Equinor Q4 Loss Widens; To Sell US Onshore Assets In Bakken

(RTTNews) - Norwegian energy company Equinor ASA (EQNR) reported that its fourth-quarter IFRS net loss widened to $2.42 billion from $0.23 billion in the fourth quarter of 2019.

IFRS net operating loss was $0.99 billion compared to net operating income of $1.52 billion in the same period in 2019. Net operating result was negatively impacted by net impairments of $1.30 billion, mainly relating to a refinery as a result of reduced margin assumptions and some increase in cost estimates, and to an operated unconventional onshore asset in North America due to reclassification as held for sale.

Adjusted earnings were $0.76 billion in the fourth quarter, down from $3.55 billion in the same period in 2019.

The board of directors proposes to the annual general meeting a cash dividend of USD 0.12 per share for the fourth quarter 2020.

In a separate press release, Equinor has agreed to divest its interests in the Bakken field in the US states of North Dakota and Montana to Grayson Mill Energy, backed by EnCap Investments, for a total consideration of around $900 million.

In parallel with this transaction, Equinor Marketing and Trading will enter into a term purchase agreement for crude offtake with Grayson Mill Energy.