British analyst believes Statoil has received false start – Aftenposten

British analyst believes Statoil has received false start – Aftenposten

– Is there anyone who has a pound for the taxi? Is there anyone who has money on it?

Statoil management had to dig deep in suit pockets to scrape together enough money to take a little trip in the backseat of a classic London taxi, in honor of those in attendance photographers. This was Eldar Sætre first results presentation in London’s financial district, after he was declared Wednesday to Statoil’s new CEO.

And Statoil boss was peppered with questions about the company’s prospects of international analysts in financial capital. Nysjefens priority will be to examine company is looking for savings opportunities, having put forward a weak operating results for FJ fourth quarter of NOK 9 billion – down from 44 billion in the same period in 2013.

Credible plan

A main strategy of Saetre is stepping up Statoil ongoing improvement by 30 percent, to 13 billion per. years from 2016. Analyst Julia Rainforth in the large British bank Barclays said she is willing to “let doubt come Statoil to good” after having looked at Sætre plans.

She believes that Statoil has already acquired himself a little ahead of the competition.

– When they in February 2014 came up with his original plan was the first of the companies I follow that let its efficiency plan on the table. So they have acquired a small head start, and they put forward today shows that they do actually work.

And here it is more to be gained, promised Saetre his listeners.

– We have increased the ambition of improving our program and has much more to do when it comes to streamlining modifications. We conduct already modifications 24 percent more efficiently than we did a year ago, says Sætre.

Rainforth believes Sætre savings plan sounds more believable than other companies.

– What we have seen today is that the measures they have implemented actually work. When they go through their schedules can actually see that it is starting to yield results. It is uplifting, she says.

Sætre solution

Sætre cure for 2015 also consists of investment cuts to compensate for falling prices. 15 billion to be cut in the investment plan for 2015. Among other added parts of the small lucrative tjæresand- and shale gas activity in North America on ice.

– We downsizes further mainland activity in the United States, with a 20-25 percent compared to 2014, where we have more flexibility than on large projects Norwegian shelf.

Saetre was less interested in concretize how many jobs are in jeopardy, but says it is difficult to avoid further cuts in staff.

– There are probably very likely. But I have deep respect for the cooperation we now have with our elected representatives, and it is a comprehensive project, says Sætre.

Purses to shareholders

Despite that Statoil now experiencing both a decline in earnings and operating results, they have not chosen to cut the dividend. It is also the plan for the next three quarters, whatever oil prices.

During the four months Saetre has worked in the job, the oil price plummeted since last summer, the price of crude oil from the North Sea more than halved. But Saetre could not offer a reassuring answer to how the price will develop in the future.

– I do not have a crystal ball in front of me, just as you. All I see is a lot of uncertainty before us. We are confident that the price will recover at one time or another. But when is impossible to say.

Published: 06.feb. 2015 9:55 p.m.