Aker BP - Fourth quarter 2023 results

Rhea-AI Summary

Aker BP delivered strong operational performance in the fourth quarter of 2023, with low cost and high efficiency, although production volumes were impacted by an unplanned shutdown at Alvheim. The company maintained low emissions intensity at an industry-leading level. Oil and gas production reached 444 mboepd in the fourth quarter and 457 mboepd for the full year 2023. Production cost amounted to USD 6.2 per barrel produced. Greenhouse gas emissions averaged 2.8 kg CO2e per boe, both for the quarter and the full year, ranking among the lowest in the global oil & gas industry. Aker BP's EBITDA was USD 3,174 million, operating profit USD 2,154 million, net profit USD 164 million, and free cash flow USD 461 million. Dividend per share increased to USD 2.4 for 2024, equivalent to USD 0.60 per quarter. Guidance for 2024 includes a production range of 410-440 mboepd, capex of around USD 5 billion, exploration spend of around USD 500 million, abandonment spend of around USD 250 million, and production cost of around USD 7 per boe.

Positive

• Strong operational performance in Q4 2023
• Low production cost and high efficiency
• Maintained low emissions intensity
• Significant financial performance with EBITDA of USD 3,174 million
• Increased dividend per share to USD 2.4 for 2024
• Guidance for 2024 includes production range of 410-440 mboepd and capex of around USD 5 billion

Negative

• None.

LYSAKER, Norway, Feb. 8, 2024 /PRNewswire/ -- Aker BP delivered strong operational performance in the fourth quarter of 2023, with low cost and high efficiency, although production volumes were impacted by an unplanned shutdown at Alvheim. All field development projects continued progressing as planned, and the company maintained its low emissions intensity at an industry-leading level.

Highlights          

• Strong production: Oil and gas production reached 444 mboepd in the fourth quarter and 457 mboepd for the full year 2023, in line with guidance           
• Cost efficiency: Production cost amounted to USD 6.2 per barrel produced, both for the fourth quarter and the full year           
• Low emissions: Greenhouse gas emissions averaged 2.8 kg CO₂e per boe, both for the quarter and the full year, ranking among the lowest in the global oil & gas industry           
• Progress on field developments: All projects are progressing as planned and within budget, with fabrication activities underway at multiple locations           
• Strong financial performance: EBITDA of USD 3,174 million, operating profit of USD 2,154 million, net profit of USD 164 million, and free cash flow of USD 461 million.           
• Returning value: Dividend per share increased to USD 2.4 for 2024, equivalent to USD 0.60 per quarter

Comment from Karl Johnny Hersvik, CEO of Aker BP

"We ended the year on a strong note, successfully delivering on our targets despite experiencing some operational challenges in the second half. 

I would like to take the opportunity to underscore the strong efforts of our team during the unplanned shutdown at Alvheim, which demonstrate the dedicated commitment and problem-solving capabilities that characterise this company.

Furthermore, I am pleased to confirm that our field development projects are on track. The cost estimates remain unchanged, and we are one year closer to first oil and generating another wave of value creation for Aker BP and our stakeholders.

Ultimately, we maintain our position as a leader in the E&P industry through high efficiency, low operational costs and low emissions."

Guidance for 2024

Aker BP today also provides guidance for 2024, based on the company's business plan, consisting of the following key parameters:

• Production of 410-440 mboepd            
• Capex of around USD 5 billion            
• Exploration spend of around USD 500 million            
• Abandonment spend of around USD 250 million            
• Production cost of around USD 7 per boe            
• Dividend of USD 2.4 per share (USD 0.60 per quarter)

Webcast presentation

Today at 08:30 CET, the management will present the results on a webcast available on www.akerbp.com/en. The presentation will be followed by an online Q&A session.

Attachments

Aker BP 2023-Q4 Report.pdf
Aker BP 2023-Q4 Presentation.pdf

CONTACT:

Investor contacts:
Kjetil Bakken, Head of IR, tel.: +47 918 89 889
Carl Christian Bachke, IR Officer, tel.: +47 909 80 848
Martin Seland Simensen, IR Officer, tel.: +47 416 92 087

Media contacts:
Tore Langballe, VP Communications, tel.: +47 907 77 841
Ole-Johan Faret, Press Spokesman, tel.: +47 402 24 217

The following files are available for download:

https://mb.cision.com/Main/1629/3924416/2590277.pdf	Release
https://mb.cision.com/Public/1629/3924416/bdb358ffdc9a98e1.pdf	Aker BP 2023-Q4 Report
https://mb.cision.com/Public/1629/3924416/8a1f24f3f9aad7c7.pdf	Aker BP 2023-Q4 Presentation

View original content:https://www.prnewswire.com/news-releases/aker-bp---fourth-quarter-2023-results-302057046.html

SOURCE Aker BP ASA

FAQ

What was Aker BP's oil and gas production in the fourth quarter of 2023?

Aker BP's oil and gas production reached 444 mboepd in the fourth quarter of 2023.

What was Aker BP's EBITDA in the fourth quarter of 2023?

Aker BP's EBITDA was USD 3,174 million in the fourth quarter of 2023.

What is Aker BP's dividend per share for 2024?

Aker BP's dividend per share increased to USD 2.4 for 2024, equivalent to USD 0.60 per quarter.

What is the guidance for Aker BP's production in 2024?

Aker BP's guidance for 2024 includes a production range of 410-440 mboepd.

What is Aker BP's production cost for 2024?

Aker BP's guidance for 2024 includes a production cost of around USD 7 per boe.