Statoil EBIT misses estimates, production falls 9%

|About: Statoil ASA (STO)|By:, SA News Editor

Statoil (NYSE:STO) -2.5% premarket after Q2 earnings before interest and taxes totaled NOK32B, missing analyst expectations of NOK37.7B, and oil and gas production fell 9% Y/Y.

STO gained NOK3.6N from farming down in the Shah Deniz field in Azerbaijan and the South Caucasus Pipeline, but the gain was offset by NOK4.3B in impairments in its U.S. onshore business.

Q2 production fell to 1.79M boe/day on the natural decline of mature fields, asset sales, redetermination and lower gas sales as prices in Europe decreased.

Says programs to reduce cost and improve capital efficiency are on track, with staff cuts of ~1,000 already implemented.