The FINANCIAL -- Equinor has reduced the estimated investments for operated projects in the development phase on the Norwegian continental shelf by some NOK 30 billion since the development plans were submitted to Norwegian authorities.
This appears from the status for Norwegian projects under development published the Government’s national budget proposal for 2019. Adjusting for the currency effects of a weak NOK, the reduction of investments for the portfolio is substantially bigger.
Taking over the operatorship for the Martin Linge project in March 2018 Equinor has conducted a thorough review of the project, establishing a plan for safe start-up. Based on estimates of the remaining work at Martin Linge start-up is scheduled for the 1st quarter of 2020. The updated investment estimate totals NOK 47.1 billion.
The investment estimate for Martin Linge has increased by NOK 3.6 billion since last reporting based on Equinor’s assessment of the remaining scope of work. In addition, the change of operatorship has necessitated an accounting change for the project of NOK 1.35 billion.. This applies to charter rates for storage vessels and historical drilling rig rates.