Norwegian heavyweights Norsk Hydro and Statoil get together
Norwegian companies Norsk Hydro and Statoil have unveiled a merger of their oil and gas activities, but analysts expect the implications for shipping to be limited. The new company will have an output of 1.9M bpd next year and its known oil reserves amount to 6.3Bn barrels. “If there is an effect, then this should be on the North Sea shuttle tanker sector,” a shipping analyst told Fairplay. “The oil still has to be exported from Norway, so I regard the effects of this as immaterial to shipping in general,” a shipping analyst told Fairplay. However, he added that there could be more significant impacts on the companies that serve the offshore business of the new entity. The new company, in which Norsk Hydro will have 32.7% and Statoil 67.3% of the shares, will be the world’s largest operator in the offshore sector. Norsk Hydro, which is listed on the Oslo stock exchange, will focus on its core aluminium production activity after the completion of the merger of the oil and gas business with Statoil, which is owned by the Norwegian government. On completion of the merger, the government will own 62.5% of the shares in the new, yet unnamed company.