Profile: Statoil ASA (STO)

Statoil ASA (Statoil), formerly StatoilHydro ASA (StatoilHydro), is an integrated oil and gas company based in Norway with locations in approximately 40 other countries worldwide. As of December 31, 2008, the Company had proved reserves (including its share of reserves in affiliated companies of 127 million barrels (mmbbl) of oil) of 2201 mmbbl of oil and 537.8 billion cubic meters (bcm) (equivalent to 19 trillion cubic feet (tcf)) of natural gas, corresponding to aggregate proved reserves of 5584 million barrels of oil equivalent (mmboe). The Company operates in four business segments: Exploration and Production Norway (EPN), International Exploration and Production (INT), Natural Gas (NG) and Manufacturing and Marketing (M&M). In February 2008, EDB Business Partner ASA announced that it has completed the acquisition of IS Partner AS from the Company. In March 2008, the Company signed an agreement with Anadarko to take over the remaining 50% in the Brazilian Peregrino project. In June 2008, Dala Kraft AB announced that it has acquired Statoil ASA’s subsidiary Hydro Energi AB. In December 2008, Anadarko Petroleum Corporation completed the sale of its 50% interest in the Peregrino heavy-oil field offshore Brazil to Statoil.

Exploration and Production Norway

During the year ended December 31, 2008, the Company participated in 39 exploration and appraisal wells, of which 27 resulted in discoveries. In addition, it completed nine exploration extensions, of which six resulted in discoveries. In total, seven new fields came on stream on the NCS in 2008: Volve, Gulltopp, Gamma Main Statfjord, Vigdis Øst, Theta Cook, Oseberg Delta and Vilje. Its production of oil and gas on the NCS averaged 1.461 mmboe per day in 2008.

International Exploration and Production

During 2008, 40 exploration and appraisal wells were and eight of these were considered to be discoveries or confirmed discoveries. During 2008, nine wells were pending final evaluation. Its international entitlement production was 290 mboe per day in 2008. The average daily equity production of oil and gas was 465 mboe per day in 2008. Acquisitions during 2008, included the purchase of 50% of the Peregrino project in Brazil, making Statoil 100% owner and operator of the field.

Natural Gas

Statoil is a primary supplier of natural gas to Europe, with a market share of approximately 15% in Europe, including the volumes from the State's Direct Financial Interest. . In 2008, Statoil sold 39.3 bcm entitlement gas. In addition, it sold 32 bcm NCS gas on behalf of the State's direct financial interest (SDFI). Most of the gas was sold to European energy providers under long-term contracts. Its market share is approximately 20-25% in Germany and France and approximately 15% in the United Kingdom.

Manufacturing and Marketing

The Company’s average crude and condensate sales was two mmbbl per day during 2008. Of its daily sales of 2 mmbbl, approximately 1 mmbbl were its own equity volumes, 0.5 mmbbl were third party volumes and 0.5 mmbbl were SDFI volumes. Including NGL, the average sales volume was 2.3 mmbbl per day in 2008.