Financial Data and Key Metrics Changes - In 2025, total underlying replacement cost profit was $7.5 billion, supported by high upstream plant reliability and refining availability despite a weaker oil price environment [3] - Operating cash flow reached $24.5 billion, with a $2.9 billion adjusted working capital build during the year [3] - Capital expenditure was reduced by 10% compared to 2024, with organic CapEx at $13.6 billion [3] - Return on average capital employed increased to around 14% in 2025 from 12% in 2024 [8] Business Line Data and Key Metrics Changes - In Gas & Low Carbon Energy, the underlying result was $1.4 billion, down from $1.5 billion in the third quarter due to lower realizations [8] - Oil Production & Operations reported an underlying result of $2 billion, down from $2.3 billion in the third quarter, impacted by lower realizations and production mix [8] - In Customers, the underlying result decreased to $900 million from $1.2 billion in the third quarter, reflecting seasonally lower volumes [9] - Products segment maintained an underlying result of $500 million, with stronger refining margins offset by lower throughput due to higher turnaround activity [9] Market Data and Key Metrics Changes - The company reported a reserves replacement ratio of 90%, up from an average of around 50% in the previous two years [4] - The initial estimate of the Boomerang discovery indicates approximately 8 billion barrels of liquids in place, with plans for an appraisal program to start by year-end [5] Company Strategy and Development Direction - The board decided to suspend share buybacks to prioritize strengthening the balance sheet, creating a more resilient platform for disciplined investments [4] - The company aims to high-grade its portfolio and has increased its structural cost reduction target to $5.5 billion-$6.5 billion by 2027 [7] - The strategic review of Castrol led to the decision to sell a 65% shareholding, expected to generate around $6 billion in net proceeds to reduce net debt [5] Management's Comments on Operating Environment and Future Outlook - Management acknowledged the tragic loss of four colleagues in 2025, emphasizing an unwavering commitment to safety [2] - The company expects reported upstream production to be broadly flat in the first quarter of 2026, with underlying production slightly lower for the full year [13] - Guidance for capital expenditure in 2026 is projected to be in the range of $13 billion-$13.5 billion, with divestment proceeds expected to be between $9 billion-$10 billion [15] Other Important Information - The company reported a fourth quarter IFRS loss of $3.4 billion due to impairments primarily related to transition businesses [11] - Operating cash flow for the fourth quarter was $7.6 billion, with a cash conversion improvement of 6 percentage points [12] Q&A Session Summary Question: What are the expectations for production in 2026? - Management expects reported upstream production to be broadly flat, with underlying production slightly lower than in 2025 [13] Question: How is the company addressing safety concerns? - The company has taken decisive actions to enhance safety protocols following tragic incidents, including stopping roadside assistance next to active traffic lanes [2] Question: What is the outlook for capital expenditures? - Capital expenditure for 2026 is expected to be in the range of $13 billion-$13.5 billion, with a focus on maintaining capital discipline [15]

Core Viewpoint - Equinor has successfully sold its 40% operated interest in Brazil's Peregrino field to PRIO for a total of $2.33 billion, marking a strategic move to enhance its international portfolio by divesting mature assets and focusing on more robust opportunities [1][2][3]. Group 1: Transaction Details - The total consideration for the sale was $2.33 billion (Nkr23.47 billion), with Equinor receiving $1.55 billion at closing after adjustments for a $335 million deposit and cash flow [1][2]. - PRIO has taken full operatorship of the Peregrino field, with Equinor remaining a non-operated partner until the sale of the remaining 20% stake is finalized [2]. Group 2: Strategic Implications - The divestment is part of Equinor's strategy to high-grade its international portfolio, allowing the company to redeploy capital into assets with greater long-term value potential [3]. - Brazil remains a core area for Equinor, which has recently commenced production from its Bacalhau field and acquired new exploration blocks in the Campos basin [3]. Group 3: Production and Asset Overview - The Peregrino field has been in production since 2011, with a total output of approximately 300 million barrels and a current production rate of around 55,000 barrels per day expected for the first quarter of 2025 [4]. - The asset includes a floating production, storage, and offloading vessel supported by three fixed platforms, primarily producing heavy oil [4].