Today 19 March Equinor ASA (OSE: EQNR, NYSE: EQNR)
presents its 2020 annual report and form 20-F, and its 2020
Sustainability report.
“2020 was an extraordinary year with the pandemic causing human
suffering and market turmoil. I am impressed by our employees’ hard
work during this year, to keep people safe and operations running.
We delivered solid operational performance during this demanding
year, but our results were heavily impacted by the low prices for
oil and gas,” says Anders Opedal, President and CEO of Equinor
ASA.
There was unprecedented volatility and decline in prices during
the year, caused by the Covid-19 pandemic especially during the
first half. In March, Equinor launched a 3-billion-dollar action
plan to strengthen financial resilience. Delivery on the plan
resulted in savings of USD 3.7 billion, including a reduction in
fixed operating costs of around USD 1 billion.
Equinor is positioning itself to create value and be a leading
company in the energy transition and took major steps in 2020 to
shape the future of the company.
“We are preparing for a future that will be different from the
past. Equinor aims to be a leading company in the energy transition
and to build the energy industry of tomorrow,” says Opedal.
Annual report
In the Annual report for 2020, a new outline of the report and a
table with more information on a country-by-country basis are added
to facilitate a better overview of key events and results for
2020.
IFRS net operating income was negative USD 3.42 billion and the
IFRS net income was negative USD 5.50 billion. The results are
impacted by lower prices and impairments mainly due to reduced
future price assumptions.
Equinor delivered adjusted earnings(1) of USD 3.49 billion
before tax and USD 0.92 billion after tax, mainly adjusted for net
impairments. In 2020, the cash flow from operations after tax
amounted to USD 10.9 billion.
As a reaction to the market uncertainty, and to further
strengthen financial resilience, Equinor reduced its cash dividend
significantly and suspended share buy backs under the share
buy-back programme in the spring of 2020. Total capital
distribution to shareholders for the year was USD 3.39 billion.
For the full year, the serious incident frequency was 0.5, down
from 0.6 in 2019. The total recordable injury frequency was at 2.3,
down from 2.5 in the previous year.
“Although we observed a positive trend in some of our safety
indicators, serious incidents at our onshore plants are a stark
reminder that we need to further improve our safety performance.
Together with our suppliers and partners, we must ensure
implementation of existing safety initiatives and focus on
extracting learnings from previous incidents,” Opedal writes in the
letter.
Equinor’s management and external auditors have in accordance
with requirements for SEC reporting companies assessed and
concluded that Equinor’s internal control over financial reporting
as of 31 December 2020 was not effective due to control
deficiencies related to two specific areas. Equinor is actively
undertaking remediation efforts to address the two material
weaknesses. The auditors have provided an unqualified audit report
on the consolidated financial statements.
Sustainability report
The 2020 Sustainability Report offers an overview of how Equinor
works with its most material sustainability impacts. Sustainability
is embedded in Equinor’s strategy, and the company is committed to
long term value creation inspired and guided by the United Nations’
Sustainable Development Goals.
“Society has to move towards net-zero emissions, and we aim to
be a committed partner on that journey. Equinor has set clear
ambitions for the future and we are delivering strong progress to
achieve them,” says Opedal.
In 2020, Equinor’s (scope 1 & 2) greenhouse gas emissions
were 1.4 million tonnes lower than in 2019, due to energy
efficiency projects, changes in the portfolio and lower activity
level.
The average C02 intensity of Equinor’s operated portfolio was
8.0 kg CO2 per barrel of oil equivalent (boe), down from 9.5 kg per
boe in 2019. Going forward, Equinor expects fluctuations in the
upstream carbon intensity from year to year, but the long-term
direction towards lower emission intensity is clear.
Renewables and low carbon solutions projects accounted for 4% of
Equinor’s gross capex in 2020. The renewable share of all projects
sanctioned, and investments committed in 2020 was around 60%.
The company is reporting on new metrics on climate, security,
human rights, and diversity & inclusion in the 2020 report. The
material topics are also more clearly linked to the UN’s
Sustainable Development Goals.
The 2020 Sustainability report may be downloaded from Equinor’s
website at Equinor.com.
* * *
In accordance with Section 203.01 of the New York Stock Exchange
Listed Company Manual, Equinor ASA announces that on 19 March 2021
it filed with the Securities and Exchange Commission its 2020
Annual Report on Form 20-F that included audited financial
statements for the year ended December 31, 2020.
The Equinor 2020 Annual Report and Form 20-F may be downloaded
from Equinor’s website at www.equinor.com. References to this
document or other documents on Equinor’s website are included as an
aid to their location and are not incorporated by reference into
this document. All SEC filings made available electronically by
Equinor may be obtained from the SEC’s website at www.sec.gov.
Shareholders may also request a hard copy of the annual report
free of charge at www.equinor.com.
* * *(1) These are non-GAAP figures. See Use and reconciliation
of non-GAAP financial measures in the report for more details.
* * *
Further information
Investor relationsPeter Hutton, Senior Vice
President, Investor Relations,+44 7881 918 792
PressBård Glad Pedersen, Vice President, Media
Relations,+47 918 01 791
* * *Cautionary Note regarding Forward Looking StatementsThis
press release contains forward-looking statements. Forward-looking
statements reflect current views with respect to future events and
are, by their nature, subject to significant risks and
uncertainties because they relate to events and depend on
circumstances that will occur in the future. There are a number of
factors that could cause actual results and developments to differ
materially from those expressed or implied by the forward-looking
statements.
* * *
This information is subject to the disclosure requirements
pursuant to Section 5-12 of the Norwegian Securities Trading
Act
- Equinor Sustainability Report 2020
- Equinor Annual report and Form 20-F 2020
Equinor ASA (NYSE:EQNR)
Historical Stock Chart
From Mar 2024 to Apr 2024
Equinor ASA (NYSE:EQNR)
Historical Stock Chart
From Apr 2023 to Apr 2024