Norwegian energy company Equinor's adjusted earnings decreased to $4.19 billion in the first quarter of 2019, from $4.41 billion in the same period of 2018, the company said on Friday.
The company reported that although production was at a high level, lower oil prices impacted the result.
"Underlying operating costs and administrative expenses per barrel increased somewhat from the same quarter last year, mainly due to new fields coming on stream," the company said.
Equinor's President and CEO Eldar Saetre said that in a quarter with lower commodity prices, the company maintained high production, and is continuing with strong cost focus and strict capital discipline.
"Johan Sverdrup [oil field in North Sea] will start production later this year, and our project developments are on track to deliver production growth towards 2025. So far this year, we have accessed attractive new acreage in Norway and Argentina, announced the investment decision for a new platform at the ACG [Azeri-Chirag-Deepwater Gunashli] field offshore Azerbaijan and had the official opening of the Arkona wind farm in Germany,” he said.
The Johan Sverdrup field is one of the five biggest oil fields on the Norwegian Continental Shelf. With recoverable resources estimated at between 2.2 and 3.2 billion barrels of oil equivalent (boe) with expected volumes of 2.7 billion boe, it is one of the most important industrial projects in Norway with impacts that are set to last over the next 50 years.
Equinor holds a 40.03% share in the field while Lundin Norway holds a 22.6% stake; Petoro has a 17.4% interest, Aker BP owns 11.57 % and Total has 8.4%.
By Murat Temizer