Aker BP unveiled solid operating and financial performance in its third-quarter results announcement, with consistent production, cost control and a record exploration success on the Norwegian Continental Shelf (NCS).
414,000 boed production was achieved with satisfactory uptime and efficiency on the group's offshore facilities. Backed by low unplanned downtime and satisfactory field performance, Aker BP has raised its full-year guidance to 410,000–425,000 boed from its earlier 400,000–410,000 boed.
The company achieved a milestone in exploration during the quarter with the Omega Alfa oil discovery in the Yggdrasil area-with recoverable 96–134 mmboe of oil. The discovery ranks as one of the largest oil finds on the Norwegian Continental Shelf in a decade and significantly enhances the Yggdrasil resource base.
The Omega Alfa find was a no-brainer this-quarter highlight, Aker BP CEO Karl Johnny Hersvik said. "It speaks volumes for the quality of our exploration strategy and further consolidates firmly our long-term production targets.".
Aker BP made a number of significant advancements on time during the period, such as Yggdrasil, Valhall PWP-Fenris, Skarv Satellites, and Utsira High projects-all of which are advancing as expected. Jotun FPSO in Balder field and Johan Castberg field steadied in September, marking a benchmark advancement for Norway's offshore development.
Operating costs were industry-low at $7.6 per boe due to maintenance activities. Industry-low emissions were also reported by the company with a greenhouse gas intensity of just 2.9 kg CO₂e per boe (scope 1 and 2).
Financial performance and outlook
Total revenues were $2.6 billion and operating cash flows were $2 billion, which was invested more in long-term growth. Aker BP's healthy balance sheet is in the form of $3.6 billion of liquidity on hand, and the company reaffirmed its 2025 dividend target of $2.52 a share, paying out $0.63 per share in the third quarter.
"Then our balance sheet remains solid," Hersvik said. "Strong cash flow and disciplined capital expenditure allow us to invest in growth, open up large fields, and deliver good dividends to the shareholders."
While there are large projects in the pipeline and discovery success underpins the resource base of the company, Aker BP stated it is already well placed to support production in the range of 350,000 boed to 400,000 boed toward 2030 and beyond.