The financial result¹ in 2018 was NOK 114 billion, compared with 99 billion in 2017. Net cash flow to the state amounted to NOK 120 billion, compared with NOK 87 billion in 2017. The positive development in cash flow and financial result was primarily caused by higher oil and gas prices.

The average price of oil and gas increased considerably in 2018. The realised oil price was NOK 573 per bbl (USD 71), compared with NOK 449 (USD 54) in 2017. The realised gas price was NOK 2.17 per Sm³, compared with NOK 1.72 per Sm³ in 2017.

Production expenses include all operating and maintenance expenses for fields and pipeline facilities. Costs increased in 2018 following a period of falling production expenses. Adjusted for the accrual related to the Troll Unit, costs increased by 7 per cent. The increase is mainly due to higher prices for power and CO2 quotas, as well generally higher costs for fields in operation.

Gas production reached record levels in 2018 with 712 thousand boe per day (113 million Sm³ per day). Liquids production amounted to 372 thousand boe per day, 7 per cent lower than in 2017. The decline in liquids production is primarily caused by natural production decline and an increased number of planned shutdowns in 2018. Total production amounted to 1.085 million barrels of oil equivalents (boe) per day, about 2 per cent lower than in 2017.

Investments in 2018 totalled NOK 22.6 billion, about 4 billion lower than in 2017. The reduction in investments is mainly caused by drilling fewer wells, as well as a somewhat lower activity level within development. Production drilling in 2018 accounted for more than half of overall investments.