Norwegian oil giant
) has halted operations on its Troll C platform in the North Sea.
The stoppage of production on the platform on Aug 17 followed after
a scheduled inspection program discovered corrosion damage on a
tank in the glycol system, an auxiliary system for treating gas
linked to the oil export system.
The damaged pipe will likely be replaced and this requires shutdown
for a week.
Troll C, which has an equity production of about 58,000 barrels of
oil per day, also exports 8 million cubic meters of gas. Moreover,
about 34,000 barrels of oil and 2 million cubic meters of gas are
carried from the Fram field through the Troll C platform.
Troll field, which has three platforms, is one of Norway's key oil
and gas fields. In 2011, it produced 568,450 barrels of oil
equivalent a day, or about 15% of Norway's total production of 3.8
million barrels a day.
Statoil holds 30.58% interest in Troll C and 45% in Fram. The other
partners in Troll are Petoro, Norske Shell, Total SA (
) and ConocoPhillips (
), which have 56%, 8.1%. 3.69% and 1.62% stake, respectively. Other
partners in Fram are Idemitsu Petroleum Norge, GDF Suez E&P
Norge, and ExxonMobil Corp. (
) holding 15%, 15% and 25% interest, respectively.
Statoil has operations in all major hydrocarbon-producing regions
of the world. It has an upstream focus on the Norwegian Continental
Shelf. The company boasts a strong balance sheet, as it has exited
low-profit generating operations and broadened its international
asset base. The addition of new projects is expected to produce a
CAGR growth rate of 2%-3% annually during the 2014 to 2016 period.
Currently, Statoil carries a Zacks Rank #3 (Hold).
Want the latest recommendations from Zacks Investment Research?
Today, you can download 7 Best Stocks for the Next 30 Days.
Click to get this free report
TOTAL FINA SA (TOT): Free Stock Analysis Report
CONOCOPHILLIPS (COP): Free Stock Analysis
STATOIL ASA-ADR (STO): Free Stock Analysis
EXXON MOBIL CRP (XOM): Free Stock Analysis
To read this article on Zacks.com click here.