Equinor posts $6.8bn second quarter profit

Rising gas output from Equinor's Norwegian upstream operations to alleviate Europe's energy security concern helped the company grow second quarter net profits yr/yr from $4.2bn to $6.8bn, Equinor said July 27.

Net gas output from Equinor's E&P Norway assets rose 18% yr/yr to 767,000 barrels of oil equivalent/day, though this was slightly lower than the 798,000 boe/d in Q1 2022.

The international division contributed 46,000 boe/d net to Equinor, down 15% on the year, while US liftings slumped 17% from 239,000 boe/d to 198,000 boe/d. Equinor produced 2mn boe/d net gas and liquids in total, roughly the same amount as last year. Soaring realised prices for both gas and oil helped lift Equinor's turnover by more than 110% yr/yr to $36.3bn. 

Equinor on June 2 confirmed the restart of its 4.65mn metric tons/year Hammerfest LNG liquefaction plant. The LNG facility in Norway's far north is likely to provide a further revenue boost during the second half of this year, given its ability to serve distressed European gas markets amid reduced US LNG capacity.

Hammerfest LNG's return should allow Equinor to capitalise on the global market crunch, exacerbated by Freeport LNG's closure, by absorbing some spot cargo demand around Europe in the short term.