Finance
Equinor Q4 profit beats forecast, raises 2030 oil output target
Published by Global Banking and Finance Review
Posted on February 5, 2025
Global Banking and Finance Review
Company
Global Banking and Finance Review is an online platform offering news, analysis, and opinion on the latest trends, developments, and innovations in the banking and finance industry worldwide. The platform covers a diverse range of topics, including banking, insurance, investment, wealth management, fintech, and regulatory issues. The website publishes news, press releases, opinion and advertorials on various financial organizations, products and services which are commissioned from various Companies, Organizations, PR agencies, Bloggers etc. These commissioned articles are commercial in nature. This is not to be considered as financial advice and should be considered only for information purposes. It does not reflect the views or opinion of our website and is not to be considered an endorsement or a recommendation. We cannot guarantee the accuracy or applicability of any information provided with respect to your individual or personal circumstances. Please seek Professional advice from a qualified professional before making any financial decisions. We link to various third-party websites, affiliate sales networks, and to our advertising partners websites. When you view or click on certain links available on our articles, our partners may compensate us for displaying the content to you or make a purchase or fill a form. This will not incur any additional charges to you. To make things simpler for you to identity or distinguish advertised or sponsored articles or links, you may consider all articles or links hosted on our site as a commercial article placement. We will not be responsible for any loss you may suffer as a result of any omission or inaccuracy on the website.
Published by Global Banking and Finance Review
Posted on February 5, 2025
OSLO (Reuters) -Equinor on Wednesday posted slightly higher-than-expected profits for the final quarter of 2024, while raising its oil and gas output forecast and scaling back plans for renewable energy capacity expansion.
The Norwegian oil and gas producer's adjusted earnings before tax for October-December fell to $7.90 billion from $8.56 billion a year earlier, beating the $7.71 billion predicted in a poll of 24 analysts compiled by Equinor.
"In 2030 expected (oil and gas) production is around 2.2 million barrels of oil equivalent per day, up from a previous expectation of around 2 million," Equinor said in a statement.
The company reduced its renewable energy target for 2030 to a capacity of between 10-12 gigawatt from 12-16 gigawatt previously, it said.
Equinor said it was "lowering (the) investment outlook for renewables and low-carbon solutions to adapt to market conditions and further strengthen value creation for shareholders".
The company in 2022 overtook Russia's Gazprom as Europe's biggest supplier of natural gas when Moscow's invasion of Ukraine upended decades-long energy ties. Norway now meets around one third of the continent's demand.
In 2025, oil and gas output is expected to rise by 4% from 2024, Equinor said, adding that its giant Johan Sverdrup oilfield, Europe's largest, will continue producing at levels close to what it did in 2023 and 2024.
Equinor had previously said the Sverdrup field, which can produce up to 755,000 barrels of oil per day, was to come off plateau production in early 2025.
Equinor said its annual organic capital spending target for 2025 was set to $13 billion, below the previously indicated 2025-2027 spending of between $14 billion and $15 billion per year on average.
The company said it expects total capital distribution, in the form of dividend and share buybacks, at $9 billion in line with its previous guidance of $8 billion-$10 billion.
The ordinary cash dividend for the fourth quarter was raised to $0.37 per share from $0.35 in the third.
(Reporting by Nerijus Adomaitis and Nora Buli, editing by Terje Solsvik and Gwladys Fouche)