Nedgang på Oslo Børs – flere stuper etter at rigg sank
BW Energy, Borr Drilling og Panoro Energy faller alle etter at en rigg sank utenfor Gabon i helgen.
Oslo Børs experienced a slight decline of 0.22 percent shortly after the market opened on Monday. Several major stocks, including those related to the oil industry, saw significant drops. Oil prices fell by more than 1 percent following the close of Oslo Børs on Friday. Just before the market opened on Monday, North Sea oil was trading at $115.2 per barrel, a decline of around 1.6 dollars since midnight.
Borr Drilling, a Norwegian drilling company, announced on Sunday that its rig, Prospector 5, sank off Gabon on Saturday evening. The rig was operating for BW Energy, a Norwegian oil company, in the Dussafu field. Of the 115 people on board, 110 were rescued and are safe. Emergency and rescue operations are ongoing. Arctic Securities analyst Daniel Stenslet estimates that the incident could reduce BW Energy's intrinsic value by about three dollars per share, due to delayed production growth, increased costs to acquire a replacement rig, and potential liability for removing the sunken rig.
Stenslet calculated a scenario where production growth is delayed by nine months, coupled with an additional $50 million in costs due to the incident. BW Energy stated that production infrastructure is not damaged and that production is expected to resume within a few days. The company is a 73.5 percent operator of the Dussafu field, with Panoro Energy owning 17.5 percent.
Several involved stocks saw declines immediately after the market opened on Monday: Nordic Mining suspended its mining activities in the Engebøfjell region temporarily to address financing issues, while its subsidiary, Engebø Rutile and Garnet AS (ERG), sought additional financing. "In light of the ongoing uncertainty around the outcome of these negotiations and to reduce costs and preserve liquidity in anticipation of a decision, ERG has decided to temporarily suspend mining activities at the Engebø project," the company stated in its Monday filing. Nordic Mining shares fell by 6.8 percent after the market opened.
Written by urgent.news from E24 Norway's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
