Aker BP Q3 profits fall short of forecasts, but output guidance is raised
Aker BP, a Norwegian oil company owned in part by BP, reported a larger-than-expected drop in operating profit for the third quarter. It also said that full-year production would be at or above its guidance. A poll of analysts conducted by the company showed that an average of $1.89 billion was expected. The company reported a third-quarter output of 414.700 boed, down from the 449.800 boed it had a year ago, due to maintenance planned at several fields. Aker BP expects the production to increase in the fourth quarter.
Aker BP begins production at Tyrving Oilfield amid legal battle between the government and Aker BP over approval
Aker BP, a Norwegian oil company, has begun production at its Tyrving off-shore oilfield. The Norwegian government is trying to overturn the court's ruling that the project approval was invalid due to the failure to evaluate the climate impact. The Oslo District Court in January ruled that the Norwegian energy ministry failed to assess fully the climate impact of the production and use of oil and natural gas when it approved three offshore projects including Tyrving and that the permits were invalid. The government has appealed that ruling, and an hearing for a portion of the case will begin on Wednesday.
Aker Bets on Software Engineers for Its Oil Business
When the owners of Norwegian oil firm Aker BP decided to digitise its assets and operations, they searched high and low for the right software company. But they failed to find a suitable one.So instead they set up their own, Cognite, to create digital maps of Aker BP's oil industry assets, integrating data from equipment such as pumps, heat and pressure sensors, maintenance records and even staff rotas to improve efficiency and safety.Less than two years later, Cognite is selling its software to Aker BP's rivals and one competitor…
Aker BP CEO Predicts Fast Johan Sverdrup Ramp-up
Aker BP, a partner in Norway's giant Johan Sverdrup oilfield, expects a fast ramp-up of production when the initial development phase ends in late 2019, its chief executive said on Thursday."I think it will be done in a few months, because the production per well is so high," Karl Johnny Hersvik told Reuters on the sidelines of an energy conference.Johan Sverdrup Phase 1 will have capacity to produce 440,000 barrels of oil equivalents per day (boed), while the second phase, starting production in 2022, is expected to further boost output to 660,000 boed.Sweden's Lundin Petroleum, another partner in the Equinor-operated, on Wednesday
Maersk Rig Contracted to Aker BP
Maersk Drilling and Aker BP have agreed to a new two-year contract to reactivate and quickly deploy jack-up rig Maersk Reacher in the Norwegian part of the North Sea.Maersk Reacher will be deployed as an accommodation rig, with the option of repurposing the rig for plugging & abandonment for the final phase of the contract. The rig is expected to commence operations in its new role by October, 2018.The flexible contract is agreed upon in continuation of the alliance between Maersk Drilling and Aker BP where the parties have committed to align incentives and co-create optimal solutions.“Like Aker BP…
Aker BP Adds More Acreage off Norway
Norway's independent oil firm Aker BP has agreed to buy stakes in 11 production licenses off Norway from French Total for a cash consideration of $205 million, the company said on Tuesday.The portfolio includes four discoveries with net recoverable resources of 83 million barrels oil equivalents based on estimates from the Norwegian Petroleum Directorate (NPD), it added."With this transaction, we get access to new tie-back opportunities in the Alvheim and Skarv areas, we strengthen our resource base in the NOAKA area, and we increase our interest in exploration acreage near the Ula field," Aker BP's Chief Executive Karl Johnny Hersv
Aker BP Beats Street, May Increase Drilling
Norway's Aker BP, partly owned by oil major BP, beat quarterly earnings forecasts on Monday, helped by record output and higher oil prices, and said it may drill more wells this year than previously planned. The company, controlled by a Norwegian billionaire Kjell Inge Roekke, is focusing more on developing its existing business after growing via a series of acquisitions, including last year’s purchase of Hess assets for $2 billion. Thanks to the latest purchase, which included a stake in the Valhall field, the company reported record first-quarter production of 158…
Aker BP Raises 2018 Dividend Forecast
Norway's Aker BP will pay out $450 million in dividends for 2018, $100 million more than previously indicated, and has "a clear ambition" to raise them by the same amount each year to 2021, the oil company said on Monday. "Our financial position has been strengthened. We have seen a rapid de-leveraging, and foresee a solid cash generation combined with a strong liquidity position," the company, 30 percent owned by BP, said in a statement. Aker BP expects its production to be between 155,000 and 160,000 barrels of oil equivalents per day (boepd) in 2018 compared with a proforma output of 160,000 boepd in 2017, it added.
Aker BP Sheds 10 pct Stakes in Valhall, Hod Fields
Norwegian oil firm Aker BP has agreed to sell 10 percent stakes in two North Sea fields to private equity-backed Pandion Energy for an undisclosed amount to help pay for expansion plans in the area, it said on Monday. The deal will leave Aker BP with holdings of 90 percent in each field, and will help pay for projects such as the Valhall Flank West, which is estimated to come on stream in 2020. Aker BP in October announced a $2 billion deal to buy Hess Corp's 64.05 percent stake in the Valhall field and 62.5 percent in Hod, raising its ownership to 100 percent, but added it would seek a partner for the licences.
Aker BP buys Hess' Norway unit for $2 bln
Output from Hess Norway field stakes 24,000 boepd. Aker BP will add the Norwegian operations of U.S. oil company Hess to its expanding exploration and production portfolio under a $2 billion deal announced on Tuesday. Under billionaire investor Kjell Inge Roekke, who controls a 40 percent stake, the Norwegian company has made eight acquisitions since 2014 including a merger with BP's Norway operations in mid-2016. The Hess operations will bolster Aker's production by about 17 percent, or 24,000 barrels of oil equivalents per day (boepd), the company said, adding it also saw significant potential for expansion.
Aker BP to Drill 6-8 Wells in 2018
Aker BP plans to drill between six and eight exploration wells off Norway next year, including four in the Barents Sea, the Norwegian oil firm's chief executive told Reuters. One of these will target a prospect in the southeast Barents on the maritime border with Russia and could contain significant new resources. "Yes, it can, but it also (has) quite a bit of risk," Chief Executive Karl Johnny Hersvik said in an interview at Aker BP's office near Oslo. Aker BP, which is 40 percent owned by Aker Capital and 30 percent by BP, operates the licence with partners including Russia's Lukoil and Norway's Statoil .
Aker BP: More Acquisitions Likely
Norwegian oil firm Aker BP continues to seek mergers and acquisitions, Chief Executive Karl Johnny Hersvik told an investor conference on Monday. The company, owned 40 percent by Norway's Aker ASA and 30 percent by BP, prefers oil-related assets rather than gas, and wants acquisitions to be accretive to its earnings, he added, without naming any potential targets. Even without any mergers or acquisitions Aker BP has plans to more than double its output by 2023, the company announced on Monday. Reporting by Nerijus Adomaitis
Aker BP Registers Strong Growth
Aker BP ASA increased reserves and maintained 'very good' results in exploration, drilling and wells, projects and production. The company has a view to a continued strong cash flow, and has a robust balance sheet give us freedom. - We are rigged for further growth, says CEO of Aker BP, Karl Johnny Hersvik. Aker BP's production in 2016 was 118,200 barrels of oil equivalent per day (boepd); 80 percent oil and 20 percent gas. The company expects production in 2017 will increase to between 128,000 and 135,000 boepd, with $ 11 in average production cost per barrel.
Aker BP Fires up Ivar Aasen
The first oil is produced by Ivar Aasen field in the North Sea. The start is in line with the plan, and the development is completed within budget. Aker BP is operator of the field, which started production on 24 December 2016. First oil from Ivar Aasen field comes four years after the plan for development and operation ( PDO ) was submitted. The plan sets a target for production start in fourth quarter 2016. CEO Karl Johnny Hersvik Aker BP is very pleased that the development is carried out accordingly. "The start-up is a major milestone for Aker BP as a company.
Det norske Lifts Output Guidance Ahead of BP Merger
Det norske oljeselskap, which plans to merge with BP Norway later this month to become Aker BP, raised its output guidance for 2016 based on stronger than expected production from the Alvheim area. Det norske's production (excluding effects of the planned BP merger) is expected to average between 62,000-65,000 barrels of oil equivalents per day in 2016, up from a previous guidance of 55,000-60,000 mboepd. * Hersvik: "We still see that there is a possibility to reduce cost by 20 percent in some of our projects. But we need to have the right priorities.
Aker Solutions, Det norske and Subsea 7 Form Development Alliance
Aker Solutions, Det norske oljeselskap and Subsea 7 agreed on a "one for all, all for one" collaboration model that marks a major shift in how an operator and its suppliers can work together on oil and gas developments offshore Norway. The alliance combines Det norske's exploration and production know-how with Aker Solutions' expertise in front end engineering, brownfield modifications and subsea systems and Subsea 7's capabilities in the engineering, procurement, installation and commissioning of subsea umbilicals, risers and flowlines (SURF).
Det Norske hit by Revenue Drop
Det Norske Oljeselskap ASA slumped to an operating loss in the first quarter on significantly lower revenue. The company reported a revenues of $ 205 (Q1 2015: USD 329) million in the first quarter. Production in the same period was 60,600 barrels of oil equivalent per day, while the realized oil price was $ 37 on average per barrel. EBITDA for the quarter amounted to 129 (261) million, and EBIT was -23 (86) million, after an impairment charge of 38 (53) million dollars. The quarterly result was 32 (2) million, giving earnings per share (EPS) of 0.16 (0.01) dollars.
Ivar Aasen Ready for Departure
(Singapore, 22 May 2016) The topside of Ivar Aasen field was completed on Sunday at the shipyard in Singapore and sailed to Norway shortly. The tire was delivered on budget and on time, which enables field development is on track to start production on December 1. "Ivar Aasen field is an important development on the Norwegian Continental Shelf and the Norwegian as operator . We are therefore very pleased to finalize the platform deck according to budget and on time. Work performed in Singapore are of high quality…
BP, Det norske in $1.3 bln Norwegian Oil Merger
All-share deal aimed at cutting costs, challenging Statoil; new venture could produce more than 10 pct of Norway's oil. Oil companies BP and Det norske have agreed to merge their Norwegian businesses in a $1.3 billion all-share deal to cut costs, challenge Statoil's dominance of the local industry and look for more acquisitions. The new venture, which could produce over a tenth of Norway's oil output, will offer BP an opportunity to tap into new oil production and reserves in the next decade after it cut back exploration in recent years.
Det norske Looking for More Deals in 'Very Interesting' Market -CEO
Norwegian oil firm Det norske sees scope for further transactions after its planned merger with BP's Norwegian business, its chief executive told Reuters on Thursday. "There is definitely a very interesting market with both majors, but also independents and utility companies, that are currently in some sort of process trying to assess the strategy, particularly related to upstream," chief executive Karl Johnny Hersvik told Reuters. BP and Det norske agreed in June to merge their Norwegian businesses in a $1.3 billion all-share deal.
