Vår Energi ASA $VAR (-1,8%) has reached an important milestone ahead of schedule by achieving production of 400 thousand barrels of oil equivalent per day (kboepd). The company is also on track to produce around 430 kboepd in the fourth quarter of this year, fulfilling its strategy for transformative growth in 2025.
The higher than expected production level has been achieved as the Jotun FPSO at the Balder field continues to ramp up ahead of schedule, with peak production expected in September. In addition, other assets across the portfolio are also contributing with strong deliveries.
"This is a great achievement for the company and a testament to the hard work and dedication of Vår Energi's employees, our suppliers and partners. It demonstrates the strength of our operational capabilities and the momentum we are building by continuing to increase production. It also reflects the successful execution of our strategy to create long-term sustainable value for all our stakeholders," said Nick Walker, CEO of Vår Energi.
Vår Energi is achieving transformative growth in 2025, confirming its position as a leading pure-play E&P company on the highly attractive Norwegian Continental Shelf (NCS).
The company expects to reach the midpoint of its full-year production guidance of 330-360 kboepd and is on track to produce around 430 kboepd in the fourth quarter of this year.
Looking ahead, Vår Energi is aiming to achieve high value creation by 2030 and beyond. The company aims to maintain production in the range of 350 to 400 kboepd over time, supported by a robust portfolio of around 30 early-stage projects.
More than 10 of these projects are expected to receive a final investment decision this year, four of which have already been approved. In addition, Vår Energi continues to be one of the most active explorers on the NCS with three commercial discoveries this year.
The company is achieving significant value creation through reduced costs, a high quality and flexible investment program and incremental improvements across the operation. This provides resilience in a volatile business environment, strong cash flow generation and strengthens our long-term ability to pay dividends to shareholders.
