Den norske stats oljeselskap a.s Annual report and accounts 1982 \ \ \ \ Den norske stats oljeselskap a.s Contents The Board of Directors Company Assembley Page Chairman: Chairman: 3 Statoil’s financial result Finn Lied, Director Egil Aarvik, Editor 1972 - 1982 Vice-Chairman: Vice-Chairman: 4 Statoil’s value added 1972 - 1982 Fredrik Thoresen, Managing Director Evy Buverud Pedersen, 5 Highlights Thor Andreassen, Managing Director Trade Union Secretary 7 Report of the Board of Directors Benedicte Berg Schilbred, Odd Bakkejord, Trade Union Secretary for 1982 Managing Director Grethe Westergaard-Bjørlo, Teacher 19 Profit and loss statement for 1982 Finn T. Isaksen, Managing Director Bodil Bjartnes, Adviser 20 Balance sheet as of 31 December Erling Haug, Licence Manager Egil Flaatin, Director 1982 Atle A. Thunes, Senior Project Engineer Johan Nordvik, Mayor 22 Comments to financial statements Martha S~ter, Clerk 30 Insurance of Offshore Installations Alternate members: Bjom Lian, Section Manager and Onshore Facilities Jan Skaar, Director Ama Jørgensen, Economic Coordinator 35 Articles of Association Gerd Schanche, Housewife Vidar Thomassen, Systems Engineer 36 Wells drilled on the Norwegian Margaret B. L. Sanner, Senior Secretary Lars Bakka, Legal Counsel shelf in 1982 Hans Jacob Fevang, Planner 37 Survey of activities for the Gunnar Langvik, Section Manager Alternate members consolidated companies Jan Gerhard Thoresen, Mv Jacob Fostervoll, County Governor 38 Statoil interests in licences Procurement Manager Johannes Andreassen, allocated as of 1 January 1983 Administration Manager Auditor Ragnhild Midtbo, Teacher Endresen, Kiette & Co., Jan I. Holm, Marine Adviser State Authorized Auditors Tine IhIe, Senior Secretary Inger Helen Førland, Senior Engineer Lars Sund, Research Coordinator Kjell Mork-Knudsen, Systems Manager Victor Jensen, Procurement Officer Trond Eilertsen, Junior Drilling Supervisor Jan Rafdal, Senior Engineer I EXECUTIVE COMMITTEE I President A. Johnsen Sen. Exec. Vice Pres. H. Ager-Hanssen Exec Vice Pres Exec Vice Pres Exec Vice Pres J M Wennesland J En J Øxnevad INFORMATION AND SAFETY, QUALITY LEGAL AFFAIRS ASSURANCE PUBLIC AFFAIRS Manaaer 0 J Tveit Manager W H Olsen Manager J. S Middelthon RESEARCH AND ECONOMY AND PERSONNEL RESOURCES AND DEVELOPMENT ADMINISTRATION ORGANIZATIONAL DEVELOPM. Sen Vice Pres R S Kvamsdal Sen Vice Pres J E Larigangen - Sen Vice Pres K E Egeland I — I — TECHNOLOGY AND REFINING AND TRANSPORT PROJECTS PRODUCTION I MARKETING Sen. Vice Pr J E Sandvik Sen. Vice Pres J M Huslid I Sen ViceEXPLORATION Pres M Bekkehe& Sen Vice Pres T Espedal Cover photo: The three first stages of the Statoil headquarters in Stavanger are now finished. We see some of the employees gathered in the patio between the buildings. 2 Statoil’s financial result 1972 - 1982 1972 1973 1974 1975 1976 1977 1978 1979 1980 1981 1982 3000 2500 2000 1500 1000 500 500 Statoil’s financial result in 1982 was NOK 2,729 million before taxes. Estimated taxes are NOK 2,296 million. The upper curve indicates the result before taxes during the period 1972 - 1982, while the lower curve shows taxes paid in 1981 and estimated taxes for 1982. Statoil’s value added for the last 10 years State, municipality: NOK 4,638 mIllion .00/0 DMdends: NOK 721 million — Lenders: NOK 2,999 millIon — 22 Employees: NOK 1,068 million The company: NOK 4,225 mIllion — 30.9°/o Statoil’s value added during he last 0 years amount to NOK 13,651 million. The distribution of the value added is illustrated above. The Government’s dividends are the divdends paid for 1981 plus the Board’s suggested dividends for 1982. Pai taxes, estimated taxes, dividends paid and dividends suggested total NOK 5,359 million during the period. In addition there are taxes deducted for the employees of NOK 288 million. Statoil’s first decade was characterized by the exploration department. Statoil has a project office in development of an organization designed to meet the Asker near Oslo. In Trondheim there is a department large challenges of the oil and gas business. Know- under the Division for Technology and Development, how and decentralization are important aspects of and a department for research and development. this development. There is an exploration and a drilling department in The Statoil Group had 2,900 employees at the end Harstad, and a production organization is being of 1982. In addition to the parent company Statoil, planned. Statoil has a drilling department on Sotra. the consolidated companies include Rafinor A/S at At Tysv~r there is a project office and an operating Mongstad and Norsk Olje a.s, headquartered in Oslo. company for the Statpipe terminal. The operating The Statoil headquarters is in Stavanger; in addi company for the pipeline and the riser platforms will tion the company has offices in Oslo, Bergen, Trond be set up on Karmøy. heim, Harstad, at Tysv~r and on Sotra. Statoil has Statoil is also engaged in base activities in Stay offices abroad in Beijing (Peking), London and anger, Kristiansund, Brønnoysund, Sandnessjøen, Stockholm. Harstad and Hammerfest,on Sotra, at Florø, Tr~na A Gullfaks production company has been and Andenes. established in Bergen, in addition to a separate 4 Highlights Amounts in millions of NOK Profit and loss statement The consolidated company Statoil 1982 1981 1980 1982 1981 1980 Operating revenue 16938 13681 8719 14326 11593 7151 Operating result 5747 3 839 1 463 5360 3679 1 392 Financial expenditure 2 332 1 734 656 2 138 1 565 548 Result before year end adjustments 3432 1 933 813 3235 1 950 848 Net income 402 1 019 203 433 1 052 223 Balance sheet The consolidated company Statoil 1982 1981 1980 1982 1981 1980 Current assets 3886 2849 3 119 2 943 2 044 2 352 Investment capita 17714 13029 11474 16886 12178 10600 Current liabilities 6422 3748 3116 5849 3064 2447 Long term debt 11529 8631 9019 10455 7691 8090 Shareholder’s equity 3370 3 336 2 317 3521 3456 2 404 Personnel The consolidated company Statoil 1982 1981 1980 1982 1981 1980 Number of employees as of 31 Dec. 2 933 2 645 2335 1 660 1 362 1 059 Salaries and social costs 617 471 347 366 250 157 Other highlights The consolidated company Statoil 1982 1981 1980 1982 1981 1980 Investments 6 123 3 091 2610 5928 2953 2 465 Ordinary depreciation 859 679 489 707 531 352 Shares 2944 2944 2944 2944 2944 2944 —. — ,~- - i’~ IflhILh ~ - ~ ~ ~ ~iUr ~IW~ iI~B ~u’ ‘~ ~r~i &~ ~ ~ ~- ~.;-~i ~,-==~ a ~ C; M~ IaII~WflIEI .~ ~( ~ ~‘-~ ~ - I?’ 4~ajr. ___ - — ==—-- —- -_,fl -~I-—_ ~ —J ~ ~ :ts~ - I’i ~ ~i~r’ ~ ~!i~..!ii~ha~ ~ II- — * - - Report of the Board of Directors for 1982 Introduction Frigg At Frigg, 16.7 billion cubic metres 1982 showed good results for the of gas were produced in 1982. The consolidated companies. The result Statoil share of the production was before year end adjustments increased 515 million cubic metres. The Statoil from NOK 1,933 million in 1981 to operating result from Frigg was NOK 3,432 million in 1982. The re NOK 342 million in 1982. suit after taxes was NOK 402 million Development of North East Frigg compared to NOK 1,019 million the is on schedule and the field is year before. The reason for the re expected to be ready for production duced result after taxes is the increase 1 January 1984. in taxes as a consequence of previous Statfjord B went on stream on 5 November 1982. years’ deficit being covered in 1980 and 1981. Exploration and production Statfjord ,0’ • _. In 1982, the average daily produc tion of crude oil from Statfjord A was 221,000 barrels compared to 162,000 barrels in 1981. A total of 10.7 million tonnes were produced from Statfjord 0 A, of which Statoil’s share was 4.5 — ... .. •1. million tonnes. Statfjord B went on stream on 5 .1 • •..... ~ .:.~ November 1982. Increase in daily production has been on schedule, and at the end of 1982 production reached :i •1~u~ ~~jl ~ 82,000 barrels. The cost estimates for ~ l~i~ platform B are some NOK 10.8 bil ~a. ~ lion. Construction of the Statfjord C platform is on schedule. The concrete structure was floated out from the dock in the spring of 1982 and slip forming was started. Lifting of deck modules began in January 1983. The C platform is scheduled to be ready for production at the beginning of 1986. Based on the revised cost estimates for the B platform from 1981, the cost estimates for the C platform were re vised again at year end 1981. This • • resulted in a readjustment from - NOK 12.3 to NOK 13.1 billion. - • The Statoil operating result from 4~ ‘-~~-•: -~:---~ Statfjord production was NOK 5.6 billion in 1982. Murchison Crude oil production from the Mur chison field was 5.3 million tonnes in 1982, of which Statoil received about 0.4 million tonnes. Statoil’s operating result was NOK 568 million. Norwegian authorities gave per mission to the Norwegian licensees in Murchison to land the Murchison gas Gulifaks The construction of Statfjord C is on schedule. in the UK. At the same time, it was The Gullfaks development is a ma- Modules are being hoisted onto the deck at decided to exercise the Norwegian jor task for Statoil. The company is Rosenberg Shipyard, Stavanger. group’s option to become a licensee operator and has an 85 per cent share in the pipeline from Murchison to the of the field. The total recoverable re Brent field. From Brent the gas will serves are estimated at 210 million flow through the Flags system to St. tonnes of oil and 29 billion cubic Fergus in Scotland. metres of gas. 7 The drilling rig Neptuno Nordraug in the Midnight Sun on Tromseflaket in the summer of 1982.