...

Equinor sees increase in natural gas sales volumes

Oil&Gas Materials 29 October 2020 11:19 (UTC +04:00)
Equinor sees increase in natural gas sales volumes

BAKU, Azerbaijan, Oct.29

By Leman Zeynalova – Trend:

Natural gas sales volumes of Norway’s Equinor company amounted to 14.1 billion standard cubic meters (bcm) in the third quarter of 2020, an increase of 1.6 bcm compared to the third quarter of 2019, Trend reports citing the company.

“Of the total gas sales in the third quarter of 2020, entitlement gas was 12.6 bcm, up 1.4 bcm from the third quarter of 2019. The increase was mainly due to higher NCS entitlement volumes. Liquids sales volumes amounted to 218.7 million barrels (mmbl) in the third quarter of 2020, up 14.2 mmbl compared to the third quarter of 2019 mainly due to increased NCS volumes.

“Average invoiced European natural gas sales price was 48 percent lower in the third quarter of 2020 compared to the third quarter of 2019 mainly due to drop in European gas prices. Average invoiced North American piped gas sales price decreased by 23 percent in the same period mainly due to the decreased Henry Hub price. Net operating income was positive USD 551 million in the third quarter of 2020 compared to negative USD 757 million in the third quarter of 2019.

“The increase was mainly due to inventory hedging effects and unrealised gain on derivatives amounting of USD 325 million in the third quarter of 2020, compared to a loss on derivatives of USD 453 million in the third quarter of 2019. In addition, provisions and impairment related to damage to the South Riding Point oil terminal in Bahamas negatively impacted net operating income in the third quarter of 2019. Adjusted purchases decreased mainly due to lower prices for all products.

“Adjusted operating and administrative expenses increased mainly due to higher transportation cost for liquids. Adjusted depreciation, amortisation and net impairment losses decreased slightly. After total adjustments of negative USD 289 million to net operating income, Adjusted earnings were USD 262 million in the third quarter of 2020, compared to USD 448 million in the third quarter of 2019. The decrease was mainly due to negative refinery margins partially offset by strong piped gas result,” reads the report.

---

Follow the author on Twitter: @Lyaman_Zeyn

Tags:
Latest

Latest