 billion so far on Friday.

Aker BP achieved operating profit of $ 548 million in the third quarter. Analysts expected operating profit of $ 521 million, according to estimates received from the TDN Direkt news agency.

Revenues reached exactly $ 1 billion compared to $ 969 million in the third quarter.

Maintains production estimates

Before the figures released by Aker BP on Friday, considerable attention has been paid to what the company wants to say about production this year. Earlier this month, the company announced a production of 150,600 people a day in the third quarter. That's well 5,000 barrels a day less than daily production so far this year. The decline in production intensified the turbulence on the stock market, so that the company could downgrade production for the current year. This is not it.

Aker BP maintains its estimated production of between 155,000 and 160,000 barrels per day this year, but is expected to be in the lower half of this range.

The company reports that it is reducing the estimated investment from $ 1.3 billion to $ 1.25 billion this year. In addition, exploration costs are expected to increase from $ 425 million to $ 400 million annually. This is due to a rig that arrives later than expected.

All the reasons to smile

As a remnant of the oil sector, Aker BP receives considerable help from rising oil prices. Today, North Sea oil is trading at nearly $ 80, more than $ 20 more than a year ago. The course of action in Aker BP gave Kjell Inge Røkke the main reason for its brilliance. The price has doubled in value over the last year. The stock price ended Thursday afternoon at 295.2 crowns. Seven analysts had a recommendation to buy Aker BP stock before the earnings release, while two had a neutral recommendation and two sell / discount recommendations, according to TDN Direkt. The average price target of the action is 331 NOK, ranging from 185 to 380 crowns.

Less than $ 12 a barrel

Production costs in the third quarter were $ 165 million, up from $ 134 million in the third quarter of the same period last year. For the quarter, this represents a production cost of $ 11.9 per barrel of oil equivalent.

In the first nine months, the cost of production was $ 11.8 per barrel of oil equivalent and, according to Aker BP, it is well within the limits of the estimate of the price. Company, around 12 dollars a year.

The company writes in its quarterly report that it will participate in three to four exploratory wells in the fourth quarter, in addition to the completed Gekko demarcation well.

Bought at Equinor this week

In recent years, as the oil crisis has worsened, society has grown strongly. The expansion began with the acquisition of Marathon, while the price of oil was at the peak of the summer of 2014. Large stocks were purchased and the company built its own fields as Ivar Aasen and participated in major developments such as Johan Sverdrup. Last Monday, the company put $ 2 billion into Equinor's 77.8 percent stake in King Lear in the gas / condensate field of the North Sea.(Conditions)Copyright Dagens Næringsliv AS and / or our suppliers. We would like you to share our business using a link directly to our pages. The copy or any other form of use of all or part of the content may only be done by written authorization or as permitted by law. For other terms please see here.