ExxonMobil to Sell Norway Upstream Operations for $4.5 Billion
September 26 2019 - 12:45PM
Business Wire
- Agreement includes ExxonMobil’s upstream portfolio in
Norway
- Part of ExxonMobil’s previously announced plans to divest $15
billion by 2021
- ExxonMobil retains downstream refining operations and
Esso-branded retail network in Norway
ExxonMobil signed an agreement today with Vår Energi AS for the
sale of its non-operated upstream assets in Norway for $4.5 billion
as part of its previously announced plans to divest approximately
$15 billion in non-strategic assets by 2021.
“Our objective is to have the strongest, most competitive
Upstream portfolio in the industry,” said Neil Chapman, senior vice
president of ExxonMobil. “We’re achieving that by adding the best
set of projects we’ve had in many years and divesting assets that
have lower long-term strategic value. This sale is an important
part of our divestment program, which is on track to meet our $15
billion target by 2021.”
The transaction includes ownership interests in more than 20
producing fields operated mostly by Equinor, including Grane,
Snorre, Ormen Lange, Statfjord and Fram, with a combined production
of approximately 150,000 oil-equivalent barrels per day in
2019.
The transaction is expected to close in the fourth quarter of
2019, subject to standard conditions precedent, including customary
approvals from regulatory authorities. The majority of the
ExxonMobil employees impacted by the sale will transfer to
positions at Vår Energi.
In 2017 the company sold its ownership interests in the
ExxonMobil-operated fields Balder, Jotun Ringhorne and Ringhorne
East to Point Resources.
The ExxonMobil refinery in Slagen and network of approximately
250 independently owned Esso-branded retail sites are unaffected by
the agreement.
About ExxonMobil
ExxonMobil, the largest publicly traded international oil and
gas company, uses technology and innovation to help meet the
world’s growing energy needs. ExxonMobil holds an industry-leading
inventory of resources, is one of the largest refiners and
marketers of petroleum products, and its chemical company is one of
the largest in the world. For more information, visit
www.exxonmobil.com or follow us on Twitter at
www.twitter.com/exxonmobil.
Cautionary Statement
Statements of future events, strategic plans or market
conditions in this release are forward-looking statements. Actual
future results, including future business plans, divestment plans
and closing of the sale and purchase agreement, could differ
materially due to changes in market conditions affecting the oil
and gas industry or long-term oil and gas price levels; political
or regulatory developments; granting of regulatory approvals for
the closing of the agreement; satisfaction of other conditions
specified in the agreement; the outcome of commercial negotiations;
current or future market values of assets; and other factors cited
under the caption “Factors Affecting Future Results” on the
Investors page of our website at exxonmobil.com. We assume no duty
to update these statements as of any future date.
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