Norwegian Energy Company ASA, Company Intelligence Report


#42086

67pages

GlobalData

$ 1000

In Stock


Norwegian Energy Company ASA (Noreco) is an independent energy company engaged in the exploration, exploitation, development and production of crude oil and natural gas resources mainly in offshore of Northwest Europe. The company’ s total production was around 4.1 MMboe in 2009, of which crude oil and natural gas accounted nearly 92.9% and 7.0% respectively. Noreco currently produces crude oil and natural gas from its seven offshore fields, out of which six (Siri, South Arne, Nini and Nini East, Cecilie and Lulita) are in the Danish Continental Shelf and one (Brage) in the Norwegian Continental Shelf. During 2009, the company produced around 4,131 boe/d from the Brage field, 4,045 boe/d from the Siri field, 756 boe/d from the NIni field, 622 boe/d from the Cecilie field, 1,567 boe/d from the South Arne field and 187 boe/d from the Lullita field. Initially, Noreco operates with four licenses, however with its aggressive exploration and development strategies; the company has been able to increase its operating licenses to 58 in the North and the Norwegian Seas. 

Scope

  • Investment Thesis: This section highlights the companies new ventures, liquidity issues, assets analysis, hedging, new projects details, capex funding, geographical results of oil and gas operations, and other related analysis.
  • Goals and Strategies: Provide highlights on their existing and upcoming challenges with the possible strategies.
  • SWOT: This section highlights the companies internal strength, weakness, opportunities and threats to better understand their position in the market
  • Production and Development profile: This section highlights the companies’ forecasted crude oil and natural gas production from their existing and upcoming assets. It also covers the detailed information and analysis on the producing and development assets.
  • Exploration and M&A trends: This section includes exploration assets information resulted due to new discoveries, new drilling and other activities. Additionally, M&A section highlights the companies’ recent assets transactions, joint ventures, acquisition, and divestment activities during the specified period.
  • Financial Forecast and Valuation: This section highlights the detailed financial forecast of the companies for coming five years. This section also provides intrinsic value of the companies’ by using different valuation techniques.
  • Peer Group: This section compares peer group performance with the main companies on the basis of share prices, financial ratios, operational and financial parameters and other related activities.
Reasons to buy

The report will enhance the decision- making capability in a more rapid and time sensitive manner. It will allow you to -

  • Provide detailed analysis to those who are interested in knowing the companies’ existing and future business strategies.
  • Provide in-depth analysis on the companies E&P profiles along with the exploration and M&A updates.
  • Provide valuable insights to those who are tracking oil and gas markets and wants to know the intrinsic value of the companies.
  • Use the analysis for strategy and planning, M&A identifications, and competitor analysis.
Table of Content:

1 Table of Contents 2

1.1 List of Tables 4
1.2 List of Figures 5

2 Norwegian Energy Company ASA, Company Overview 6

3 Norwegian Energy Company ASA, Key Events for 2011 9


4 Norwegian Energy Company ASA, Key Highlights 10
4.1 Reviving its Strategy for Maximizing Shareholder Value; Divestiture Activities in Focus 10
4.2 Norecos Upcoming Projects Development is On Track; Substantial Upside to Come 12
4.2.1 Huntington Oil Field Moving Towards FPSO Development 12
4.2.2 Nemo Discovery under Pre-FEED Engineering 13
4.2.3 Gygrid field approaching a development solution 13
4.3 Wide Exploration Inventory inplace; Maintaining Exploration Success Will Be A Key Challenge 14

5 Norwegian Energy Company ASA, SWOT Analysis 16
5.1 Strengths 16
5.1.1 Extensive Exploration Program to Drive Value; Acquisitions to Supplement its Exploration Portfolio 16
5.1.2 Optimum Upstream Value Chain 17
5.2 Weakness 17
5.2.1 Less Diversified Portfolio 17
5.3 Opportunities 17
5.3.1 Upcoming Fields with the Brighter Potential to Explore Further 17
5.4 Threats 18
5.4.1 Continuous Unsuccessful Attempts to Add Reserves 18
5.4.2 Declining Production due to Technical Problem 18

6 Norwegian Energy Company ASA, Goals and Strategies 19
6.1 Creating Strong Acreage Position to Boost Growth in Operations 19
6.2 Strategic Sale and Alliance to Enhance Shareholders Value 20

7 Norwegian Energy Company ASA, Production Overview 21
7.1 Production Profile 21
7.2 Assets Portfolio 23
7.2.1 Siri Field 23
7.2.2 Brage Field 24
7.2.3 Nini East Field 24
7.2.4 Nini Field 24
7.2.5 Cecilie Field 24
7.2.6 South Arne Field 24
7.2.7 Lulita Field 25
7.2.8 Huntington oil field 25
7.2.9 Nemo oil field 25
7.2.10 Gygrid oil field 25

8 Norwegian Energy Company ASA, Exploration and Development Overview 26

9 Norwegian Energy Company ASA, M&A Highlights 29

10 Norwegian Energy Company ASA, Outlook 31

11 Norwegian Energy Company ASA, Production and Financial Statements Forecast 32

11.1 Income Statement (20072014) 34
11.2 Balance Sheet (20072014) 35
11.3 Cash Flow Statement (20072014) 36
11.4 Financial Ratios 37

12 Norwegian Energy Company ASA, Valuation 40
12.1 Net Asset Value 40

13 Norwegian Energy Company ASA, Peer Comparision 44
13.1 Share Price Performance 44
13.2 Operational and Financial Performance 45
13.3 Key Financial and Operational Ratio 48

14 Norwegian Energy Company ASA, Key Risks 50
14.1 Interest Rate Risk 50
14.2 Drilling risks in new and emerging offshore resource plays 50
14.3 Competition 50
14.4 Fluctuations in oil and natural gas prices 50
14.5 Liquidity crunch 50

15 Norwegian Energy Company ASA, Detailed Financial & Operational Metrics 51
15.1 Total Oil and Gas, Reserves and Production 51
15.1.1 Total Crude Oil and Natural Gas Production and Reserves Trend, 20042009 51
15.1.2 Total Crude Oil & Natural Gas Production and Reserves By Country/Region, 20042009 52
15.1.3 Total Crude Oil and Natural Gas Reserve Changes, 20042009 52
15.2 Crude Oil/Liquids Production and Reserve 53
15.2.1 Crude Oil/Liquids Production and Reserve Trend, 20042009 53
15.2.2 Crude Oil Production and Reserves By Country/Region, 20042009 53
15.2.3 Crude Oil/Liquids Reserve Changes, 20042009 54
15.3 Natural Gas Production and Reserve 55
15.3.1 Natural Gas Production and Reserve Trend, 20042009 55
15.3.2 Natural Gas Production and Reserves, By Country/Region, 20042009 55
15.3.3 Natural Gas Reserve Changes, 20042009 56
15.4 Total Crude Oil and Natural Gas Reserves Life Index 57
15.4.1 Total Crude Oil and Natural Gas Reserves Life Index, 20042009 57
15.4.2 Total Crude Oil and Natural Gas Reserves Life Index, By Country/Region, 20042009 57
15.5 Allocation of the Upstream Capital Expenditure 58
15.5.2 Exploration and Development Costs, By Country/Region, 20042009 59
15.6 Oil and Gas Revenue and Expenses 61
15.6.1 Oil and Gas Revenue and Expenses, 20042009 61
15.6.2 Oil and Gas Revenue and Expenses, By Country/Region, 20042009 62
15.7 Oil and Gas Performance Metrics 63

16 Appendix 64
16.1 Methodology 64
16.1.1 Coverage 64
16.1.2 Secondary Research 64
16.1.3 Primary Research 65
16.2 Data Sources 65
16.2.1 Company Source 65
16.2.2 SEC/Other Regulatory Filings 65
16.2.3 Agency Reports 65
16.2.4 Other Sources 65
16.3 Methodology for Company Valuation 65
16.4 Expert Panel Validation 66
16.5 Units of Measure 66
16.6 About GlobalData 66
16.7 Disclosure 67
16.8 Disclaimer 67
Table 1: Norwegian Energy Company ASA, Key Events, 20092010 8
Table 2: Norwegian Energy Company ASA, Recent Development in Upcoming Projects, 2011 12
Table 3: Norwegian Energy Company ASA, Ongoing and Planned Exploration Wells, 20102011 15
Table 4: Norwegian Energy Company ASA, Ongoing and Planned Exploration Wells, 2011 17
Table 5: Norwegian Energy Company ASA, Upstream Growth Profile, MMboe, 20102020 22
Table 6: Norwegian Energy Company ASA, Ongoing and Planned Exploration Wells, 2011 26
Table 7: Norwegian Energy Company ASA, Significant Asset Transactions, 20092010 30
Table 8: Norwegian Energy Company ASA, Forecast Production, 20102020 32
Table 9: GlobalData, Price Forecast, 20112014 32
Table 10: Norwegian Energy Company ASA, Income Statement, $m, 20072014 34
Table 11: Norwegian Energy Company ASA, Balance Sheet, $m, 20072014 35
Table 12: Norwegian Energy Company ASA, Cash Flow Statement, $m, 20072014 36
Table 13: Norwegian Energy Company ASA, Profitability Ratios, 20072014 37
Table 14: Norwegian Energy Company ASA, Other Financial Ratios, 20072014 38
Table 15: GlobalData, Price Forecast, 20112014 40
Table 16: Norwegian Energy Company ASA, Net Asset Value, 2011 41
Table 17: Norwegian Energy Company ASA, Prospective Acreage & Non Proven Reserves, 2011 41
Table 18: Norwegian Energy Company ASA, NPV of Crude Oil, 2011 42
Table 19: Norwegian Energy Company ASA, NPV of Natural Gas, 2011 42
Table 20: Norwegian Energy Company ASA, NPV of Total Oil and Natural Gas, 2011 42
Table 21: Norwegian Energy Company ASA, Sensitivity Analysis on Fair Value, NOK/share, 2011 43
Table 22: Norwegian Energy Company ASA Vs Peer Group, Operational and Financial Performance, 2009 45
Table 23: Norwegian Energy Company ASA and its Peer Group Comparison, Financial Ratios, 2009 48
Table 24: Norwegian Energy Company ASA, Total Crude Oil and Natural Gas, Production and Reserves, MMboe, 20042009 51
Table 25: Norwegian Energy Company ASA, Total Crude Oil & Natural Gas Production and Reserves, By Country/Region, MMboe, 20042009 52
Table 26: Norwegian Energy Company ASA, Total Crude Oil and Natural Gas Reserve Changes, MMboe, 20042009 52
Table 27: Norwegian Energy Company ASA, Crude Oil Production and Reserves Metrics, MMbbl, 20042009 53
Table 28: Norwegian Energy Company ASA, Crude Oil Production and Reserves, By Country/Region, MMbbl, 20042009 53
Table 29: Norwegian Energy Company ASA, Crude Oil Reserve Changes, MMbbl, 20042009 54
Table 30: Norwegian Energy Company ASA, Natural Gas Production and Reserves Metrics, Bcf, 20042009 55
Table 31: Norwegian Energy Company ASA, Natural Gas Production and Reserves, By Country/Region, Bcf, 20042009 55
Table 32: Norwegian Energy Company ASA, Natural Gas Reserve Changes, Bcf, 20042009 56
Table 33: Norwegian Energy Company ASA, Oil and Gas Reserves Life Index, Years, 20042009 57
Table 34: Norwegian Energy Company ASA, Oil and Gas Reserves Life Index, By Country/Region, Years, 20042009 57
Table 35: Norwegian Energy Company ASA, Upstream Capital Expenditure, $m, 20042009 58
Table 36: Norwegian Energy Company ASA, Exploration and Development Costs, By Country/Region, $m, 20042009 60
Table 37: Norwegian Energy Company ASA, Revenue and Expenses, $m, 20042009 61
Table 38: Norwegian Energy Company ASA, Revenue and Expenses, By Country/Region, $m, 20042009 62
Table 39: Norwegian Energy Company ASA, Oil and Gas Performance Metrics, 20042009 63
Figure 1: Norwegian Energy Company ASA, Operations Map, 2011 6
Figure 2: Norwegian Energy Company ASA, Financial & Operational Overview, 20062009 7
Figure 3: Norwegian Energy Company ASA, Share Price Movement, January 2010December 2010 8
Figure 4: Norwegian Energy Company ASA, Divestment of Grosbeak Discovery, 2010 10
Figure 5: Norwegian Energy Company ASA, Total NPV/Share Contribution, 2011 11
Figure 6: Norwegian Energy Company ASA, Huntingtons Contribution to the Total Production from, MMboe, 20122020 12
Figure 7: Norwegian Energy Company ASA, Nemos Contribution to the Total Production, MMboe, 20122020 13
Figure 8: Norwegian Energy Company ASA, Gygrids Contribution to the Total Production, MMboe, 20122020 14
Figure 9: Norwegian Energy Company ASA, Average of Exploration Result, 20072010 15
Figure 10: Norwegian Energy Company ASA, Change in Number of Licenses from, 20052009 16
Figure 11: Norwegian Energy Company ASA Estimated Capex As Compared To Operational Cash Flows, 20102014 19
Figure 12: Norwegian Energy Company ASA, Total Production By Type, MMboe, 20072020 22
Figure 13: Norwegian Energy Company ASA, Total Production, MMboe, 20072020 23
Figure 14: Norwegian Energy Company ASA, Upcoming Assets Contribution to Total Production, MMboe, 20122020 28
Figure 15: Norwegian Energy Company ASA, NPV Spilt of Commodity Mix by Assets, 2011 43
Figure 16: Norwegian Energy Company ASA & Peer Group, Relative Share Price Performance Index , January 2010 December 2010 44
Figure 17: Norwegian Energy Company ASA and its Peers, Per Boe Parameters, 2009 46
Figure 18: Norwegian and its Peers, Total Reserves & Production, MMboe, 2009 47
Figure 19: Norwegian Energy Company ASA and its Peers, Valuation Ratios, 2009 49
Figure 20: Norwegian Energy Company ASA, Total Crude Oil and Natural Gas, Production and Reserves, MMboe, 20042009 51
Figure 21: Norwegian Energy Company ASA, Total Crude Oil and Natural Gas Reserve Changes, MMboe, 2009 52
Figure 22: Norwegian Energy Company ASA, Crude Oil Production and Reserves Metrics, MMbbl, 20042009 53
Figure 23: Norwegian Energy Company ASA, Crude Oil Reserve Changes, MMbbl, 2009 54
Figure 24: Norwegian Energy Company ASA, Natural Gas Production and Reserves Metrics, Bcf, 20042009 55
Figure 25: Norwegian Energy Company ASA, Natural Gas Reserve Changes, Bcf, 2009 56
Figure 26: Norwegian Energy Company ASA, Oil and Gas Reserves Life Index, Years, 20042009 57
Figure 27: Norwegian Energy Company ASA, Upstream Capital Expenditure, $m, 20042009 58
Figure 28: Norwegian Energy Company ASA, Development Costs, By Country/Region, $m, 20042009 59
Figure 29: Norwegian Energy Company ASA, Exploration Costs, By Country/Region, $m, 20042009 59
Figure 30: Norwegian Energy Company ASA, Revenue and Expenses, $m, 20042009 61
Figure 31: Norwegian Energy Company ASA, Oil and Gas Performance Metrics, 20042009 63