Norway is the world's third-largest crude oil exporter Norway's Statoil has reported surging annual earnings as the oil and gas firm pushes ahead with the takeover of Norwegian rival Norsk Hydro. State-run Statoil said its full-year net income rose by 31% to 40.6bn kroner (£3.3bn; $6.5bn) during 2006.

Statoil and Norsk Hydro unveiled plans last year to create the world's largest offshore oil firm, capable of producing 1.9 million barrels of oil a day. The firms expect to produce annual cost savings of about $650m from the merger. Under the proposed deal, the Norwegian government would hold 67% of the shares in the new operator.
Norway is the world's third-largest crude oil exporter, after Saudi Arabia and Russia.

"Annual income for 2006 is the best ever," said Statoil chief executive Helge Lund. "We maintain strong earnings and competitive returns, despite temporarily lower production overall."

Statoil's sales in the final three months of the year fell to 103.6bn kroner, from 106.1bn kroner a year earlier, mainly because of a 9% decline in the firm's total oil and gas production.

Other oil companies around the world have also reported record profits as the price of crude oil surged this year.

Back to Oil News Stories

Branding and Website by Nextphase Strategy