Shares in Norwegian oil group StatoilHydro fell 11 percent on Friday after the group said it would miss its 2007 production targets and issued disappointing forecasts for 2008.
StatoilHydro warned that production problems at a string of Norwegian offshore gas and oil fields meant it would miss its own 2007 guidance.
"It is expected that the effects associated with Snohvit and Kvitebjorn/Visund will lead to production for 2007 being slightly lower than the estimated 1.735 mln boepd published in the stock exchange announcement of Nov 12 this year," the firm said.
Next year the group predicted a small increase in production to 1.75 million barrels of oil equivalent per day (boepd).
Shares in the group closed 10.92 percent lower at 164.80 Norwegian kroner, wiping 60 billion kroner (7.5 billion euros, 11 billion dollars) off the value of the group's market capitalisation.
"This is a huge surprise. Consensus was for production to increase by 10 percent next year, mainly coming from five new fields," said Carnegie analyst John Olaisen.
At the Snohvit gas field in northern Norway, StatoilHydro said production had been temporarily halted because of a water leak.
The Kvitebjorn field has suffered problems with a gas pipeline and slower-than-expected drilling at the giant Ormen Lange gas field meant production was being held back.
StatoilHydro warned that production problems at a string of Norwegian offshore gas and oil fields meant it would miss its own 2007 guidance.
"It is expected that the effects associated with Snohvit and Kvitebjorn/Visund will lead to production for 2007 being slightly lower than the estimated 1.735 mln boepd published in the stock exchange announcement of Nov 12 this year," the firm said.
Next year the group predicted a small increase in production to 1.75 million barrels of oil equivalent per day (boepd).
Shares in the group closed 10.92 percent lower at 164.80 Norwegian kroner, wiping 60 billion kroner (7.5 billion euros, 11 billion dollars) off the value of the group's market capitalisation.
"This is a huge surprise. Consensus was for production to increase by 10 percent next year, mainly coming from five new fields," said Carnegie analyst John Olaisen.
At the Snohvit gas field in northern Norway, StatoilHydro said production had been temporarily halted because of a water leak.
The Kvitebjorn field has suffered problems with a gas pipeline and slower-than-expected drilling at the giant Ormen Lange gas field meant production was being held back.
Via: AFP
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