Norway’s Equinor said Sunday it will halt its share buy-back program and implement a number of measures to reduce costs, Kallanish Energy reports.
The oil and gas major is the latest among its peers to announce a change of plans due to the current market conditions.
It didn’t provide an expected timeframe for the resumption of the $5 billion buy-back program. Details on the updated outlook with cuts on operational costs, capex and exploration spending will be disclosed by March 30, Equinor said in a statement.
CEO Eldar Sætre noted the company is in a good position to deal with “all the uncertainties in front of us” thanks to significant improvements over the recent years.
“We are now taking actions to remain resilient in a period of low prices, volatility and market uncertainty, in line with our contingency plans,” he said. “In this situation, with the spread of Covid-19 and low commodity prices, we are suspending buy-back under the share buy-back programme until further notice.”
On Friday, the company said it will delay its spring maintenance at the Hammerfest LNG plant in the Arctic, as well as in five offshore platforms due to the coronavirus outbreak.
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