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Tuesday, 02 December, 2008, 03:30 GMT | more >>

StatoilHydro rakes it in



By Upstream staff 

StatoilHydro booked net income of Nkr10.7 billion ($1.9 billion) for the third quarter, adding it has not yet paid anything for its stake in Russia's Shtokman development.

The 26% increase in net income - Statoil booked Nkr8.5 billion in the third quarter of 2006 - was mainly due to an increase in net financial items from currency gains, and partly offset by lower downstream results, StatoilHydro said.

Meanwhile, company boss Helge Lund said the company had not yet put any cash towards its stake in Shtokman.

Last week, Russian gas giant Gazprom chose StatoilHydro as its second partner in the giant barents Sea development. Total is the other foreign player.

Some Russian media reports said StatoilHydro had paid hundreds of millions of dollars for its 24% stake in the company that will develop Shtokman.

"We have not paid one crown at this stage," Lund told Reuters on the sidelines of the company's third-quarter results presentation.

Last week, StatoilHydro said its costs were limited in the initial stage to costs of planning and studies for Shtokman. It said that was the extent of its cost exposure up to a final investment decision which is expected to be made in the second half of 2009.

The company also booked net income for the first nine months of the year of Nkr 29.5 billion, compared to Nkr 29.1 billion in the first nine months of 2006.

Total oil and gas production in the third quarter was 1.05 million barrels of oil equivalent per day, compared to 1.07 billion boed in the third quarter of 2006.

The 2% drop was mainly related to reduced production on the Norwegian continental shelf, and was partly offset by higher production from new fields, StatoilHydro said.

StatoilHydro's financial statements for the third quarter of 2007 comprise the financial results for the former Statoil group only.


Monday, 29 October, 2007, 07:29 GMT  | last updated: Monday, 29 October, 2007, 11:07 GMT

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