(Trondheim, 29 December 2023): OKEA ASA (OKEA, OSE: OKEA) today announces
completion of the Statfjord transaction with Equinor Energy AS (Equinor).
Reference is made to the stock exchange announcement on 20 March 2023, where
OKEA announced that it had entered into an SPA with Equinor. Reference is
further made to the stock exchange announcement on 30 November 2023 where the
company informed about Equinor's RNB 2024 numbers for the Statfjord Area and
that completion of the transaction will be postponed. The RNB 2024 numbers
indicated a 10-15% reduction in volumes over the lifetime of the acquired assets
compared to RNB 2023 combined with an increase in cost. The reduction in volumes
is mainly due to production regularity and well performance and is most
significant in the near term.
As the updated projections indicate a material reduction in fair value, OKEA
expects to recognise an impairment in the range of NOK 1,100 - 1,600 million in
the financial statements for the fourth quarter of 2023. As a goodwill
impairment, the impact to the financial statements will be the same before and
after tax.
Based on the current outlook, and due to dividend restrictions in the OKEA04
bond, the board of directors does not intend to propose any dividend plan for
distribution in 2024.
As part of an agreement between OKEA and Equinor, USD 60 million of the purchase
price consideration will be deferred until end of January 2024.
"After a thorough process, we have concluded that completing the transaction
represents the best way forward for OKEA. We remain fully committed to the
continued execution of our growth strategy as a leading mid to late-life
operator on the Norwegian continental shelf and will work diligently with
Equinor and the licence partners to develop the full potential of the Statfjord
Area" says Svein J. Liknes, CEO of OKEA.
For further information, please contact: VP IR and Communication, Anca Jalba,
+47 410 87 988
About OKEA
OKEA ASA is a leading mid- to late-life operator on the Norwegian continental
shelf (NCS). OKEA finds value where others divest and has an ambitious strategy
built on growth, value creation and capital discipline.
OKEA is listed on the Oslo Stock Exchange (OSE: OKEA).
More information at www.okea.no