DOCUMENT AND ENTITY INFORMATION
DOCUMENT AND ENTITY INFORMATION | 12 Months Ended |
Dec. 31, 2019shares | |
Document and Entity Information [abstract] | |
Document Type | 20-F |
Document Annual Report | true |
Document Period End Date | Dec. 31, 2019 |
Entity Interactive Data Current | Yes |
Entity File Number | 1-15200 |
Entity Registrant Name | Equinor ASA |
Document Fiscal Year Focus | 2019 |
Document Fiscal Period Focus | FY |
Current Fiscal Year End Date | --12-31 |
Entity Current Reporting Status | Yes |
Entity Address Address Line 1 | Forusbeen 50 |
Entity Address City Or Town | Stavanger |
Entity Address Country | NO |
Entity Filer Category | Large Accelerated Filer |
Entity Voluntary Filers | No |
Entity Well Known Seasoned Issuer | Yes |
Entity Common Stock Shares Outstanding | 3,305,008,097 |
Document Transition Report | false |
Entity Emerging Growth Company | false |
Entity Shell Company | false |
Entity Central Index Key | 0001140625 |
Amendment Flag | false |
Document Accounting Standard | International Financial Reporting Standards |
Shell Company Report | false |
CONSOLIDATED STATEMENT OF INCOM
CONSOLIDATED STATEMENT OF INCOME - USD ($) shares in Millions, $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
CONSOLIDATED STATEMENT OF INCOME [Abstract] | |||
Revenues | $ 62,911 | $ 78,555 | $ 60,971 |
Net income/(loss) from equity accounted investments | 164 | 291 | 188 |
Other Income | 1,283 | 746 | 27 |
Total revenues and other income | 64,357 | 79,593 | 61,187 |
Purchases (net of inventory variation) | (29,532) | (38,516) | (28,212) |
Operating expenses | (9,660) | (9,528) | (8,763) |
Selling, general and administrative expenses | (809) | (758) | (738) |
Depreciation, amortisation and net impairment losses | (13,204) | (9,249) | (8,644) |
Exploration expenses | (1,854) | (1,405) | (1,059) |
Total operating expenses | (55,058) | (59,456) | (47,416) |
Net operating income/(loss) | 9,299 | 20,137 | 13,771 |
Interest and other finance expenses | (1,450) | (1,040) | (903) |
Other financial items | 1,443 | (224) | 552 |
Net financial items | (7) | (1,263) | (351) |
Income/(loss) before tax | 9,292 | 18,874 | 13,420 |
Income tax | (7,441) | (11,335) | (8,822) |
Net income/(loss) | 1,851 | 7,538 | 4,598 |
Attributable to equity holders of the company | 1,843 | 7,535 | 4,590 |
Attributable to non-controlling interests | $ 8 | $ 3 | $ 8 |
Basic earnings per share (in USD) | $ 0.55 | $ 2.27 | $ 1.4 |
Diluted earnings per share (in USD) | $ 0.55 | $ 2.27 | $ 1.4 |
Weighted average number of ordinary shares outstanding (in millions) | 3,326 | 3,326 | 3,268 |
Weighted average number of ordinary shares outstanding, diluted (in millions) | 3,334 | 3,335 | 3,288 |
CONSOLIDATED STATEMENT OF COMPR
CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Consolidated statements of comprehensive income [Abstrct] | |||
Net income/(loss) | $ 1,851 | $ 7,538 | $ 4,598 |
Actuarial gains (losses) on defined benefit pension plans | 427 | (110) | 172 |
Income tax effect on income and expenses recognised in OCI | (98) | 22 | (38) |
Items that will not be reclassified to the Consolidated statement of income | 329 | (88) | 134 |
Currency translation adjustments | (51) | (1,652) | 1,710 |
Net gains/(losses) from available for sale financial assets | 0 | 64 | (64) |
Share of OCI from equity accounted investments | 44 | (5) | (40) |
Items that may be subsequently reclassified to the Consolidated statement of income | (6) | (1,593) | 1,607 |
Other comprehensive income/(loss) | 323 | (1,681) | 1,741 |
Total comprehensive income/(loss) | 2,174 | 5,857 | 6,339 |
Attributable to the equity holders of the company | 2,166 | 5,854 | 6,331 |
Attributable to non-controlling interests | $ 8 | $ 3 | $ 8 |
CONSOLIDATED BALANCE SHEET
CONSOLIDATED BALANCE SHEET - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 |
Noncurrent assets [abstract] | ||
Property, plant and equipment | $ 69,953 | $ 65,262 |
Intangible assets | 10,738 | 9,672 |
Equity accounted investments | 1,442 | 2,863 |
Deferred tax assets | 3,881 | 3,304 |
Pension assets | 1,093 | 831 |
Derivative financial instruments | 1,365 | 1,032 |
Financial investments | 3,600 | 2,455 |
Prepayments and financial receivables | 1,214 | 1,033 |
Total non-current assets | 93,285 | 86,452 |
Current assets [abstract] | ||
Inventories | 3,363 | 2,144 |
Trade and other receivables | 8,233 | 8,998 |
Derivative financial instruments | 578 | 318 |
Financial investments | 7,426 | 7,041 |
Cash and cash equivalents | 5,177 | 7,556 |
Total current assets | 24,778 | 26,056 |
Assets classified as held for sale | 0 | 0 |
Total assets | 118,063 | 112,508 |
Equity [abstract] | ||
Shareholders equity | 41,139 | 42,970 |
Non-controlling interests | 20 | 19 |
Total equity | 41,159 | 42,990 |
Noncurrent liabilities [abstract] | ||
Finance debt | 24,945 | 23,264 |
Deferred tax liabilities | 9,410 | 8,671 |
Pension liabilities | 3,867 | 3,820 |
Provisions | 17,951 | 15,952 |
Derivative financial instruments | 1,173 | 1,207 |
Total non-current liabilities | 57,346 | 52,914 |
Current liabilities [abstract] | ||
Trade, other payables and provisions | 10,450 | 8,369 |
Current tax payable | 3,699 | 4,654 |
Finance debt | 4,087 | 2,463 |
Dividend payable | 859 | 766 |
Derivative financial instruments | 462 | 352 |
Total current liabilities | 19,557 | 16,605 |
Liabilities directly associated with the assets classified as held for sale | 0 | 0 |
Total liabilities | 76,904 | 69,519 |
Total equity and liabilities | $ 118,063 | $ 112,508 |
CONSOLIDATED STATEMENT OF CHANG
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY - USD ($) $ in Millions | Total | Share capital [member] | Addiitonal paid in capital [member] | Retained earnings [member] | Currency translation adjustments [member] | OCI from equity accounted investments [member] | Attributable to equity holders [member] | Non-controling interest [member] | |
Equity beginning balance at Dec. 31, 2016 | $ 35,099 | $ 1,156 | $ 6,607 | $ 32,573 | $ (5,264) | $ 0 | $ 35,072 | $ 27 | |
Net income/(loss) | 4,598 | 4,590 | 4,590 | 8 | |||||
Other comprehensive income/(loss) | 1,741 | 71 | 1,710 | (40) | 1,741 | ||||
Total comprehensive income/(loss) | 6,339 | ||||||||
Dividends | (1,534) | 24 | 1,333 | (2,891) | (1,534) | ||||
Other equity transactions | (19) | (8) | 0 | (8) | (10) | ||||
Equity ending balance at Dec. 31, 2017 | 39,885 | 1,180 | 7,932 | 34,343 | (3,554) | (40) | 39,861 | 25 | |
Net income/(loss) | 7,538 | 7,535 | 7,535 | 3 | |||||
Other comprehensive income/(loss) | (1,681) | (24) | (1,652) | (5) | (1,681) | ||||
Total comprehensive income/(loss) | 5,857 | ||||||||
Dividends | (2,726) | 5 | 333 | (3,064) | (2,726) | ||||
Other equity transactions | (27) | (19) | 0 | (19) | (8) | ||||
Equity ending balance at Dec. 31, 2018 | 42,990 | 1,185 | 8,247 | 38,790 | (5,206) | (44) | 42,970 | 19 | |
Net income/(loss) | 1,851 | 1,843 | 1,843 | 8 | |||||
Other comprehensive income/(loss) | 323 | 330 | (51) | [1] | 44 | 323 | |||
Total comprehensive income/(loss) | 2,174 | ||||||||
Dividends | (3,453) | 0 | 0 | (3,453) | (3,453) | ||||
Share buy-back | (500) | (500) | (500) | ||||||
Other equity transactions | (52) | (15) | (29) | (44) | (7) | ||||
Equity ending balance at Dec. 31, 2019 | $ 41,159 | $ 1,185 | $ 7,732 | $ 37,481 | $ (5,257) | $ 0 | $ 41,139 | $ 20 | |
[1] | Refer to note 17 Shareholders’ equ ity and dividends. |
CONSOLIDATED STATEMENT OF CASH
CONSOLIDATED STATEMENT OF CASH FLOWS - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Cash flows from (used in) operating activities [abstract] | |||
Income / (loss) before tax | $ 9,292 | $ 18,874 | $ 13,420 |
Depreciation, amortisation and net impairment losses | 13,204 | 9,249 | 8,644 |
Exploration expenditures written off | 777 | 357 | (8) |
(Gains) losses on foreign currency transactions and balances | (224) | 166 | (127) |
(Gains) losses on sales of assets and businesses | (1,187) | (648) | 395 |
(Increase) decrease in other items related to operating activities | 1,016 | (526) | (884) |
(Increase) decrease in net derivative financial instruments | (595) | 409 | 19 |
Interest received | 215 | 176 | 148 |
Interest paid | (723) | (441) | (622) |
Cash flows provided by operating activities before taxes paid and working capital items | 21,776 | 27,615 | 20,985 |
Taxes paid | (8,286) | (9,010) | (5,766) |
(Increase) decrease in working capital | 259 | 1,090 | (417) |
Cash flows provided by operating activities | 13,749 | 19,694 | 14,802 |
Cash flows from (used in) investing activities [abstract] | |||
Cash used in business combinations | (2,274) | (3,557) | 0 |
Capital expenditures and investments | (10,204) | (11,367) | (10,755) |
(Increase) decrease in financial investments | (1,012) | 1,358 | 592 |
(Increase) decrease in derivatives financial instruments | 298 | 238 | (439) |
(Increase) decrease in other items interest bearing | (10) | 343 | 79 |
Proceeds from sale of assets and businesses | 2,608 | 1,773 | 406 |
Cash flows used in investing activities | (10,594) | (11,212) | (10,117) |
Cash flows from (used in) financing activities [abstract] | |||
New finance debt | 984 | 998 | 0 |
Repayment of finance debt | (2,419) | (2,875) | (4,775) |
Dividend paid | (3,342) | (2,672) | (1,491) |
Share buy-back | (442) | 0 | 0 |
Net current finance debt and other | (277) | (476) | 444 |
Cash flows provided by (used in) financing activities | (5,497) | (5,024) | (5,822) |
Net increase (decrease) in cash and cash equivalents | (2,341) | 3,458 | (1,137) |
Effect of exchange rate changes on cash and cash equivalents | (38) | (292) | 436 |
Cash and cash equivalents at the beginning of the period (net of overdraft) | 7,556 | 4,390 | 5,090 |
Cash and cash equivalents at the end of the period (net of overdraft) | $ 5,177 | $ 7,556 | $ 4,390 |
CONSOLIDATED STATEMENT OF CAS_2
CONSOLIDATED STATEMENT OF CASH FLOWS - (Parenthectical) - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | ||
Cash and cash equivalents includes: [abstract] | ||||
Bank overdrafts | [1] | $ 0 | $ 0 | $ 0 |
Interest paid [abstract] | ||||
Capitalised interest | [2] | $ 480 | $ 552 | $ 454 |
[1] | Net aft er cash and cash equivalents acquired. Cash and cash equivalents include bank overdrafts which were zero at 31 December 2019 , 2018 and 2017. | |||
[2] | Interest paid in cash flows provided by operating activities exclud es capitalised interest of USD 480 million, USD 552 million and USD 454 million for the years ending 31 December 2019, 2018 and 201 7, respectively. Capitalised interest is included in Capital expenditures and investments in cash flows used in investing activ ities. |
Organisation
Organisation | 12 Months Ended |
Dec. 31, 2019 | |
Organisation [Abstract] | |
Disclosure of notes and other explanatory information [text block] | 1 Organisation Equinor ASA , originally Den Norske Stats Oljeselskap AS, was founded in 1972 and is incorporated and domiciled in Norway . The address of its registered office is Forusbeen 50, N-4035 Stavanger, Norway . Equinor ASA ’s shares are listed on the Oslo Børs ( OSL, Norway) and the New York Stock Exchange ( NYSE, USA). The Equinor group's business consists principally of the exploration, production, transportation, refining and marketing of petroleum and petroleum-derived products and ot her forms of energy. All the Equinor group's oil and gas activities and net assets on the Norwegian continental shelf are owned by Equinor Energy AS, a 100% owned operating subsidiary . Equinor Energy AS is co-obligor or guarantor of certain debt obligatio ns of Equinor ASA. The Consolidated financial statements of Equinor for the full year 201 9 were authorised for issue in accordance with a resolution of the board of directors on 16 March 20 20 . |
Significant accounting policies
Significant accounting policies | 12 Months Ended |
Dec. 31, 2019 | |
Significant accounting policies [Abstract] | |
Disclosure of significant accounting policies [text block] | 2 Significant acco unting policies Statement of compliance The Consolidated financial statements of Equinor ASA and its subsidiaries ( Equinor ) have been prepared in accordance with International Financial Reporting Standards (IFRSs) as adopted by the European Union (EU) and with IFRSs as issued by the International Accounting Standards Board (IASB), effective at 31 December 2019. Basis of pr eparation The financial statements are prepared on the historical cost basis with some exceptions, as detailed in the accounting policies set out below. The policies described in this note are , unless otherwise noted, in effect at the balance sheet date . T hese policies have been applied consistently to all periods presented in these Consolidated financial statements, except as otherwise noted in disclosure related to the impact of policy changes following the adoption of new accounting standards and volunt ary changes in 2019, and the adoption of IFRS 15 Revenue from Contracts with Customers and IFRS 9 Financial Instruments in 2018. Certain amounts in the comparable years have been restated to conform to current year presentation. The subtotals and totals in some of the tables in the notes may not equal the sum of the amounts shown in the primary financial statements due to rounding. Operating related expenses in the Consolidated statement of income are presented as a combination of function and nature in conformity with industry practice. Purchases [net of inventory variation] and Depreciation, amortisation and net impairment losses are presented in separate lines based on their nature, while Operating expenses and Selling, general and administrative expen ses as well as Exploration expenses are presented on a functional basis. Significant expenses such as salaries, pensions, etc. are presented by their nature in the notes to the Consolidated financial statements. Changes in significant accounting polici es in the current period IFRS 16 Leases With effect from 1 January 2019, Equinor implemented IFRS 16. Reference is made to Note 22 Leases and Note 23 Implementation of IFRS 16 Leases for further information about the standard, the policy and implementati on choices made by Equinor , and the IFRS 16 implementation impact. Other standard amendments and interpretations of standards Other standard amendments or interpretations of standards effective as of 1 January 2019 and adopted by Equinor , were not materi al to Equinor’s Consolidated financial statements upon adoption . Voluntary change in accounting policy (sales method) With effect from 1 January 2019, Equinor change d the accounting policy for recognising revenue from the production of oil and gas properties in which Equinor shares an interest with other companies. Instead of recognising revenue based on Equinor’s ownership in producing fields, Equinor now recognises revenue on the basis of volumes lifted and sold to customers during the period (the sales method). This policy change was made due to the agenda decision in the IFRS Interpretations Committee (IFRIC) on the topic “Sale of output by a joint operator (IFRS 11)”, which was finalised in March 2019. The impact of this change on Equinor’s financial statements was not material. Standards, amendments to standards, and interpretations of standards, issued but not yet adopted At the date of these Consolidated financial statements, the following standar ds, amendments to standards and interpretations of standards applicable to Equinor have been issued, but were not yet effective. IFRS 3 Business Combinations amendments The amendments to IFRS 3, issued in October 2018 and effective from 1 January 2020, i ntroduce clarification to the definition of a business. The amendments also establish an optional test to identify a concentration of fair value that, if applied and met, would lead to the conclusion that an acquired set of activities and assets is not a b usiness. The amendments are to be applied for relevant transactions that occur on or after the implementation date, and Equinor will implement the amendments accordingly. Other standards, amendments to standards and interpretations of standards Other st andards, amendments to standards, and interpretations of standards, issued but not yet effective, are either not expected to materially impact Equinor’s Consolidated financial statements, or are not expected to be relevant to Equinor's Consolidated financi al statements upon adoption. Basis of consolidation The Consolidated financial statements include the accounts of Equinor ASA and its subsidiaries and include Equinor’s interest in jointly controlled and equity accounted investments. Subsidiaries Entities are determined to be controlled by Equinor , and consolidated in Equinor's financial statements, when Equinor has power over the entity, ability to use that power to affect the entity's returns, and exposure to, or rights to, variable returns from its involvement with the entity. All intercompany balances and transactions, including unrealised profits and losses arising from Equinor's internal transactions, have been eliminated . Non-controlling interests are presented separately within equity in the balance sheet . Joint operations and similar arrangements, joint ventures and associates A joint arrangement is present where Equinor holds a long-term interest which is jointly controlled by Equinor and one or more other venturers u nder a contractual arrangement in which decisions about the relevant activities require the unanimous consent of the parties sharing control. Such joint arrangements are classified as either joint operations or joint ventures. The parties to a joint ope ration have rights to the assets and obligations for the liabilities, relating to their respective share of the joint arrangement. In determining whether the terms of contractual arrangements and other facts and circumstances lead to a classification as jo int operations, Equinor considers the nature of products and markets of the arrangements and whether the substance of their agreements is that the parties involved have rights to substantially all the arrangement's assets. Equinor accounts for its share of assets, liabilities, revenues and expenses in joint operations in accordance with the principles applicable to those particular assets, liabilities, revenues and expenses. Acquisition of ownership shares in joint operations in which the activity constit utes a business, are accounted for in accordance with the requirements applicable to business combinations. Those of Equinor's exploration and production licence activities that are within the scope of IFRS 11 Joint Arrangements have been classified as j oint operations. A considerable number of Equinor's unincorporated joint exploration and production activities are conducted through arrangements that are not jointly controlled, either because unanimous consent is not required among all parties involved, or no single group of parties has joint control over the activity. Licence activities where control can be achieved through agreement between more than one combination of involved parties are considered to be outside the scope of IFRS 11, and these activit ies are accounted for on a pro-rata basis using Equinor's ownership share. Currently there are no significant differences in Equinor's accounting for unincorporated licence arrangements whether in scope of IFRS 11 or not. Joint ventures, in which Equino r has rights to the net assets, are accounted for using the equity method. These currently include the majority of Equinor’s investments in the New Energy Solutions (NES) area, presented within the reportable segment ‘Other’. Investments in companies in which Equinor has neither control nor joint control, but has the ability to exercise significant influence over operating and financial policies, as well as Equinor’s participation in joint arrangements that are joint ventures, are classified as Equity acc ounted investments. Under the equity method, the investment is carried on the balance sheet at cost plus post-acquisition changes in Equinor’s share of net assets of the entity, less distributions received and less any impairment in value of the investment . The part of an equity accounted investment’s dividend distribution exceeding the entity’s carrying amount in the consolidated balance sheet is reflected as income from equity accounted investments in the Consolidated statement of income. Equinor will subsequently only reflect the share of net profit in the investment that exceeds the dividend already reflected as income. Goodwill may arise as the surplus of the cost of investment over Equinor’s share of the net fair value of the identifiable assets and liabilities of the joint venture or associate. Such goodwill is recorded within the corresponding investment. The Consolidated statement of income reflects Equinor’s share of the results after tax of an equity-accounted entity, adjusted to account for depreciation, amortisation and any impairment of the equity-accounted entity’s assets based on their fair values at the date of acquisition. Where material differences in accounting policies arise, ad justments are made to the financial statements of equity-accounted entities in order to bring the accounting policies applied into line with Equinor’s . Material unrealised gains on transactions between Equinor and its equity-accounted entities are eliminat ed to the extent of Equinor’s interest in each equity-accounted entity. Unrealised losses are also eliminated unless the transaction provides evidence of an impairment of the asset transferred. Equinor assesses investments in equity-accounted entities for impairment whenever events or changes in circumstances indicate that the carrying value may not be recoverable. Equinor as operator of joint operations and similar arrangements Indirect operating expenses such as personnel expenses are accumulated in c ost pools. These costs are allocated on an hours’ incurred basis to business areas and Equinor operated joint operations under IFRS 11 and to similar arrangements ( licences ) outside the scope of IFRS 11. Costs allocated to the other partners' share of oper ated joint operations and similar arrangements reduce the costs in the Consolidated statement of income. Only Equinor's share of the statement of income and balance sheet items related to Equinor operated joint operations and similar arrangements are refle cted in the Consolidated statement of income and the Consolidated balance sheet. The accounting for lease contracts in joint operations or similar arrangements is described in further detail in Note 23 Implementation of IFRS 16 Leases, in the ‘Distinguishi ng operators and joint operators as lessees, including sublease considerations’ section, and depends on whether or not Equinor or all partners equally have the primary responsibility for the lease payments. Reportable segments Equinor identifies its operating segments ( business areas ) on the basis of those components of Equinor that are regularly reviewed by the chief operating decision maker, Equinor's corporate executive committee (CEC). Equinor combines business areas when these sat isfy relevant aggregation criteria. Equinor's accounting policies as described in this note also apply to the specific financial information included in reportable segments-related disclosure in these Consolidated financial statements, with the exceptio n of IFRS 16 Leases. Note 3 Segments includes further information about lease accounting in the reportable segments. Foreign currency translation In preparing the financial statements of the individual entities, transactions in foreign currencies (those o ther than functional currency) are translated at the foreign exchange rate at the dates of the transactions. Monetary assets and liabilities denominated in foreign currencies are translated to the functional currency at the foreign exchange rate at the bal ance sheet date. Foreign exchange differences arising on translation are recognised in the Consolidated statement of income as foreign exchange gains or losses within net financial items. Foreign exchange differences arising from the translation of estimat e-based provisions, however, generally are accounted for as part of the change in the underlying estimate and as such may be included within the relevant operating expense or income tax sections of the Consolidated statement of income depending on the natu re of the provision. Non-monetary assets that are measured at historical cost in a foreign currency are translated using the exchange rate at the date of the transactions. Loans from Equinor ASA to subsidiaries with other functional currencies than the par ent company, and for which settlement is neither planned nor likely in the foreseeable future, are considered part of the parent company’s net investment in the subsidiary. Foreign exchange differences arising on such loans are recognised in Other comprehe nsive income (OCI) in the Consolidated financial statements. Presentation currency For the purpose of preparing the Consolidated financial statements, the statement of income, the balance sheet and the cash flows of each entity are translated from the f unctional currency into the presentation currency, USD. The assets and liabilities of entities whose functional currencies are other than USD, are translated into USD at the foreign exchange rate at the balance sheet date. The revenues and expenses of such entities are translated using the foreign exchange rates on the dates of the transactions. Foreign exchange differences arising on translation from functional currency to presentation currency are recognised separately in OCI. The cumulative amount of suc h translation differences relating to an entity and previously recognised in OCI, is reclassified to the Consolidated statement of income and reflected as a part of the gain or loss on disposal of that entity. Business combinations Business combinations, except for transactions between entities under common control, are accounted for using the acquisition method of accounting. The acquired identifiable tangible and intangible assets, liabilities and contingent liabilities are measured at thei r fair values at the date of the acquisition. Acquisition costs incurred are expensed under Selling, general and administrative expenses. Revenue recognition Equinor presents ‘Revenue from contracts with customers’ and ‘Other revenue’ as a single capti on, Revenues, in the Consolidated statement of income. Revenue from contracts with customers Revenue from contracts with customers is recognised upon satisfaction of the performance obligations for the transfer of goods and services in each such contract. The revenue amounts that are recognised reflect the consideration to which Equinor expects to be entitled in exchange for those goods and services. Revenue from the sale of crude oil, natural gas, petroleum products and other merchandise is recognised whe n a customer obtains control of those products, which normally is when title passes at point of delivery, based on the contractual terms of the agreements. Each such sale normally represents a single performance obligation. In the case of natural gas, sale s are completed over time in line with the delivery of the actual physical quantities. Sales and purchases of physical commodities, when they are not settled net due to being deemed financial instruments or part of separate trading strategies, are presented on a gross basis as revenues from contracts with customers and purchases [net of inventory variation] in the statement of income. Sales of Equinor’s own produced oil and gas volumes are always reflected gross as revenue from contracts with custom ers. Revenues from the production of oil and gas properties in which Equinor shares an interest with other companies are recognized on the basis of volumes lifted and sold to customers during the period (the sales method). Where Equinor has lifted and sol d more than the ownership interest, an accrual is recognized for the cost of the overlift . Where Equinor has lifted and sold less than the ownership interest, costs are deferred for the underlift . Revenue is presented net of customs, excise taxes and roya lties paid in-kind on petroleum products. Other revenue Items representing a form of revenue, or which are closely connected with revenue from contracts with customers, are presented as o ther revenue if they do not qualify as revenue from contracts with c ustomers. These other revenue items include taxes paid in-kind under certain production sharing agreements (PSAs) and the net impact of commodity trading and commodity-based derivative instruments connected with sales contracts or revenue-related risk mana gement. Revenue from contracts with customers and Other revenue are presented as a single caption, Revenues, in the Consolidated statement of income . Transactions with the Norwegian State Equinor markets and sells the Norwegian State's share of oil and gas production from the Norwegian continental shelf (NCS). The Norwegian State's participation in petroleum activities is organised through the SDFI. All purchases and sales of the SDFI's oil production are classified as purchases [net of inventory var iation] and revenues from contracts with customers, respectively. Equinor sells, in its own name, but for the Norwegian State's account and risk, the State's production of natural gas. These sales and related expenditures refunded by the Norwegian State ar e presented net in the Consolidated financial statements. Natural gas sales made in the name of Equinor subsidiaries are also presented net of the SDFI’s share in the Consolidated statement of income, but this activity is reflected gross in the Consolidate d balance sheet. Employee benefits Wages, salaries, bonuses, social security contributions, paid annual leave and sick leave are accrued in the period in which the associated services are rendered by employees of Equinor . Research and development Equi nor undertakes research and development both on a funded basis for licence holders and on an unfunded basis for projects at its own risk. Equinor's own share of the licence holders' funding and the total costs of the unfunded projects are considered for ca pitalisation under the applicable IFRS requirements. Subsequent to initial recognition, any capitalised development costs are reported at cost less accumulated amortisation and accumulated impairment losses. Income tax Income tax in the Consolidated sta tement of income comprises current and deferred tax expense. Income tax is recognised in the Consolidated statement of income except when it relates to items recognised in OCI. Current tax consists of the expected tax payable on the taxable income for t he year and any adjustment to tax payable for previous years. Uncertain tax positions and potential tax exposures are analysed individually, and the most likely amount for probable liabilities to be paid (unpaid potential tax exposure amounts, including pe nalties) and for assets to be received (disputed tax positions for which payment has already been made) in each case is recognised within current tax or deferred tax as appropriate. Interest income and interest expenses relating to tax issues are estimated and recognised in the period in which they are earned or incurred, and are presented within net financial items in the Consolidated statement of income. Uplift benefit on the NCS is recognised when the deduction is included in the current year tax return and impacts taxes payable. Deferred tax assets and liabilities are recognised for the future tax consequences attributable to differences between the carrying amounts of existing assets and liabilities and their respective tax bases , and on unused tax losses and credits carried forward, subject to the initial recognition exemption. The amount of deferred tax is based on the expected manner of realisation or settlement of the carrying amount of assets and liabilities, using tax rates e nacted or substantively enacted at the balance sheet date. A deferred tax asset is recognised only to the extent that it is probable that future taxable income will be available against which the asset can be utilised . In order for a deferred tax asset to be recognised based on future taxable income, convincing evidence is required, taking into account the existence of contracts, production of oil or gas in the near future based on volumes of proved reserves, observable prices in active markets, expected vo latility of trading profits, expected currency rate movements and similar facts and circumstances. When an asset retirement obligation or a lease contract is initially reflected in the accounts, a deferred tax liability and a corresponding deferred tax ass et are recognized simultaneously and accounted for in line with other deferred tax items. Oil and gas exploration, evaluation and development expenditures Equinor uses the successful efforts method of accounting for oil and gas exploration costs. Expendi tures to acquire mineral interests in oil and gas properties and to drill and equip exploratory wells are capitalised as exploration and evaluation expenditures within intangible assets until the well is complete and the results have been evaluated, or the re is any other indicator of a potential impairment. Exploration wells that discover potentially economic quantities of oil and natural gas remain capitalised as intangible assets during the evaluation phase of the discovery . This evaluation is normally fi nalised within one year after well completion. If, following the evaluation, the exploratory well has not found potentially commercial quantities of hydrocarbons, the previously capitalised costs are evaluated for derecognition or tested for impairment. Ge ological and geophysical costs and other exploration and evaluation expenditures are expensed as incurred. Capitalised exploration and evaluation expenditures, including expenditures to acquire mineral interests in oil and gas properties, related to off shore wells that find proved reserves are transferred from exploration expenditures and acquisition costs - oil and gas prospects (intangible assets) to property, plant and equipment at the time of sanctioning of the development project. For onshore wells where no sanction is required, the transfer of acquisition cost – oil and gas prospects (intangible assets) to property, plant and equipment occurs at the time when a well is ready for production. For exploration and evaluation asset acquisitions (farm- in arrangements) in which Equinor has made arrangements to fund a portion of the selling partner's exploration and/or future development expenditures (carried interests), these expenditures are reflected in the Consolidated financial statements as and when the exploration and development work progresses. Equinor reflects exploration and evaluation asset dispositions (farm-out arrangements) on a historical cost basis with no gain or loss recognition. A gain related to a post-tax based disposition of asset s on the NCS includes the release of tax liabilities previously computed and recognised related to the assets in question. The resulting gross gain is recognised in full in other income in the Consolidated statement of income. Consideration from the sal e of an undeveloped part of an onshore asset reduces the carrying amount of the asset. The part of the consideration that exceeds the carrying amount of the asset, if any, is reflected in the Consolidated statement of income under other income. Exchanges (swaps) of exploration and evaluation assets are accounted for at the carrying amounts of the assets given up with no gain or loss recognition. Property, plant and equipment Property, plant and equipment is reflected at cost, less accumulated depreciation and accumulated impairment losses. The initial cost of an asset comprises its purchase price or construction cost, any costs directly attributable to bringing the asset into operation, the initial estimate of an asset retirement obligation, if any, exploration costs transferred from intangible assets and, for qualifying assets, borrowing costs. Contingent consideration included in the acquisition of an asset or group of simila r assets is initially measured at its fair value, with later changes in fair value other than due to the passage of time reflected in the book value of the asset or group of assets, unless the asset is impaired. Property, plant and equipment include costs relating to expenditures incurred under the terms of PSAs in certain countries, and which qualify for recognition as assets of Equinor . State-owned entities in the respective countries, however, normally hold the legal title to such PSA-based property, pla nt and equipment. Exchanges of assets are measured at fair value , primarily of the asset given up, unless the fair value of neither the asset received nor the asset given up is measurable with sufficient reliability. Expenditure on major maintenance r efits or repairs comprises the cost of replacement assets or parts of assets, inspection costs and overhaul costs. Where an asset or part of an asset is replaced and it is probable that future economic benefits associated with the item will flow to Equinor , the expenditure is capitalised . Inspection and overhaul costs, associated with regularly scheduled major maintenance programmes planned and carried out at recurring intervals exceeding one year, are capitalised and amortised over the period to the next s cheduled inspection and overhaul. All other maintenance costs are expensed as incurred. Capitalised exploration and evaluation expenditures, development expenditure on the construction, installation or completion of infrastructure facilities such as pla tforms, pipelines and the drilling of production wells, and field-dedicated transport systems for oil and gas are capitalised as producing oil and gas properties within property, plant and equipment. Such capitalised costs, when designed for significantly larger volumes than the reserves from already developed and producing wells, are depreciated using the unit of production method based on proved reserves expected to be recovered from the area during the concession or contract period. Depreciation of produ ction wells uses the unit of production method based on proved developed reserves, and capitalised acquisition costs of proved properties are depreciated using the unit of production method based on total proved reserves. In the rare circumstances where th e use of proved reserves fails to provide an appropriate basis reflecting the pattern in which the asset’s future economic benefits are expected to be consumed, a more appropriate reserve estimate is used. Depreciation of other assets and transport systems used by several fields is calculated on the basis of their estimated useful lives, normally using the straight-line method. Each part of an item of property, plant and equipment with a cost that is significant in relation to the total cost of the item is depreciated separately. For exploration and production assets, Equinor has established separate depreciation categories which as a minimum distinguish between platforms, pipelines and wells. The estimated useful lives of property, plant and equipment are reviewed on an annual basis, and changes in useful lives are accounted for prospectively. An item of property, plant and equipment is de- recognised upon disposal or when no future economic ben efits are expected to arise from the continued use of the asset. Any gain or loss arising on derecognition of the asset (calculated as the difference between the net disposal proceeds and the carrying amount of the item) is included in other income or oper ating expenses, respectively, in the period the item is de- recognised . Assets classified as held for sale Non-current assets are classified separately as held for sale in the balance sheet when their carrying amount will be recovered through a sale tran saction rather than through continuing use. This condition is met only when the sale is highly probable, which is when the asset is available for immediate sale in its present condition, and management is committed to the sale, which should be expected to qualify for recognition as a completed sale within one year from the date of classification. Liabilities directly associated with the assets classified as held for sale, and expected to be included as part of the sale transaction, are correspondingly also classified separately. Once classified as held for sale, property, plant and equipment and intangible assets are not subject to depreciation or amortisation . The net assets and liabilities of a disposal group classified as held for sale are measured at the lower of their carrying amount and fair value less costs to sell. Leases Following the implementation of IFRS 16 Leases on 1 January 2019, the accounting policies for lease accounting in Equinor have changed. Relevant accounting policies applied throug h out 2019, including policy choices made, are described in Note 23 Implementation of IFRS 16 Leases. Intangible assets including goodwill Intangible assets are stated at cost, less accumulated amortisation and accumulated impairment losses. Intangible assets include acquisition cost for oil and gas prospects, expenditures on the exploration for and evaluation of oil and natural gas resources, goodwill and other intangible assets. Intangible assets relating to expenditures on the exploration for and e valuation of oil and natural gas resources are not amortised . When the decision to develop a particular area is made, its intangible exploration and evaluation assets are reclassified to property, plant and equipment. Goodwill is initially measured at t he excess of the aggregate of the consideration transferred and the amount recognised for any non-controlling interest over the fair value of the identifiable assets acquired and liabilities assumed in a business combination at the acquisition date. Goodwi ll acquired is allocated to each cash generating unit (CGU), or group of units, expected to benefit from the combination’s synergies. Following initial recognition, goodwill is measured at cost less any accumulated impairment losses. In acquisitions made o n a post-tax basis according to the rules on the NCS, a provision for deferred tax is reflected in the accounts based on the difference between the acquisition cost and the transferred tax depreciation basis. The offsetting entry to such deferred tax amoun ts is reflected as goodwill, which is allocated to the CGU or group of CGUs on whose tax depreciation basis the deferred tax has been computed. Financial assets Financial assets are initially recognised at fair value when Equinor becomes a party to the contractual provisions of the asset. For additional information on fair value methods, refer to the Measurement of fair values section below. The subsequent measurement of the financial assets depends on which category they have been classified into at inc eption. At initial recognition, Equinor classifies its financial assets into the following three categories: Financial investments at amortised cost, at fair value through profit or loss, and at fair value through other comprehensive income based on an evaluation of the contractual terms and the business model applied. Certain long-term investments in other entities, which do not qualify for the equity method or consolidation, are included as at fair value through profit or loss. Cash and cash equivalents includ e cash in hand, current balances with banks and similar institutions, and short-term highly liquid investments that are readily convertible to known amounts of cash, are subject to an insignificant risk of changes in fair value and have a maturity of three months or less from the acquisition date. Short-term highly liquid investments with original maturity exceeding 3 months are classified as current financial investments. Cash and cash equivalents and current financial investment are accounted for at amort ised cost or at fair value through profit or loss. Trade receivables are carried at the original invoice amount less a provision for doubtful receivables which represent expected losses computed on a probability-weighted basis. Equinor’s financial asset impairment losses are measured and recognised based on expected losses. A part of Equinor's financial investments is managed together as an investment portfolio of Equinor's captive insurance company and is held |
Segments
Segments | 12 Months Ended |
Dec. 31, 2019 | |
Disclosure of operating segments [abstract] | |
Disclosure of entity's operating segments [text block] | 3 Segments Equinor ’s operations are managed through the following operating segments ( business areas ) : Development & Production Norway (DPN), Development & Production Brazil (DPB) , Development & Production International (DPI), Marketing, Midstream & Processing (MMP), New Energy Solutions (NES), Technology, Projects & Drilling (TPD), Exploration (EXP) and Global Strategy & Business Development (GSB). The development and production business areas are responsible for the commercial development of the oil and gas portfolios within their respective geographical areas: DPN on the Norwegian continental shelf, DPB in Brazil and DPI worldwide outside of DPN and DPB. Exploration activities are managed by a separate business area, which has the global responsibility across the group for discovery and appraisal of new resources. Exploration activities are allocated to and presented in the respective development and production business areas. TPD is responsible for the global project portfolio, well delivery, new technology and sourcing across Equinor. The activities are allocated and presented in the respective business areas receiving the deliveries. The MMP business area is responsible for marketing and trading of oil and gas commodities (crude, condensate, gas liquids, products, natural gas and liquefied natural gas), electricity and emission rights, as well as transportation, processing and manufacturing of the above-mentioned commodities , operations of refineries, terminals, processing and power plants. The NES business area is responsible for wind parks, carbon capture and storage as well as other renewable energy and low-carbon energy solutions. The business areas DPI and DPB are aggr egated into the reporting segment Exploration & Production International (E&P International). The aggregation has its basis in similar economic characteristics, such as the assets’ long term and capital-intensive nature and exposure to volatile oil and gas commodity prices, the nature of products, service and production processes, the type and class of customers, the methods of distribution and regulatory environment. The reporting segments Exploration & Production Norway (E&P Norway) and MMP consists of th e business areas DPN and MMP respectively. The business areas NES, GSB, TPD, EXP and corporate staffs and support functions are aggregated into the reporting segment “Other” due to the immateriality of these areas. The majority of costs within the business areas GSB, TPD and EXP are allocated to the E&P International, E&P Norway and MMP reporting segments. The eliminations section includes the elimination of inter-segment sales and related unrealised profits, mainly from the sale of crude oil and products. Inter-segment revenues are based upon estimated market prices. Segment data for the years ended 31 December 2019 , 2018 and 2017 are presented below. The measurement basis of segment profit is n et operating income/(loss) . In the tables below, deferred tax assets, pension assets and non-current financial assets are not allocated t o the segments. The measurement basis for segments is IFRS as applied by the group with the exception of IFRS 16 Leases and the line item Additions to property, plant and equipment (PP&E), intangibles and equity accounted investments. All IFRS 16 leases are presented within the Other segment. The lease costs for the period are allocated to the different segments based on underlying lease payments, with a corresponding credit in the Other segment. Lease costs allocated to licence partners are recognised as other revenue in the Other segment. Additions to PP&E, intangible assets and equity accounted investments in the E&P and MMP segments include the period’s allocated lease costs related to activity being capitalised with a corresponding negative addition in the Other segment. The line item Additions to property, plant and equipment (PP&E), intangibles and equity accounted investments excludes movements related to changes in asset retirement obligations . (in USD million) E&P Norway E&P International MMP Other Eliminations Total Full year 2019 Revenues third party, other revenues and other income 1,048 2,127 60,491 527 0 64,194 Revenues inter-segment 17,769 8,168 439 4 (26,379) 0 Net income/(loss) from equity accounted investments 15 30 25 93 0 164 Total revenues and other income 18,832 10,325 60,955 624 (26,379) 64,357 Purchases [net of inventory variation] (1) (34) (54,454) (1) 24,958 (29,532) Operating, selling, general and administrative expenses (3,284) (3,352) (4,897) 272 793 (10,469) Depreciation, amortisation and net impairment losses (5,439) (6,361) (600) (804) 0 (13,204) Exploration expenses (478) (1,377) 0 0 0 (1,854) Total operating expenses (9,201) (11,124) (59,951) (533) 25,750 (55,058) Net operating income/(loss) 9,631 (800) 1,004 92 (629) 9,299 Additions to PP&E, intangibles and equity accounted investments 7,316 5,855 788 823 0 14,782 Balance sheet information Equity accounted investments 3 321 90 1,028 0 1,442 Non-current segment assets 33,795 37,558 5,124 4,214 0 80,691 Non-current assets, not allocated to segments 11,152 Total non-current assets 93,285 (in USD million) E&P Norway E&P International MMP Other Eliminations Total Full year 2018 Revenues third party, other revenues and other income 588 3,181 75,487 45 0 79,301 Revenues inter-segment 21,877 9,186 291 2 (31,355) 0 Net income/(loss) from equity accounted investments 10 31 16 234 0 291 Total revenues and other income 22,475 12,399 75,794 280 (31,355) 79,593 Purchases [net of inventory variation] 2 (26) (69,296) (0) 30,805 (38,516) Operating, selling, general and administrative expenses (3,270) (3,006) (4,377) (288) 653 (10,286) Depreciation, amortisation and net impairment losses (4,370) (4,592) (215) (72) 0 (9,249) Exploration expenses (431) (973) 0 0 0 (1,405) Total operating expenses (8,069) (8,597) (73,888) (360) 31,458 (59,456) Net operating income/(loss) 14,406 3,802 1,906 (79) 103 20,137 Additions to PP&E, intangibles and equity accounted investments 6,947 7,403 331 519 0 15,201 Balance sheet information Equity accounted investments 1,102 296 92 1,373 0 2,863 Non-current segment assets 30,762 38,672 5,148 353 0 74,934 Non-current assets, not allocated to segments 8,655 Total non-current assets 86,452 (in USD million) E&P Norway E&P International MMP Other Eliminations Total Full year 2017 Revenues third party, other revenues and other income (23) 1,984 58,935 102 0 60,999 Revenues inter-segment 17,586 7,249 83 1 (24,919) 0 Net income/(loss) from equity accounted investments 129 22 53 (16) 0 188 Total revenues and other income 17,692 9,256 59,071 87 (24,919) 61,187 Purchases [net of inventory variation] 0 (7) (52,647) (0) 24,442 (28,212) Operating, selling, general and administrative expenses (2,954) (2,804) (3,925) (235) 418 (9,501) Depreciation, amortisation and net impairment losses (3,874) (4,423) (256) (91) 0 (8,644) Exploration expenses (379) (681) 0 0 0 (1,059) Total operating expenses (7,207) (7,915) (56,828) (326) 24,860 (47,416) Net operating income /(loss) 10,485 1,341 2,243 (239) (59) 13,771 Additions to PP&E, intangibles and equity accounted investments 4,869 5,063 320 543 0 10,795 Balance sheet information Equity accounted investments 1,133 234 134 1,050 0 2,551 Non-current segment assets 30,278 36,453 5,137 390 0 72,258 Non-current assets, not allocated to segments 9,102 Total non-current assets 83,911 See note 4 Acquisitions and disposals for information on transactions that affect the different segments. See note 10 Property, plant and equipment for further information on impairment losses and impairment reversals that affect the different segments. See note 11 Intangible assets for information on impairment losses and impairment reversals that affect the different segments. See note 24 Other c ommitments, contingent liabilities and contingent assets for information on contingencies that affect the segments. Revenues from contract s with customers by geographical areas Equinor has business operations in more than 30 countries. When attributing the line item Revenues third party, other revenue and other income to the country of the legal entity executing the sale for 2019 , Norway constitutes 75 % and the US constitutes 18 %. For 2018 the revenues to Norway and US constituted 75 % and 18 % res pectively and for 2017 7 4 % and 1 7 % respectively. Non-current assets by country At 31 December (in USD million) 2019 2018 2017 Norway 40,292 34,952 34,588 USA 17,776 19,409 19,267 Brazil 8,724 7,861 4,584 UK 5,657 4,588 4,222 Canada 1,672 1,546 1,715 Azerbaijan 1,598 1,452 1,472 Angola 1,564 1,874 2,888 Denmark 984 407 266 Tanzania 964 957 960 Algeria 915 986 1,114 Other countries 1,986 3,764 3,732 Total non-current assets 1) 82,133 77,797 74,809 1) Excluding deferred tax assets, pension assets and non-current financial assets. Revenues from contracts with customers and other revenues (in USD million) 2019 2018 2017 Crude oil 33,505 40,948 29,519 Natural gas 1) 11,281 14,070 11,420 - European gas 9,366 11,675 9,739 - North American gas 1,359 1,581 1,248 - Other incl LNG 556 814 433 Refined products 10,652 13,124 11,423 Natural gas liquids 5,807 7,167 5,647 Transportation 967 1,033 Other sales 445 903 2,963 Total revenues from contracts with customers 62,657 77,246 60,971 Over/Under lift 137 Taxes paid in-kind 344 865 Physically settled commodity derivatives 2) (1,086) 488 Gain/(loss) on commodity derivatives 732 (216) Other revenues 265 36 Total other revenues 254 1,309 Revenues 62,911 78,555 60,971 1) Retrospectively applied the disaggregation of Natural gas revenues. 2) Retrospectively reclassified Physically settled commodity derivatives to Total other revenues, previously presented as Natural gas revenues included in Total revenues from contracts with customers. For 2017 the transportation element included in sales transactions with customers are included in Crude Oil, Refined Products and Natural Gas Liquids. Other transportation was included in other sales. For 2018 and 2019, these elements are included in Transportation. The elements included in Total other revenues were for 2017 included in other sales. |
Acquisitions and disposals
Acquisitions and disposals | 12 Months Ended |
Dec. 31, 2019 | |
Disclosure Of Business Combination And Discontinued Operatons [Abstract] | |
Disclosure Of Business Combination And Divestment [text block] | 4 Acquisitions and di sposals 2019 Acquisition of interest in Rosebank project in UK In the first quarter of 2019 Equinor closed an agreement to acquire Chevron’s 40 % operated interest in the Rosebank project. A cash consideration of USD 71 million was paid on the closing date and is subject to final adjustment. The payment of the remaining consideration is subject to certain conditions being met and was reflected at fair value at the transaction date. The transaction represents an asset purchase. The fair value of the acquired exploration asset has been recognised in the Exploration & Production International (E&P International) segment. Acquisition of 100% shares in Danske Commodities In the first quarter of 2019 Equinor closed an agreement to acquire 100 % of the shares in a Danish energy trading company Danske Commodities (DC) for a cash consideration of EUR 465 million (USD 535 million). In addition, Equinor recog nised an insignificant liability for contingent consideration depending on DC’s performance measured at the fair value on the transaction date. The assets and liabilities related to the acquired business have been reflected according to IFRS 3 Business Com binations. The acquisition resulted in an increase of Equinor’s non-current assets of USD 13 million, current assets of USD 836 million, current liabilities of USD 749 million, and deferred tax liability of USD 2 million. The transaction has been accounted for in the Marketing, Midstream & Processing (MMP) segment and resulted in goodwill of USD 437 million reflecting the expected synergies on the acquisition and competence and access to the energy market s . In the fourth quarter of 2019, the purchase price allocation was finalised with no significant change compared to initial recognition. Acquisition of offshore wind lease in USA In the first quarter of 2019 Equinor paid a winning bid of USD 135 million in an auction for the rights to develop a wind farm w ithin an offshore wind lease OCS-A 0520, in an area offshore the Commonwealth of Massachusetts. T he transaction was accounted for as an asset acquisition . Upon completion the acquisition was recognised in the Other segment as an increase in the intangible assets. Swap of interests in the Norwegian Sea and the North Sea region of the Norwegian continental shelf In the second quarter of 2019 Equinor and Faroe Petroleum closed a swap transaction in the Norwegian Sea and the North Sea region of the Norwegian continental shelf ( NCS ) with no cash effect at the effective date. The effective date of the swap transaction is 1 January 2019. The assets and liabilities related to the acquired interests have been reflected in accordance with the principles of IFRS 3 Business Combinations. The acquisition resulted in increased assets of USD 280 million, including goodwill of USD 82 million, and increased liabilities of USD 97 million. In the third quarter of 2019 the purchase price allocation was finalised with no significant change compared to initial recognition . A gain of USD 137 million on the divested interests has been presented in the line item O ther income in the Consolidated statement of income. The transactions were tax-exempt ed and have been accounted for in the E&P Norway segment. Acquisition and divestment of operated interest in the Bacalhau (formerly Carcará ) field in Brazil In the second quarter of 2019 Equinor and Barra Energia (“Barra”) closed an agreement for Equinor to acquire Barra’s 10 % interest in the BM-S-8 licence in Brazil’s Santos basin. Upon closing, Equinor sold 3.5 % to ExxonMobil and 3 % to Galp, fully aligning interests across BM-S-8 and Bacalhau (formerly Carcará N orth). The total consideration for Barra’s 10% interest was USD 415 million, and the transaction was accounted for as an asset acquisition. The total consideration for divested interests is on the same terms as the invested interest and amounts to USD 269 million. The value of the net acquired exploration assets resulted in an increase in intangible assets of USD 146 million at the date of transactions. The net cash payment from the transactions is USD 101 million. The transactions have been accounted for i n the E&P International segment. Acquisition of interest in the Caesar Tonga field in the Gulf of Mexico In the third quarter of 2019 Equinor received governmental approval and closed a deal to acquire preferential rights to an additional 22.45 % interest in the Caesar Tonga oil field from Shell Offshore Inc. The total consideration, including interim period settlement, was USD 813 million in cash. The assets and liabilities related to the acquired interests have been reflected in accordance with the princ iples of IFRS 3 Business Combinations. The acquisition resulted in increased assets of USD 850 million and increased liabilities of USD 37 million. The transaction increased Equinor’s interest in the field from 23.55 % to 46.00 %. The transaction was recogni sed in the E&P International segment. Acquisition of interest in the Johan Sverdrup field and divestment of Lundin Petroleum AB shares In the third quarter of 2019 Equinor closed a deal to divest a 16 % shareholding in Lundin Petroleum AB (Lundin) for a di rect interest of 2.6% in the Johan Sverdrup field in addition to a cash consideration. The consideration for the Lundin shares was SEK 14,510 million (USD 1,508 million) at the closing date, while the consideration for the Johan Sverdrup interest was USD 9 81 million including interim period settlement. On 5 August 2019 the divestment of the shares in Lundin was closed, and Equinor recognised a gain of USD 837 million including recycling of other comprehensive income and a fair value adjustment of the remai ning 4.9 % shares (subsequent to Lundin redeeming the acquired shares). The gain on the divested interest is presented in the line item Other income in the E&P Norway segment. After the divestment the remaining investment in Lundin is recognised at fair value through profit and loss and classified as non-current financial investment in the balance sheet. On 30 August 2019 the acquisition of 2.6 % of the Johan Sverdrup field was closed. The acquired interest has been reflected in accordance with the principles of IFRS 3 Business Combinations. The acquisition resulted in increased assets of USD 1,580 million, including goodwill of USD 612 million, increased deferred tax of USD 612 million and other changes of USD 13 million. The acquisition has been accounted for in the E&P Norway segment. Both transactions were tax-exempted. Divestment of interest in Arkona offshore windfarm In the fourth quarter of 2019, Equinor closed an ag reement to sell a 25 % ownership interest in the AWE- Arkona - Windpark Entwicklunds -GMBH to EIP Offshore Wind Germany I Holding GMBH for a total amount of EUR 475 million (USD 526 million) including interim period settlement. Following the transaction, Equino r retains a 25 % interest in the Arkona offshore windfarm. RWE Renewables will remain the operator with a 50 % interest. A gain of USD 212 million has been presented in the line item Other income in the Consolidated statement of income in the Other segment. Divestment of interest in Eagle Ford asset in the onshore USA In the fourth quarter of 2019, Equinor closed an agreement to sell all its interests in the Eagle Ford onshore asset as well as all of Equinor’s shares in Edwards Lime Gathering LLC for a consideration of USD 352 million. An immaterial loss has been presented in the line item Operating expense s in the Consolidated statement of income. The loss on sale is presented in the E&P International segment. Investment of interest onshore Argentina On 18 December 2019 Equinor entered into an agreement to acquire a 50 % interest in SPM Argentina S.A (SPM) from Schlumberger Production Management Holding Argentina B.V. SPM holds a 49 % interest in the Bandurria Sur onshore block in Argentina, and the block is in the late pilot phase of development. The consideration before adjustments is USD 177,5 million. The consideration will be adjusted for cash flows, including cash flows related to working capital and debt, from 1 January 2020 until closing. Upon closing, the acquisition is expected to be accounted for by using the equity method. Closing is expected in th e first quarter of 2020 and the investment will be accounted for in the E&P International segment. 2018 Acquisition of interests in Martin Linge field and Garantiana discovery In the first quarter of 2018 Equinor and Total closed an agreement to acquire T otal’s equity stakes in the Martin Linge field ( 51 %) and the Garantiana discovery ( 40 %) on the NCS. Through this transaction Equinor increased the ownership share in the Martin Linge field from 19 % to 70 %. Equinor has paid Total a consideration of USD 1,54 1 million and has taken over the operatorships. The assets and liabilities related to the acquired portion of Martin Linge and Garantiana have been reflected in accordance with the principles of IFRS 3 Business Combinations. The acquisition resulted in an increase of Equinor’s property, plant and equipment of USD 1,418 million, intangible assets of USD 116 million, goodwill of USD 265 million, deferred tax liabilities of USD 265 million and other assets of USD 7 million. The partners have joint control and Equinor continues to account for its interest on a pro-rata basis using Equinor's new ownership share. The transaction has been accounted for in the E&P Norway segment. Acquisition of Cobalt’s North Platte interest in the Gulf of Mexico In the first quart er of 2018 Equinor’s co-bid with Total in the bankruptcy auction for Cobalt’s interest in the North Platte discovery was successful with an aggregate bid of USD 339 million. The transaction was closed in April 2018. Upon closing, Total as operator owns 60 % of North Platte and Equinor owns the remaining 40 %. The value of the acquired exploration assets has been recognised in the E&P International segment for an amount of USD 246 million as intangible assets. Additionally, the transaction includes a contingen t consideration up to USD 20 million. Acquisition of interest in Roncador field in Brazil In the second quarter of 2018 Equinor closed an agreement with Petrobras to acquire a 25 % interest in Roncador , an oil field in the Campos Basin in Brazil. Equinor paid Petrobras a cash consideration of USD 2,133 million, in addition to recognising a liabi lity for contingent consideration of USD 392 million. The assets and liabilities related to the acquired portion of Roncador have been reflected in accordance with the principles of IFRS 3 Business Combinations. The acquisition resulted in an increase of E quinor’s property, plant and equipment of USD 2,550 million, intangible assets of USD 392 million and an increase in provisions of USD 808 million. In the second quarter of 2019 the purchase price allocation was finalised with no significant change compared to initial recognition. The partners have joint control and Equinor will account for its interest on a pro-rata basis. The transaction has been accounted for in the E&P International segment. Acquisition and divestment of operated interest in Bacalhau (formerly Carcará ) field in Brazil In the fourth quarter of 2016 Equinor acquired a 66 % operated interest in the Brazilian offshore licence BM-S-8 in the Santos basin from Petróleo Brasileiro S.A. (“Petrobras”). The value of the acquired exploration assets resulted in an increase in intangible assets of USD 2,271 million at the transaction date. In the fourth quarter of 2017, a consortium comprising Equinor (operator, 40 %), ExxonMobil ( 40 %) and Ga lp ( 20 %) presented the winning bid ( 67.12 % of profit oil) for the Bacalhau (formerly Carcará North) block in the Santos basin. Equinor’s share of the pre-determined signature bonus paid by the consortium in December 2017 was USD 350 million and was recogni sed as an intangible asset. In the fourth quarter of 2017 Equinor acquired Queiroz Galvão Exploração e Produção (“QGEP”)’s 10 % interest in licence BM-S-8 in Brazil’s Santos basin increasing the operated interest to 76 %. The value of the acquired explora tion assets resulted in an increase in intangible assets of USD 362 million at the transaction date. In the second quarter of 2018 Equinor completed the divestment of 39.5 % of its 76% interest in BM-S-8, agreed in October 2017. 36.5 % interest was diveste d to ExxonMobil and 3 % to Galp for a total consideration of USD 1,493 million. The transaction is accounted for with no impact on the Consolidated statement of income. The cash proceeds from the sale were USD 1,016 million. The transactions are accounted f or in the E&P International segment. Divestment of interests in discoveries on the Norwegian continental shelf In the fourth quarter of 2018 Equinor closed an agreement with Aker BP to sell its 77.8 % operated interest in the King Lear discovery on the Nor wegian continental shelf (NCS) for a total consideration of USD 250 million and an agreement with PGNiG to sell its non-operated interests in the Tommeliten discovery on the NCS for a total consideration of USD 220 million. A gain of USD 449 million has be en presented in the line item Other income in the Consolidated statement of income in the E&P Norway segment. The transaction was tax exempt under the Norwegian petroleum tax legislation. 2017 Sale of interest in Kai Kos Dehseh In the first quarter of 20 17 Equinor closed an agreement with Athabasca Oil Corporation to divest its 100 % interest in Kai Kos Dehseh (KKD) oil sands. The total consideration consisted of cash consideration of CAD 431 million (USD 328 million), 100 million common shares in Athabasc a Oil Corporation and a series of contingent payments, measured at a combined fair value of CAD 185 million (USD 142 million) on the closing date. A loss on the transaction of USD 351 million was recognised as operating expense and included a reclassificat ion of accumulated foreign exchange losses, previously recognised in other comprehensive income/(loss). The transaction was reflected in the E&P International segment. Extension of the Azeri-Chirag-Deepwater Gunashli production sharing agreement In the third quarter of 2017 the Azeri-Chirag-Deepwater Gunashli (ACG) production sharing agreement was extended by 25 years. The transaction was recognised in the E&P International segment in the fourth quarter of 2017, following ratification by the Parliame nt (Milli Majlis) of the Republic of Azerbaijan. As part of the new agreement, Equinor’s participating interest was adjusted to 7.27 % down from 8.56 %. Equinor's share of a total payment of USD 3.6 billion to the State Oil Fund of the Republic of Azerbaijan will be approximately USD 349 million to be paid over a period of 8 years . |
Financial risk management
Financial risk management | 12 Months Ended |
Dec. 31, 2019 | |
Financial Risk Management [Abstract] | |
Disclosure of financial risk management [text block] | 5 Financial risk and capital management General information relevant to financial risks Equinor 's business activities naturally expose Equinor to financial risk. Equinor’s approach to risk management includes assessing and managing risk in all activities using a holistic risk approach. Equinor consider correlations between the most important market risks and the natural hedges inherent in Equinor’s portfolio. This approach allows Equinor to reduce the number of risk management transactions and avoid sub-optimisation. The corp orate risk committee, which is headed by the chief financial officer, is responsible for defining, developing and reviewing Equinor’s risk policies. The chief financial officer, assisted by the committee, is also responsible for overseeing and developing E quinor’s Enterprise Risk Management and proposing appropriate measures to adjust risk at the corporate level. Mandates in the trading organisations within crude oil, refined products, natural gas and electricity are relatively small compared to the total market risk of Equinor . Financial risks Equinor’s activities expose Equinor to m arket risk (including commodity price risk, curren cy risk, interest rate risk and equity price risk), l iquidity risk and c redit risk . Market risk Equinor operates in the worldwide crude oil, refined products, natural gas, and electricity markets and is exposed to market risks including fluctuations in hydrocarbon prices, foreign currency rates, interest rates, and electricity prices that can affect the rev enues and costs of operating, investing and financing. These risks are managed primarily on a short-term basis with a focus on achieving the highest risk-adjusted returns for Equinor within the given mandate. Long-term exposures are managed at the corporat e level , while short-term exposures are managed according to trading strategies and mandates . For more information on sensitivity ana lysis of market risk see note 2 6 Financial instruments: fair value measurement and sensitivity analysis of market risk. Commodity price risk Equinor’s most important long- term commodity risk (oil and natural gas) is related to future market prices as Equinor ´ s risk policy is to be exposed to both upside and downside price movements. To manage short-term commodity risk, Equi nor enters into commodity - based derivative contracts, including futures, options, over-the-counter (OTC) forward contracts, market swaps and contracts for differences related to crude oil, petroleum products, natural gas and electricity. Equinor’s bilateral gas sales portfolio is exposed to various price indices with a combination of gas price markers. The term of crude oil and refined oil products derivatives are usually less than one year, and they are traded mainly on the Inter Contin ental Exchange (ICE) in London, the New York Mercantile Exchange (NYMEX), the OTC Brent market, and crude and refined products swap markets. The term of natural gas and electricity derivatives is usually three years or less, and they are mainly OTC physica l forwards and options, NASDAQ OMX Oslo forwards and futures traded on the NYMEX and ICE. Currency risk Equinor’s cash flows from operating activities deriving from oil and gas sales, operating expenses and capital expenditures are mainly in USD, but taxe s, dividends to shareholders on the Oslo Børs and a share of our operating expenses and capital expenditures are in NOK. Accordingly, Equinor’s currency management is primarily linked to mitigate currency risk related to payments in NOK. This means that Eq uinor regularly purchases NOK, primarily spot, but also on a forward basis using conventional derivative instruments. Interest rate risk Bonds are normally issued at fixed rates in a variety of local currencies (among others USD, EUR and G BP ). Bonds are n ormally converted to floating USD bonds by using interest rate and currency swaps. Equinor manages its interest rates exposure on its bond debt based on risk and reward considerations from an enterprise risk management perspective. This means that the fix e d /floating mix on interest rate exposure may vary from time to time. For more detailed information about Equinor’s long-term debt portfolio see note 18 Finance debt. Equity price risk Equinor’s captive insurance company holds listed equity securities as part of its portfolio. In addition, Equinor holds some other listed and non-listed equities mainly for long-term strategic purposes. By holding these assets Equinor is exposed to equity price risk, defined as the risk of declining equity prices, which can result in a decline in the carrying value of Equinor’s assets recognised in the balance sheet. The equity price risk in the portfolio held by Equinor’s captive insurance company is manag ed, with the aim of maintaining a moderate risk profile, through geographical diversification and the use of broad benchmark indexes. Liquidity risk Liquidity risk is the risk that Equinor will not be able to meet obligations of financial liabilities when they become due. The purpose of liquidity management is to ensure that Equinor has sufficient funds available at all times to cover its financial obl igations. The main cash outflows include the quarterly dividend payments and Norwegian petroleum tax payments paid six times per year. If the cash flow forecasts indicate that the liquid assets will fall below target levels, new long-term funding will be considered. Short-term funding needs will normally be covered by the USD 5.0 billion US Commercial p aper p rogramme (CP) which is backed by a revolving credit facility of USD 5.0 billion, supported by 21 core banks, maturing in 2022 . The facility supports secure access to funding, supported by the best available short-term rating. As at 31 December 2019 the facility has not been drawn. Equinor raises debt in all major capital markets (US, Europe and Asia) for long-term funding purposes . The policy is to h ave a maturity profile with repay ments not exceeding 5 % of capital employed in any year for the nearest five years. Equinor’s non-current financial liabilities have a weighted average maturity of approximately nine years . For more information about Equin or’s non-current financial liabilities see note 18 Finance debt. The table below shows a maturity profile, based on undiscounted contractual cash flows, for Equinor’s financial liabilities. At 31 December 2019 2018 (in USD million) Non-derivative financial liabilities Lease liabilities Derivative financial liabilities Non-derivative financial liabilities Lease liabilities Derivative financial liabilities Year 1 13,388 1,210 204 11,958 61 271 Year 2 and 3 4,370 1,483 606 5,504 120 677 Year 4 and 5 6,238 673 175 4,919 123 203 Year 6 to 10 8,449 892 479 10,611 150 611 After 10 years 10,567 349 370 9,570 48 725 Total specified 43,012 4,607 1,835 42,562 502 2,488 The comparison numbers related to lease liabilities relates to finance leases according to IAS 17, for more information see note 23 Implementation of IFRS 16 Le ases to the Consolidated financial statements . Credit risk Credit risk is the risk that Equinor’s cust omers or counterparties will cause Equinor fi nancial loss by failing to hono r their obligations. Credit risk arises from credit exposures with customer accounts receivables as well as from financial investments, derivative financial instruments and deposit s with financial institutions. Prior to entering into transactions with new counterparties, Equinor’s credit policy requires all counterparties to be formally identified and assigned internal credit ratings. The internal credit ratings reflect Equinor’s a ssessment of the counterparties' credit risk and are based on a quantitative and qualitative analysis of recent financial statements and other relevant business. All counterparties are re-assessed regularly. Equinor uses risk mitigation tools to reduce or control credit risk both on a counterparty and portfolio level. The main tools include bank and parental guarantees, prepayments and cash collateral. Equinor has pre-defined limits for the absolute credit risk level allowed at any given time on Equinor’ s portfolio as well as maximum credit exposures for individual counterparties. Equinor monitors the portfolio on a regular basis and individual exposures against limits on a daily basis. The total credit exposure of Equinor is geographically diversified am ong a number of counterparties within the oil and energy sector, as well as larger oil and gas consumers and financial counterparties. The majority of Equinor’s credit exposure is with investment grade counterparties. The following table contains the carrying amount of Equinor’s financial receivables and derivative financial instruments split by Equinor’s assessment of the counterparty's credit risk. Trade and other receivables include 2 % overdue receivables for 30 days and more. The overdue receivables are mainly joint venture receivables pending the settlement of disputed working interest items payable from Equinor’s working interest partners within its US unconventional activities . Provisions have been made for expect ed losses utilising the expected credit loss model. Only non-exchange traded instruments are included in derivative financial instruments. (in USD million) Non-current financial receivables Trade and other receivables Non-current derivative financial instruments Current derivative financial instruments At 31 December 2019 Investment grade, rated A or above 682 2,089 962 201 Other investment grade 80 4,778 403 368 Non-investment grade or not rated 296 508 0 9 Total financial asset 1,057 7,374 1,365 578 At 31 December 2018 Investment grade, rated A or above 460 1,811 682 100 Other investment grade 150 5,412 350 183 Non-investment grade or not rated 244 1,265 0 35 Total financial asset 854 8,488 1,032 318 For more information about Trade and other receivables, see note 15 Trade and other receivables. At 31 December 2019 , USD 585 million of cash was held as collateral to mitigate a portion of Equinor 's credit exposure. At 31 December 2018 , USD 213 m illion was held as collateral. The collateral cash is received as a security to mitigate credit exposure related to positive fair values on interest rate swaps, cross currency swaps and foreign exchang e swaps. Cash is called as collateral in accordance with the master agreements with the different counterparties when the positive fair values for the different swap agreements are above an agreed threshold. Under the terms of various master netting agre ements for derivative financial instruments as of 31 December 201 9 , USD 2,187 million have been offset and USD 603 million presented as liabilities do not meet the criteria for offsetting. At 31 December 201 8 , USD 1 19 million were offset and USD 655 m illio n was not offset. The collateral received and the amounts not offset from derivative financial instrument liabilities, reduce the credit exposure in the derivative financial instruments presented in the table above as they will offset each other in a poten tial default situation for the counterparty. Trade and other receivables subject to similar master netting agreements USD 1,309 million have been offset as of 31 December 2019, and respectively USD 557 million as of 31 December 2018. Capital management The main objectives of Equinor's capital management policy are to maintain a strong overall financial position and to ensure sufficient financial flexibility. Equinor’s primary focus is on maintaining its credit rating in the A category on a stand alone basis (ignoring uplifts for Norwegian Government ownership). In order to monitor financial robustness on a day to day basis, a key ratio utilized by Equinor is the non-GAAP metric of “adjusted net intere st-bearing debt (ND) to adjusted capital employed (CE)”. At 31 December (in USD million) 2019 2018 Net interest-bearing debt adjusted, including lease liabilities (ND1) 17,219 Net interest-bearing debt adjusted (ND2) 12,880 12,246 Capital employed adjusted, including lease liabilities (CE1) 58,378 Capital employed adjusted (CE2) 54,039 55,235 Net debt to capital employed adjusted, including lease liabilities (ND1/CE1) 29.5% - Net debt to capital employed adjusted (ND2/CE2) 23.8% 22.2% ND1 is defined as Equinor's interest bearing financial liabilities less cash and cash equivalents and current financial investments, adjusted for collateral deposits and balances held by Equinor's captive insurance company (amounting to USD 791 million and USD 1,261 million for 2019 and 2018, respectively) and balances related to the SDFI (amounting to USD 0 million and USD 146 million for 2019 and 2018, respectively. CE1 is defined as Equinor's total equity (including non-controlling interests) and ND1. ND 2 is defined as ND1 adjusted for lease liabilities (amounting to USD 4,339 million and USD 0 million for 2019 and 2018, respectively). CE2 is defined as Equinor's total equity (including non-controlling interests) and ND2. |
Remuneration
Remuneration | 12 Months Ended |
Dec. 31, 2019 | |
Renumeration [abstract] | |
Disclosure of renumeration explanatory [text block] | 6 Remuneration Full year (in USD million, except average number of employees) 2019 2018 2017 Salaries 1) 2,766 2,863 2,671 Pension costs 446 463 469 Payroll tax 413 409 387 Other compensations and social costs 330 318 290 Total payroll costs 3,955 4,052 3,818 Average number of employees 2) 21,400 20,700 20,700 1) Salaries include bonuses, severance packages and expatriate costs in addition to base pay. 2) Part time e mployees amount to 4 % f or 2019 and 3 % for each of the years 2018 and 2017 respectively. Total payroll expenses are accumulated i n cost-pools and partly charged to partners of Equinor operated licences on a n hours incurred basis. Compensation to the board of directors (BoD) and the corporate executive committee (CEC) Full year (in USD thousand) 1) 2019 2018 2017 Current employee benefits 10,958 12,471 11,067 Post-employment benefits 661 667 636 Other non-current benefits 18 21 25 Share-based payment benefits 147 197 175 Total 11,782 13,356 11,902 1) All figures in the table are presented on accrual basis. For management remuneration details, see note 4 Remuneration in the parent company financial statements and notes. At 31 December 2019 , 2018 and 2017 there are no loans to the members of the BoD or the CEC. Share-based compensation Equinor 's share saving plan provides employees with the opportunity to purchase Equinor shares through monthly salary ded uctions and a contribution by Equinor . If the shares are kept for two full calenda r years of continued employment following the year of purchase, the employees will be allocated one bonus share for each one they have purchased. Estimated compensation expe nse including the contribution by Equinor for purchased shares, amounts vested for bonus shares granted and related social security tax was USD 73 million, USD 7 2 million and USD 62 million related to the 2019 , 2018 and 2017 progra mmes, respectively. For the 2020 programme (granted in 201 9 ) the estimated compensation expense is USD 7 4 million. At 31 December 2019 the amount of compensation cost yet to be expens ed throughout the vesting p eriod is USD 158 million . |
Other expenses
Other expenses | 12 Months Ended |
Dec. 31, 2019 | |
Other Expense [Abstract] | |
Disclosure of additional information [text block] | 7 Other expenses Auditor's remuneration Full year (in USD million, excluding VAT) 2019 2018 2017 Audit fee Ernst & Young (principal accountant 2019) 4.7 Audit fee KPMG (principal accountant 2018 and 2017) 2.8 7.1 6.1 Audit related fee Ernst & Young (principal accountant 2019) 0.5 Audit related fee KPMG (principal accountant 2018 and 2017) 1.2 1.0 0.9 Tax fee Ernst & Young (principal accountant 2019) 0.2 Tax fee KPMG (principal accountant 2018 and 2017) 0.0 0.0 0.0 Other service fee Ernst & Young (principal accountant 2019) 0.9 Other service fee KPMG (principal accountant 2018 and 2017) 0.0 0.0 0.0 Total 10.3 8.1 7.0 In addition to the figures in the table above, the aud i t fees and audit related fees related to Equinor operated licen c es amount to USD 0.5 million , USD 0.9 million and USD 0.8 million for 2019 , 2018 and 2017 , respectively. On 15 May 2019, the general meeting of shareholders appointed Ernst & Young AS as Equinor’s auditor, thereby replacing KPMG AS. Research and development expenditures Research and developmen t (R&D) expenditures were USD 300 million , USD 315 million and USD 307 mi llion in 2019 , 2018 and 2017 , respectively. R&D expenditures are partly financed by partners of Equinor operated licen c es. Equinor 's share of the expenditures has been recognised as e xpense in the Consolidated statement of income. |
Financial items
Financial items | 12 Months Ended |
Dec. 31, 2019 | |
Finance Income Expense [Abstract] | |
Disclosure of finance income (cost) [text block] | 8 Financial ite ms Full year (in USD million) 2019 2018 2017 Foreign exchange gains/(losses) derivative financial instruments 132 149 (920) Other foreign exchange gains/(losses) 92 (315) 1,046 Net foreign exchange gains/(losses) 224 (166) 126 Dividends received 75 150 63 Gains/(losses) financial investments 245 (72) 108 Interest income financial investments, including cash and cash equivalents 124 45 64 Interest income non-current financial receivables 21 27 24 Interest income other current financial assets and other financial items 280 132 228 Interest income and other financial items 746 283 487 Gains/(losses) derivative financial instruments 473 (341) (61) Interest expense bonds and bank loans and net interest on related derivatives (987) (922) (1,004) Interest expense lease liabilities (126) (23) (26) Capitalised borrowing costs 480 552 454 Accretion expense asset retirement obligations (456) (461) (413) Interest expense current financial liabilities and other finance expense (360) (185) 86 Interest and other finance expenses (1,450) (1,040) (903) Net financial items (7) (1,263) (351) Equinor 's main financial items relate to assets and liabilities categorised in the fair value through profit or loss and the amortised cost category. For more information about financial instruments by category see note 26 Financial instruments: fair value measurement and sensitivity analysis of market risk. For information related to the implementation of IFRS 16, see n ote 23 Implementation of IFRS 16 leases. The line item I nterest expense bonds and bank loans and net interest on related derivatives primarily includes interest expenses of USD 861 million , USD 8 68 million, and USD 1,0 84 million from the financial liabili ties at amortised cost category and net interest on related derivatives from the fair value through profit or loss category with net interest expense of USD 129 million, net interest expense of USD 55 million and net interest income of USD 80 million for 2 01 9 , 201 8 and 201 7 , respectively. The line item G ains / (losses) derivative financial instruments primarily includes fair value changes from the fair value through profit or loss category on derivatives related to interest rate risk, with a gain of USD 457 million in 201 9 . Correspondingly a loss of USD 35 7 million and a loss of USD 77 million for 201 8 and 201 7 , respectively. The line item I nterest expense current financial liabilities and other finance expense includes an income of USD 319 million in 2017 related to release of a provision. Foreign exchange gains/(losses) derivative financial instruments include fair value changes of curren cy derivatives related to liquidity and currency risk. The line item Other f oreign exchange gains / (losses) includes a net foreign exchange loss of USD 74 million , a loss of USD 4 2 2 million and a gain of USD 427 million from the fair value through profit or loss category for 201 9 , 201 8 and 201 7 , respectively. |
Income taxes
Income taxes | 12 Months Ended |
Dec. 31, 2019 | |
Income tax [abstract] | |
Disclosure of income tax [text block] | 9 Income taxes Significant components of income tax expense Full year (in USD million) 2019 2018 2017 Current income tax expense in respect of current year (7,892) (10,724) (7,680) Prior period adjustments 69 (49) (124) Current income tax expense (7,822) (10,773) (7,805) Origination and reversal of temporary differences 410 (1,359) (904) Recognition of previously unrecognised deferred tax assets 0 923 0 Change in tax regulations (6) (28) (14) Prior period adjustments (23) (99) (100) Deferred tax income/(expense) 381 (563) (1,017) Income tax expense (7,441) (11,335) (8,822) Reconciliation of statutory tax rate to effective tax rate Full year (in USD million) 2019 2018 2017 Income/(loss) before tax 9,292 18,874 13,420 Calculated income tax at statutory rate 1) (2,284) (5,197) (3,827) Calculated Norwegian Petroleum tax 2) (5,499) (8,189) (5,945) Tax effect uplift 3) 632 736 784 Tax effect of permanent differences regarding divestments 380 400 (85) Tax effect of permanent differences caused by functional currency different from tax currency 8 116 (229) Tax effect of other permanent differences 395 337 291 Tax effect of dispute with Angolan Ministry of Finance 4) 0 0 496 Recognition of previously unrecognised deferred tax assets 5) 0 923 0 Change in unrecognised deferred tax assets (974) 72 (169) Change in tax regulations (6) (28) (14) Prior period adjustments 47 (148) (224) Other items including currency effects (139) (357) 100 Income tax expense (7,441) (11,335) (8,822) Effective tax rate 80.1% 60.1% 65.7% 1) The weighted average of statutory tax rates was 24.6 % in 2019 , 2 7 .5 % in 2018 and 28 . 5 % in 2017 . The rate s are influenced by earnings composition between tax regimes with lower statutory tax rates and tax regimes with higher statutory tax rates. The change in weighted average statutory tax rate from 2018 to 2019 and from 201 7 to 2018 is also caused by the reduction in the Norwegian statutory tax rate from 24 % in 2017 to 23 % in 2018 to 22 % in 2019. 2) The Norwegian petroleum tax rate is 56 % for 2019, 55 % for 2018 and 54 % for 2017. 3) When computing the petroleum tax of 5 6 % on income from the Norwegian continental shelf , an additional tax-free allowance, or uplift, is granted on the basis of the original capitalised cost of offshore production installations. The uplift may be deducted from taxable income for a period of four years starting in the year in which the capita l expenditure is incurred. For investments made in 201 9 the uplift is calculated at a rate of 5. 2 % per year, while the rate is 5.3 % per year for investments made in 2018, 5.4 % per year for investments made in 2017 and 5.5 % per year for investments made in 2016. Transitional rules apply to investments from 5 May 2013 covered by among others Plans for development and operation (PDOs) or Plans for installation and operation (PIOs) submitted to the Ministry of Oil and Energy prior to 5 May 2013. For these inves tments the rate is 7.5 % per year. Unused uplift may be carried forward indefinitely. At year end 201 9 and 201 8 , unrecognised uplift credits amounted to USD 1,678 million and USD 1 , 780 million, respectively. 4) In June 2017 Equinor signed an agreement with the Angolan Ministry of Finance which resolved the dispute over previously assessed additional profit oil and taxes due, and established how to allocate profit oil and assess petroleum income tax (PIT) related to Equinor ’s partici pation in Block 4, Block 15, Block 17 and Block 31 offshore Angola for t h e years 2002 to 2016. 5) An amount of USD 923 million of previously unrecognised deferred tax assets was recognised in the E&P International reporting segment in 2018. The recognition of the deferred tax assets is based on the expectation that sufficient taxable income will be available through reversals of taxable temporary differences or future taxable income supported by business forecast. Deferred tax assets and liabilities comprise (in USD million) Tax losses carried forward Property, plant and equipment and intangible assets Asset retirement obligations Lease liabilities 1) Pensions Derivatives Other 1) Total Deferred tax at 31 December 2019 Deferred tax assets 5,173 369 9,397 1,898 733 108 1,612 19,291 Deferred tax liabilities 0 (24,115) (0) (0) (13) (119) (573) (24,820) Net asset/(liability) at 31 December 2019 5,173 (23,746) 9,397 1,898 720 (11) 1,040 (5,530) Deferred tax at 31 December 2018 Deferred tax assets 5,761 351 8,118 0 785 95 1,095 16,205 Deferred tax liabilities (0) (20,987) 0 0 (14) (96) (476) (21,573) Net asset/(liability) at 31 December 2018 5,761 (20,636) 8,118 0 771 (1) 620 (5,367) 1) For 2019 deferred tax related to lease liabilities has been included in a separate column Lease liabilities , while deferred tax related to lease liabilities for 2018 has not been reclassified due to immateriality and is included in Other. Changes in net deferred tax liability during the year were as follows: (in USD million) 2019 2018 2017 Net deferred tax liability at 1 January 5,367 5,213 4,231 Charged/(credited) to the Consolidated statement of income (381) 563 1,017 Charged/(credited) to Other comprehensive income 98 (22) 38 Translation differences and other 446 (386) (73) Net deferred tax liability at 31 December 5,530 5,367 5,213 Deferred tax assets and liabilities are offset to the extent that the deferred taxes relate to the same fiscal authority, and there is a legally enforceable right to offset current tax assets against current tax liabilities. After netting deferred tax asse ts and liabilities by fiscal entity, deferred taxes are presented on the balance sheet as follows: At 31 December (in USD million) 2019 2018 Deferred tax assets 3,881 3,304 Deferred tax liabilities 9,410 8,671 Deferred tax a ssets are recognised based on the expectation that sufficient taxable income will be available through reversal of taxable temporary differences or future taxable income. At year end 2019 and 2018 the deferred tax assets of USD 3,881 million and USD 3 , 304 million , respectively , were primarily recognised in Norway, Angola, Brazil, the UK and Canada. Of these amounts USD 99 5 million and USD 1,868 million, respectively, is recognised in entities which have suffered a tax loss in either the current or preceding period . These losses are mainly caused by accelerated tax depreciations and start-up costs related to oil and gas assets in the construction phase. The losses will be utili s ed through reversal of taxable temporary differences and other taxable income from production of oil and gas when these assets start productio n. Unrecognised deferred tax assets At 31 December 2019 2018 (in USD million) Basis Tax Basis Tax Deductible temporary differences 2,550 1,138 2,439 1,123 Tax losses carried forward 18,259 4,366 14,802 3,940 Total 20,809 5,504 17,241 5,062 Approximately 11 % of the unrecognised carry forward tax losses can be carried forward indefinitely. The majority of the remaining part of the unrecogni sed tax losses expire after 20 30 . The unrecognised deductible temporary differences do not expire under the current tax legislation. Deferred tax assets have not been recognised in respect of these items because currently there is insufficient evidence to support that future taxable profit s will be available to secure utilisation of the benefits. At year end 2019 unrecognised deferred tax assets in the US, Angola and Ireland represents USD 3,788 million, USD 833 million and USD 191 million of the total unrecognised deferred tax assets of U SD 5,504 million. Similar amounts for 2018 were USD 3,480 million in the US, USD 884 million in Angola and USD 109 million in Ireland of a total of USD 5,062 million. |
Property, plant and equipment
Property, plant and equipment | 12 Months Ended |
Dec. 31, 2019 | |
Property, plant and equipment [abstract] | |
Disclosure of property, plant and equipment [text block] | 10 Property, p lant and equipment (in USD million) Machinery, equipment and transportation equipment Production plants and oil and gas assets Refining and manufacturing plants Buildings and land Assets under development Right of use assets 4) Total Cost at 31 December 2018 3,596 166,766 8,660 932 14,961 0 194,916 Implementation of IFRS 16 Leases 5) (813) (184) 0 0 0 4,989 3,992 Cost at 1 January 2019 2,783 166,582 8,660 932 14,961 4,989 198,908 Additions through business combinations 1 1,706 5 0 381 0 2,093 Additions and transfers 44 16,023 300 (16) (4,448) 426 12,330 Disposals at cost (7) (4,911) (0) (7) (59) (35) (5,020) Effect of changes in foreign exchange (2) (337) (44) (0) (464) (41) (888) Cost at 31 December 2019 2,818 179,063 8,920 909 10,371 5,339 207,422 Accumulated depreciation and impairment losses at 31 December 2018 (2,802) (119,589) (6,613) (465) (185) 0 (129,654) Implementation of IFRS 16 Leases 5) 511 106 0 0 0 (617) 0 Accumulated depreciation and impairment losses at 1 January 2019 (2,291) (119,483) (6,613) (465) (185) (617) (129,654) Depreciation (120) (8,555) (298) (25) 0 (752) (9,750) Impairment losses (6) (2,430) (178) (3) (707) (26) (3,350) Reversal of impairment losses 0 120 0 0 0 0 120 Transfers 13 (134) (0) 13 26 42 (40) Accumulated depreciation and impairment on disposed assets 7 4,540 0 5 0 24 4,576 Effect of changes in foreign exchange 1 616 38 (0) (26) (1) 628 Accumulated depreciation and impairment losses at 31 December 2019 (2,395) (125,327) (7,051) (475) (892) (1,329) (137,469) Carrying amount at 31 December 2019 423 53,736 1,870 434 9,479 4,011 69,953 Estimated useful lives (years) 3 - 20 UoP 1) 15 - 20 20 - 33 2) 1 - 19 3) (in USD million) Machinery, equipment and transportation equipment, including vessels Production plants and oil and gas assets Refining and manufacturing plants Buildings and land Assets under development Total Cost at 31 December 2017 3,470 157,533 8,646 866 18,140 188,656 Additions through business combinations 76 2,473 0 48 1,370 3,968 Additions and transfers 90 13,017 328 32 (3,322) 10,144 Disposals at cost (12) (505) (0) (1) (366) (884) Effect of changes in foreign exchange (28) (5,752) (314) (13) (861) (6,967) Cost at 31 December 2018 3,596 166,766 8,660 932 14,961 194,916 Accumulated depreciation and impairment losses at 31 December 2017 (2,853) (113,781) (6,200) (439) (1,746) (125,019) Depreciation (137) (9,249) (426) (29) 0 (9,841) Impairment losses 0 (762) 0 0 (32) (794) Reversal of impairment losses 155 1,087 0 0 156 1,398 Transfers (0) (1,799) (229) (1) 1,067 (961) Accumulated depreciation and impairment on disposed assets 12 602 0 0 366 980 Effect of changes in foreign exchange 21 4,312 242 4 5 4,583 Accumulated depreciation and impairment losses at 31 December 2018 (2,802) (119,589) (6,613) (465) (185) (129,654) Carrying amount at 31 December 2018 794 47,177 2,048 467 14,776 65,262 Estimated useful lives (years) 3 - 20 UoP 1) 15 - 20 20 - 33 2) 1) Depreciation according to unit of production method (UoP) , see note 2 Significant accounting policies . 2) Land is not depreciated . 3) Depreciation linearly over contract period. 4) See note 22 Leases. 5) See note 23 Implementation of IFRS 16 Leases. The carrying amount of assets transferred to Property, plant and equipment from Intangible assets in 201 9 and 201 8 amounted to USD 213 million and USD 161 million, respectively. For additions through business combinations, see note 4 Acquisitions and disposals. Impairments/reve rsal of impairments (in USD million) Property, plant and equipment Intangible assets 3) Total At 31 December 2019 Producing and development assets 1) 3,230 608 3,838 Goodwill 1) - 164 164 Other intangible assets 1) - 41 41 Acquisition costs related to oil and gas prospects 2) - 49 49 Total net impairment loss/(reversal) recognised 3,230 863 4,093 At 31 December 2018 Producing and development assets 1) (604) 237 (367) Acquisition costs related to oil and gas prospects 2) - 52 52 Total net impairment loss/(reversal) recognised (604) 289 (315) 1) Producing and development assets , goodwill and other intangible assets are subject to impairment assessment under IAS 36. The total net impairment losses recognised under IAS 36 in 201 9 amount to USD 4 , 043 million, compared to 201 8 when the net impairment reversal amounted to USD 3 67 million, including impairment of acquisition costs - oil and gas prospects (intangible assets). 2) Acquisition costs related to exploration activities, subject to impairment assessment under the successful efforts method (IFRS 6). 3) See note 11 Intangible assets . For impairment purposes, the asset's carrying amount is compared to its recoverable amount. The recoverable amount is the higher of fair value l ess cost of disposal (FVLCOD) and estimated value in use (VIU). The base discount rate for VIU calculations is 6.0 % real after tax. The discount rate is derived from Equinor's weighted average cost of capital. A derived pre-tax discount is in the range o f 15 % - 2 5 % for E&P Norway and 4 - 9 % for E&P International and MMP, depending on asset specific characteristics, such as specific tax treatments, cash flow profiles and economic life. See note 2 Significant accounting policies to the Consolidated financial statements for further information regardin g impairment on property, plant and equipment. The table below describes per area the assets being impaired / (reversed) and the valuation method used to determine the recoverable amount; the net impairment / (reversal), and the carrying amount after impair ment. 2019 2018 (in USD million) Valuation method Carrying amount after impairment Net impairment loss/ (reversal) Carrying amount after impairment Net impairment loss/ (reversal) At 31 December Exploration & Production Norway VIU 4,406 1,119 1,966 (201) FVLCOD 0 0 1,232 (402) North America - unconventional VIU 7,509 1,631 5,771 762 FVLCOD 0 1) 610 0 0 North America - conventional offshore US Gulf of Mexico VIU 1,079 292 3,989 (246) FVLCOD 0 0 0 0 North Africa VIU 0 0 451 (126) FVLCOD 0 0 0 0 Europe and Asia VIU 645 (18) 0 0 FVLCOD 0 0 0 0 Marketing, Midstream & Processing VIU 65 178 403 (155) FVLCOD 0 0 0 0 Right of use assets VIU 0 26 0 0 FVLCOD 0 0 0 0 Total 13,704 3,838 13,813 (367) 1) Asset is disposed. Exploration & Production Norway In 2019 impairment losse s of USD 1,119 million w ere recognised . The impairments were triggered by cost increases and decreased price assumptions . The impairment amount is impacted by how tax uplift is to be included in the pre-tax net present value estimate. In 2018 impairment reversals of USD 604 million were recognised mainly due to change in long term exchange rate assumptions. North America - unconventional In 2019 im pairment losses of USD 2,241 million of which USD 608 million was classified as exploration expenses were recognised mainly caused by reduced long term price assumptions and reduced fair value of one asset. In 2018 impairment losses of USD 762 million of which USD 237 million was classified as exploration expenses were recognised mainly caused by reduced long term price assumptions and reduced fair value of one asset. North America - c onventional offshore Gulf of Mexico In 2019 net impairment loss of USD 292 million was recognised due to reduced reserve estimat e s. In 2018 net impairment reversal of USD 246 million was recognised due to improved production profile and various operational improvements partially offset by ne gative changes in reserve estimates. North Africa In 2019 no impairments or reversals were recognised. In 2018 an impairment reversal of USD 126 million was recognised due to an extension of licence period. Marketing, Midstream & Processing In 2019 impairment loss of USD 178 million was recognised related to the South Riding Point oil terminal as a result of the damages caused by the hurricane Dorian on Bahamas. In 2018 an impairment reversal of USD 155 million was recognised due to increased refinery margin forecast . Value in Use (VIU) estimates and discounted cash flows used to determine the recoverable amount of assets tested for impairment are based on internal forecasts on costs, production profiles and commodity prices. Short term commo dity prices (20 20 /2021/2022) are forecasted by using observable forward prices for 2020 and a linear projection towards the 2023 internal forecast. The price assumptions as per year-end 2019 are as follows (year-end 2018 price assumptions the respective y ears are indicated in brackets): Year Prices in real terms 1) 2020 2025 2030 Brent Blend – USD/bbl 59 (68) 77 (78) 80 (82) NBP - USD/mmBtu 4.2 (7.7) 7.0 (8.2) 7.5 (8.2) Henry Hub – USD/mmBtu 2.4 (3.2) 3.1 (4.1) 3.6 (4.1) 1) Basis year 2019. The long-term price assumptions were updated in the third quarter of 2019. Sensitivities Commodity prices have historic ally been volatile. Significant downward adjustments of Equinor ’s commodity price assumptions would result in impairment losses on certain producing and development asse ts in Equinor’s portfolio. If a decline in commodity price forecasts over the lifetime of the assets were 30 %, considered to represent a reasonably possible change, the impairment amount to be recognised could illustra tively be in the region of USD 15 billion before tax effects. This illustrative impairment sensitivity , based on a simplified method, assumes no changes to input factors other than prices; however, a price reduction of 3 0% is likely to result in changes in business plans as well as other factors used when estimating an asset’s recoverable amount. Changes in such input factors would likely significantly reduce the actual impairment amount compared to the illustrative sensitivity above. Changes that could be expected would include a reduction in the cost level in the oil and gas industry as well as offsetting currency effects, both of which have historically occurred following significant changes in commodity prices. The illustrative sensitivity is therefore n ot considered to represent a best estimate of an expected impairment impact, nor an estimated impact on revenues or operating income in such a scenario. A significant and prolonged reduction in oil and gas prices would also result in mitigating actions by Equinor and its licen c e partners, as a reduction of oil and gas prices would impact drilling plans and production profiles for new and existing assets. Quantifying such impacts is considered impracticable, as it requires detailed technical, geological and economical evaluations based on hypothetical scenarios and not based on existing business or development plans. |
Intangible Assets
Intangible Assets | 12 Months Ended |
Dec. 31, 2019 | |
Disclosure of detailed information about intangible assets [abstract] | |
Disclosure of intangible assets [text block] | 11 Intangible assets (in USD million) Exploration expenses Acquisition costs - oil and gas prospects Goodwill Other Total Cost at 31 December 2018 2,685 5,854 565 797 9,901 Additions through business combinations 0 0 1,070 10 1,080 Additions 515 900 0 155 1,571 Disposals at cost (7) (361) 0 (0) (367) Transfers (71) (143) 0 0 (213) Expensed exploration expenditures previously capitalised (120) (657) 0 0 (777) Impairment of goodwill 0 0 (164) 0 (164) Effect of changes in foreign exchange 11 5 (12) (1) 3 Cost at 31 December 2019 3,014 5,599 1,458 962 11,033 Accumulated depreciation and impairment losses at 31 December 2018 (229) (229) Amortisation and impairments for the year (60) (60) Amortisation and impairment losses disposed intangible assets (6) (6) Effect of changes in foreign exchange 1 1 Accumulated depreciation and impairment losses at 31 December 2019 (295) (295) Carrying amount at 31 December 2019 3,014 5,599 1,458 667 10,738 (in USD million) Exploration expenses Acquisition costs - oil and gas prospects Goodwill Other Total Cost at 31 December 2017 2,715 5,363 339 419 8,836 Additions through business combinations 0 116 265 392 773 Additions 392 917 0 (7) 1,302 Disposals at cost (272) (89) 0 (4) (364) Transfers (13) (148) 0 0 (161) Expensed exploration expenditures previously capitalised (68) (289) 0 0 (357) Effect of changes in foreign exchange (70) (17) (39) (2) (128) Cost at 31 December 2018 2,685 5,854 565 797 9,901 Accumulated depreciation and impairment losses at 31 December 2017 (215) (215) Amortisation and impairments for the year (13) (13) Amortisation and impairment losses disposed intangible assets (2) (2) Effect of changes in foreign exchange 1 1 Accumulated depreciation and impairment losses at 31 December 2018 (229) (229) Carrying amount at 31 December 2018 2,685 5,854 565 568 9,672 The useful lives of intangible assets are assessed to be either finite or indefinite. Intangible assets with finite useful lives are amortised systematically over their estimated economic lives, ranging between 10 - 20 years. For additions through business combinations, see note 4 Acquisitions and disposals. During 2019, Acquisition costs-oil and gas prospects were impacted by net impairment of signature bonuses and acquisition costs totalling USD 608 million related to North A merica – unconventional assets and impairment of acquisition costs related to exploration activities of USD 49 million primarily as a result from dry wells and uncommercial discoveries in Europe and Asia and Sub Sahara areas. In 2018, Acquisition costs-oil and gas prospects were impacted by net impairment of signature bonuses and acquisition costs totalling USD 237 million related to North America – unconventional assets, and impairment of acquisition costs related to exploration activities of USD 52 millio n primarily as a result from dry wells and uncommercial discoveries in South America, North America - conventional offshore US Gulf of Mexico and E&P Norway. During 2019, Other intangible assets were impacted by impairment losses of USD 41 million. Equino r’s Block 2 Exploration Licen s e in Tanzania was formally due to expire in June 2018, but based on communication with the applicable Tanzanian authorities, continues to be in operation while the process related to the grant of a new exploration licen s e to t he existing licensees for the block is ongoing. The Block 2 asset remains capitalised within Intangible assets in the E&P International segment as of 31 December 201 9 . Impairment losses and reversals of impairment losses are presented as Exploration expenses and Depreciation, amortisation and net impairment losses on the basis of their nature as exploration assets (intangible assets) and other intangible assets, respectively. The impairment losses and re versal of impairment losses are based on recoverable amount estimates triggered by changes in reserve estimates, cost estimates and market conditions. See note 10 Property, plant and equipment for more information on the basis for impairment assessments. The table below shows the aging of capitalised exploration expenditures. (in USD million) 2019 2018 Less than one year 1,274 392 Between one and five years 1,056 1,406 More than five years 684 887 Total 3,014 2,685 The table below shows the components of the exploration expenses. Full year (in USD million) 2019 2018 2017 Exploration expenditures 1,584 1,438 1,234 Expensed exploration expenditures previously capitalised 777 357 (8) Capitalised exploration (507) (390) (167) Exploration expenses 1,854 1,405 1,059 |
Equity accounted investments
Equity accounted investments | 12 Months Ended |
Dec. 31, 2019 | |
Equity investments [Abstract] | |
Disclosure of investments accounted for using equity method [text block] | 12 Equity accounted investments (in USD million) Lundin Petroleum AB Other equity accounted investments Total Net investment at 31 December 2018 1,100 1,763 2,862 Net income/(loss) from equity accounted investments 15 149 164 Acquisitions and increase in capital 0 188 188 Dividend and other distributions (51) (223) (273) Other comprehensive income/(loss) (13) 3 (10) Divestments, derecognition and decrease in paid in capital (1,051) (393) (1,444) Net investment at 31 December 2019 0 1,487 1,487 Included in equity accounted investments 0 1,441 1,441 Other long-term receivable in equity accounted investments 0 46 46 For the equity accounted investments , voting rights corresponds to ownership. In 2019 Equinor sold 16.0 % of the shares in L undin Petroleum AB . Equinor´s remaining ownership share in L undin Petroleum AB is 4.9 %, and is recognized as a financial investment at fair market value. |
Financial investments and non-c
Financial investments and non-current prepayments | 12 Months Ended |
Dec. 31, 2019 | |
Categories of non-current financial assets [abstract] | |
Disclosure of prepayments and other assets [text block] | 13 Financial investments and non-current prepayments Non-current financial investments At 31 December (in USD million) 2019 2018 Bonds 1,629 1,261 Listed equity securities 1,261 530 Non-listed equity securities 710 664 Financial investments 3,600 2,455 Bonds and equity securities mainly relate to investment portfolios held by Equinor 's captive insurance company and other listed and non-listed equities held for long-term strategic purposes, mainly accounted for using fair value through profit or loss Non-current prepayments and financial receivables At 31 December (in USD million) 2019 2018 Interest bearing financial receivables 413 345 Prepayments and other non-interest bearing receivables 800 688 Prepayments and financial receivables 1,214 1,033 Interest bearing f inancial receivables primarily relate to loans to employees and project financing of equity accounted companies. Current financial investments At 31 December (in USD million) 2019 2018 Time deposits 4,158 4,129 Interest bearing securities 3,268 2,912 Financial investments 7,426 7,041 At 31 December 201 9 , current f inancial investments include USD 377 million investment portfolios held by Equinor’ s captive insurance company which mainly are accounted for using fair value through profit or loss. The corresponding balance at 31 December 201 8 was USD 896 million. For information about financial instruments by category, see note 2 6 Financial instruments: fair value measurement and sensitivity analysis of market risk . |
Inventories
Inventories | 12 Months Ended |
Dec. 31, 2019 | |
Classes of current inventories [abstract] | |
Disclosure of inventories [text block] | 14 Inventories At 31 December (in USD million) 2019 2018 Crude oil 2,137 1,173 Petroleum products 572 345 Natural gas 277 274 Other 377 351 Inventories 3,363 2,144 Other inventory consists mainly of drilling and well equipment. The write-down of inventories from cost to net realisable value amounted to an expense of USD 147 m illion and USD 164 million in 201 9 and 201 8 , respectively. |
Trade and other receivables
Trade and other receivables | 12 Months Ended |
Dec. 31, 2019 | |
Trade and other receivables [abstract] | |
Disclosure of trade and other receivables [text block] | 15 Trade and other receivables At 31 December (in USD million) 2019 2018 Trade receivables from contracts with customers 5,624 6,267 Other current receivables 1,189 1,800 Joint venture receivables 429 390 Receivables from equity accounted associated companies and other related parties 132 31 Total financial trade and other receivables 7,374 8,488 Non-financial trade and other receivables 859 510 Trade and other receivables 8,233 8,998 Trade receivables from contracts with customers are shown net of an immaterial provision for expected losses. For more information about the credit quality of Equinor's counterparties, see note 5 Financial risk and capital management . For currency sensitivities, see note 2 6 Financial instruments: fair value measurement and sensitivity analysis of market ri sk . |
Cash and cash equivalents
Cash and cash equivalents | 12 Months Ended |
Dec. 31, 2019 | |
Cash and cash equivalents [abstract] | |
Disclosure of cash and cash equivalents [text block] | 16 Cash and cash equivalents At 31 December (in USD million) 2019 2018 Cash at bank available 1,666 1,140 Time deposits 604 2,068 Money market funds 700 2,255 Interest bearing securities 1,656 1,590 Restricted cash, including margin deposits 552 501 Cash and cash equivalents 5,177 7,556 Restricted cash at 31 December 201 9 and 2018 includes collateral deposits related to trading activities of USD 41 4 million and USD 365 m illion , respectively . Collateral deposits are related to certain requirements set out by exchanges where Equinor is participating. The terms and conditions related to these requirements are determined by the respective exchanges. |
Shareholders' equity and divide
Shareholders' equity and dividends | 12 Months Ended |
Dec. 31, 2019 | |
Shareholders equity and dividends [Abstract] | |
Shareholders equity and dividends [text block] | 17 Shareholders' equity and dividends At 31 December 201 9 , Equinor’s share capital of NOK 8,346,653,047.50 (USD 1,184,547,766 ) comprised 3,338,661,219 shares at a nominal value of NOK 2.50 . Share capital at 31 December 2018 was NOK 8,3 46 , 653 , 047 .50 (USD 1,184,547,766 )comprised 3,33 8 ,6 61 , 219 shares at a nominal value of NOK 2.50 . Equinor ASA has only one class of shares and all shares have voting rights. The holders of shares are entitled to receive dividends as and when declared and are entitled to one vote per share at the annual genera l meeting of the company. A temporary 2-year scrip programme, approved by Equinor’s annual general meeting in May 2016 ended as planned with the last scrip shares issued in the first quarter of 2018 based on the dividend related to third quarter 2017. Du ring 2019 dividend for the third and for the fourth quarter of 2018 and dividend for the first and second quarter of 2019 were settled. Dividend declared but not yet settled, is presented as dividends payable in the Consolidated balance sheet. The Consolid ated statement of changes in equity shows declared dividend in the period (retained earnings), Dividend declared in 2019 relate to the fourth quarter of 2018 and to the first three quarters of 2019. On 5 February 2020, the board of directors proposed to declare a dividend for the fourth quarter of 2019 of USD 0.27 per share (subject to annual general meeting approval). The Equinor share will trade ex-dividend 15 May 2020 on Oslo Børs and for ADR holde rs on New York Stock Exchange. Record date will be 18 May 2020 and payment date will be 29 May 2020. At 31 December (in USD million) 2019 2018 Dividends declared 3,453 3,064 USD per share or ADS 1.0400 0.9200 Dividends paid in cash 3,342 2,672 USD per share or ADS 1.0100 0.9101 NOK per share 8.9664 7.4907 Scrip dividends 0 338 Number of shares issued (millions) 0.0 15.5 Sum dividends settled 3,342 3,010 Share buy-back programme In September 2019 Equinor launched a USD 5 billion share buy-back programme, where the first tranche of the programme of around USD 1.5 billion end ed 4 February 2020. For the first tranche Equinor has entered into an irrevocable agreement with a third party for up to USD 500 million of shares to be purchased in the market, while around USD 1.0 billion of shares from the Norwegian State will in accordance with an agreement with the Ministry of Petroleum and Energy be redeemed at the next annual general meeting in order for the Norwegian State to maintain their ownership percentage in Equinor. As of 31. December 2019 USD 442 million of the USD 500 million o rder has been acquired in the open market, of which USD 442 million has been settled. The first tranche of USD 500 million (both acquired and remaining order) has been recognised as a reduction in equity as treasury shares due to the irrevocable agreement with the third party. The remaining order of the first tranche is accrued for and classified as Trade, other payables and provisions. The recognition of the State’s share will be deferred until the decision at the annual general meeting in May 2020. Number of shares 2019 Share buy-back programme at 1 January - Purchase 23,578,410 Cancellation - Share buy-back programme at 31 December 23,578,410 Employees share saving plan Number of shares 2019 2018 Share saving plan at 1 January 10,352,671 11,243,234 Purchase 3,403,469 2,740,657 Allocated to employees (3,681,428) (3,631,220) Share saving plan at 31 December 10,074,712 10,352,671 In 2019 and 2018 treasury shares were purchased and allocated to employees participating in the share saving plan for USD 68 million and USD 68 million, respectively. For further information, see note 6 Remuneration. |
Finance debt
Finance debt | 12 Months Ended |
Dec. 31, 2019 | |
Disclosure of detailed information about borrowings [abstract] | |
Disclosure of borrowings [text block] | 18 Finance debt Non-current finance debt Finance debt measured at amortised cost Weighted average interest rates in % 1) Carrying amount in USD millions at 31 December Fair value in USD millions at 31 December 2) 2019 2018 2019 2018 2019 2018 Unsecured bonds United States Dollar (USD) 4.14 4.14 13,308 13,088 14,907 13,657 Euro (EUR) 2.25 2.10 8,201 8,928 8,992 9,444 Great Britain Pound (GBP) 6.08 6.08 1,815 1,760 2,765 2,532 Norwegian Kroner (NOK) 4.18 4.18 342 345 389 388 Total 23,666 24,121 27,053 26,021 Unsecured loans Japanese Yen (JPY) 4.30 4.30 92 91 123 119 Total 92 91 123 119 Non-current bonds and bank loans 23,758 24,212 27,175 26,140 Less current portion 2,004 1,322 2,036 1,321 Total 21,754 22,889 25,139 24,819 Lease liabilities 3) 4,339 432 Less current portion 1,148 57 Non-current finance debt 24,945 23,264 1) Weighted average interest rates are calculated based on the contractual rates on the loans per currency at 31 December and do not include the effect of swap agreements. 2) Fair values are determined from external calculation models based on market observations from various sources, classified at level 2 in the fair value hierarchy. For more information regarding fair value hierarchy , see note 26 Financial Instruments: fair value measurement and sensitivity of market risk. 3) For more information regarding comparable figures on lease liabilities, see note 23 Implementation of IFRS 16 Leases. Unsecured bonds amounting to USD 13 , 308 million are denominated in USD and unsecured bonds denominated in other currencies amounting to USD 9 ,404 million are swapped into USD. One bond denominated in EUR amounting to USD 95 4 million is not swapped. The table does not include the effects of agreements entered into to swap the various currencies into USD. For further information see note 26 Financial instruments: fair value measurement and sensitivity analysis of market risk. Substantially all unsecured bond and unsecured bank loan agreements contain provisions restricting future pledging of asset s to secure borrowings without granting a similar secured status to the existing bondholders and lenders. In 2019 Equinor issued the following bond: Issuance date Amount in USD million Interest rate in % Maturity date 13 November 2019 1,000 3.250 November 2049 Out of Equinor 's total outstand ing unsecured bond portfolio, 37 bond agreements contain provisions allowing Equinor to call the debt prior to its final redemption at par or at certain specified premiums if there are changes to the Norwegian tax laws. The carrying a mount of these agreements is USD 23,024 million at the 31 December 2019 closing exchange rate. For more in formation about the revolving credit facility, maturity profile for undiscounted cash flows and interest rate risk management, see note 5 Financial risk and capital management . Non-current finance debt maturity profile At 31 December (in USD million) 2019 2018 Year 2 and 3 4,156 4,003 Year 4 and 5 5,680 3,736 After 5 years 15,109 15,525 Total repayment of non-current finance debt 24,945 23,264 Weighted average maturity (years - including current portion) 9 9 Weighted average annual interest rate (% - including current portion) 3.53 3.67 For more information regarding l ease li abilities, see note 22 Leases . Current finance debt At 31 December (in USD million) 2019 2018 Collateral liabilities 585 213 Non-current finance debt due within one year 3,152 1,380 Other including US Commercial paper programme and bank overdraft 350 870 Total current finance debt 4,087 2,463 Weighted average interest rate (%) 2.39 1.62 Collateral liabilities and other current liabilities relate mainly to cash received as security for a porti on of Equinor's credit exposure and outstanding amounts on US Commercial paper (CP) programme. Issuance on the CP programme amounted to USD 340 million as of 31 December 2019 and USD 842 million as of 31 December 2018. Non-current finance debt due within one year includes current portion of leases. For more information regarding leases, see note 22 Leases. Reconciliation of cash flow from financing activities to finance line items in balance sheet (in USD million) Non-current finance debt Current finance debt Financial receivable Collaterals 1) Additional paid in capital /Treasury shares Non-controlling interest Dividend payable Total At 31 December 2018 23,264 2,463 (591) (196) 19 766 25,725 Transfer to current portion 2) (3,152) 3,152 - - - - - Effect of exchange rate changes (108) - - - - 7 (101) Dividend decleared - - - - - 3,453 3,453 Cash flows provided by/(used in) financing activities 2) 984 (2,585) (32) (514) (7) (3,342) (5,496) Other changes 2) 3,957 1,057 (11) 2 8 (25) 4,988 At 31 December 2019 24,945 4,087 (634) (708) 20 859 28,569 1) Financial receivables collaterals are in included in trade and other receivables in the balance sheet. See note 15 Trade and other receivables for more information. 2) Leases are included in columns for non-current finance debt and current finance debt. See note 22 Leases for more information. (in USD million) Non-current finance debt Current finance debt Financial receivable Collaterals 1) Additional paid in capital /Treasury shares Non-controlling interest Dividend payable Total At 31 December 2017 24,183 4,091 (272) (191) 24 729 28,564 Transfer to current portion (1,380) 1,380 - - - - - Effect of exchange rate changes (556) 2 - - - (1) (555) Dividend decleared - - - - - 3,064 3,064 Scrip dividend - - - - - (338) (338) Cash flows provided by/(used in) financing activities 998 (2,949) (331) (64) (7) (2,672) (5,025) Other changes 20 (61) 11 59 2 (16) 15 At 31 December 2018 23,264 2,463 (591) (196) 19 766 25,725 1) Financial receivables collaterals are in included in trade and other receivables in the balance sheet. See note 15 Trade and other receivables for more information. |
Pensions
Pensions | 12 Months Ended |
Dec. 31, 2019 | |
Disclosure of defined benefit plans [abstract] | |
Disclosure of employee benefits [text block] | 19 Pensions The main pensio n plans for Equinor ASA and its most significant subsidiaries are defined contribution plans, in which the pension costs are recognised in the Consolidated statement of income in line with payments of annual pension premiums. The pension con tribution plans in Equinor ASA also includes certain unfunded elements (notional contribution plans), for which the annual notional contributions are recognised as pension liabilities. These notional pension liabilities are regulated equal to the return on asset within the main contribution plan. See note 2 Significant accounting policies to the Consolidated financial statements for more information about the accounting treatment of the notional contribution plans reported in Equinor ASA. In addition, Equinor ASA has a defined benefit plan. This benefit plan was closed in 2015 for new employees and for employees with more than 15 year to regular retirement age. Equinor 's defined benefit plan s are generally based on a minimum of 30 years of service and 66 % of the final salary level, including an as sumed benefit from the Norwegian National Insu r ance Scheme. The Norwegian companies in the group are subject to , and complies with, the requirements of the Norwegian Mandatory Company Pensions Act. The defined benefit plans in Norway are managed and financ ed through Equinor Pensjon ( Equinor 's pension fund - hereafter " Equinor Pension"). Equinor Pension is an independent pension fund that covers the employees in Equinor 's Norwegian companies. The pension fund's assets are kept separate from the company's and group companies' assets. Equinor Pension is supervised by the Financial Supervisory Authority of Norway ("Finanstilsynet") and is licen c ed to operate as a pension fund. Equinor is a member of a Norwegian national agreement-based early retirement plan ( “ A FP ”), and t he premium is calculated based on the employees' income , but limited to 7.1 times the basic amount in the National Insurance scheme (7.1 G). T he premium is payable for all employees until age 62 . Pension from the AFP scheme will be paid from the AFP plan administrator to employees for their full lifetime. Equinor has determined that its obligations under this multi-employer defined benefit plan can be estimated with sufficient reliability for recognition purposes. Accordingly, the estimated propo rtionate share of the AFP plan is recognised as a defined benefit obligation. The present values of the defined benefit obligation , except for the notional contribution plan, and the related current service cost and past service cost are measured using the projected unit credit method. The assumptions for salary increase, increases in pension payments and social security base amount are based on agreed regulation in the plans, historical observations, future expectations of the assumptions and the relations hip between these assumptions. At 31 December 2019 the discount rate for the de fined benefit plans in Norway was established on the basis of seven years' mortgage covered bonds interest rate extrapolated on a yield curve which matches the duration of Equin or 's payment portfolio for earned benefits , which was calculated to be 15.8 years at the end of 2019. Social security tax is calculated based on a pension plan's net funded status and is included in the defined benefit obligation. Equinor has more than one defined benefit plan, but the disclosure is made in total since the plans are not subject to materially different risks. Pension plans outside Norway are not material and as such not disclosed separately. The tables in this note presents pension costs on a gross basis, before allocation to licence partners. In the Consolidated statement of income, the pension costs in Equinor ASA are presented net of costs allocated to licence partners. Net pension cost (in USD million) 2019 2018 2017 Current service cost 206 214 242 Losses/(gains) from curtailment, settlement or plan amendment 3 20 15 Actuarial(gains)/losses related to termination benefits (0) 0 (1) Notional contribution plans 56 55 51 Defined benefit plans 265 289 308 Defined contribution plans 182 173 162 Total net pension cost 446 462 469 In addition to the pension cost presented in the table above, financial items related to defined benefit plans are included in the statement of income within Net financial items. Interest cost and changes in fair value of notional assets of USD 260 million in 2019, and USD 167 million in 2018. Interest income of USD 142 million has been recognised in 2019, and USD 127 million in 2018. (in USD million) 2019 2018 Defined benefit obligations (DBO) Defined benefit obligations at 1 January 8,176 8,286 Current service cost 206 214 Interest cost 263 182 Actuarial (gains)/losses - Financial assumptions (23) 174 Actuarial (gains)/losses - Experience 6 (27) Benefits paid (236) (219) Losses/(gains) from curtailment, settlement or plan amendment 0 (1) Paid-up policies (14) (18) Foreign currency translation (71) (469) Changes in notional contribution liability 56 55 Defined benefit obligations at 31 December 8,363 8,176 Fair value of plan assets Fair value of plan assets at 1 January 5,187 5,687 Interest income 143 136 Return on plan assets (excluding interest income) 384 (135) Company contributions 127 49 Benefits paid (195) (217) Paid-up policies and personal insurance (13) (18) Foreign currency translation (44) (315) Fair value of plan assets at 31 December 5,589 5,187 Net pension liability at 31 December (2,774) (2,990) Represented by: Asset recognised as non-current pension assets (funded plan) 1,093 831 Liability recognised as non-current pension liabilities (unfunded plans) (3,867) (3,821) DBO specified by funded and unfunded pension plans 8,363 8,176 Funded 4,496 4,359 Unfunded 3,867 3,817 Actual return on assets 527 1 Equinor recognised an actuarial gain from changes in financial assumptions in 2019. The actuarial loss in 2018 was mainly due to a higher expected rate of pension increase and higher expected compensation increase. Actuarial losses and gains recognised directly in Other comprehensive income (OCI) (in USD million) 2019 2018 2017 Net actuarial (losses)/gains recognised in OCI during the year 401 (282) 331 Actuarial (losses)/gains related to currency effects on net obligation and foreign exchange translation 27 172 (158) Tax effects of actuarial (losses)/gains recognised in OCI (98) 22 (38) Recognised directly in OCI during the year net of tax 330 (88) 135 Cumulative actuarial (losses)/gains recognised directly in OCI net of tax (812) (1,141) (1,053) Actuarial assumptions Assumptions used to determine benefit costs in % Assumptions used to determine benefit obligations in % 2019 2018 2019 2018 Discount rate 2.75 2.50 2.25 2.75 Rate of compensation increase 2.75 2.25 2.25 2.75 Expected rate of pension increase 2.00 1.75 1.50 2.00 Expected increase of social security base amount (G-amount) 2.75 2.25 2.25 2.75 Weighted-average duration of the defined benefit obligation 15.8 15.9 The assumptions presented are for the Norwegian companies in Equinor which are members of Equinor 's pension fund. The defined benefit plans of other subsidiaries are immaterial to the consolidated pension assets and liabilities. Expected attrition at 31 December 201 9 was 0.3 % and 3.3 % for employees between 50-59 years and 60-67 years, and 0.2 % and 3.2 % in 2018. The attrition rate for the age group 60-67 years represent employees with immediate withdrawal of vested pension, thus remaining i n the scheme. For population in Norway, the mortality table K2013, issued by The Financial Supervisory Author ity of Norway, is used as the best mortality estimate. Disability tables for plans in Norway developed by the actuary were implemented in 2013 and represent the best estimate to use for plans in Norway. Sensitivity analysis The table below presents an estimate of the potential effects of changes in the key assumptions for the defined benefit plans. The following estimates are based on facts and circu mstances as of 31 December 201 9 . Discount rate Expected rate of compensation increase Expected rate of pension increase Mortality assumption (in USD million) 0.50% -0.50% 0.50% -0.50% 0.50% -0.50% + 1 year - 1 year Changes in: Defined benefit obligation at 31 December 2019 (596) 675 213 (202) 518 (471) 298 (325) Service cost 2020 (21) 24 11 (10) 15 (14) 7 (8) The sensitivity of the financial results to each of the key assumptions has been estimated based on the assumption that all other factors would remain unchanged. The estimated effects on the financial result would differ from those that would actually appear in the Consolidated financial statements because the Consolidated financial statements would also reflect the relationship between these assumptions. Pension assets The plan assets related to the defined benefit plans were measured at fai r value . Equinor Pension invests in both financial assets and real estate. The table below presents the portfolio weighting as approved by the board of Equinor Pension for 201 9 . The portfolio weight during a year will depend on the risk capacity. Pension assets on investments classes Target portfolio weight (in %) 2019 2018 Equity securities 32.3 36.5 27 - 38 Bonds 46.4 44.9 40 - 53 Money market instruments 14.5 12.3 0 - 29 Real estate 6.3 6.3 5 - 10 Other assets 0.5 0.0 Total 100.0 100.0 In 2019 92 % of the equity securities and 6 % of bonds had quoted market prices in an active market. 8 % of the equity securities, 94 % of bonds and 100 % of money market instruments had market prices based on inputs other than quoted prices. If quoted market prices are not available, fair values are determined from external calculation models based on market observations from various sources. In 201 8 92 % of the equity securities, 3 1 % of bonds and 55 % of money market instruments had quoted market prices in an active market. 8 % of the equity securities, 6 9 % of bonds and 45 % of money market instruments had market prices based on inputs other than quoted prices. For definition of the various levels, see note 26 Financial instruments: fair value measurement a nd sensitivity analysis of market risk . |
Provisions and other liabilitie
Provisions and other liabilities | 12 Months Ended |
Dec. 31, 2019 | |
Other provisions [abstract] | |
Provisions [text block] | 20 Provision s and other liabilitie s (in USD million) Asset retirement obligations Claims and litigations Other provisions and liabilities Total Non-current portion at 31 December 2018 12,544 905 2,503 15,952 Current portion at 31 December 2018 reported as trade, other payables and provisions 65 56 103 224 Provisions and other liabilities at 31 December 2018 12,609 961 2,606 16,175 New or increased provisions and other liabilities 563 (2) 1,130 1,692 Change in estimates (115) 5 (143) (253) Amounts charged against provisions and other liabilities (218) (0) (268) (485) Effects of change in the discount rate 1,779 - 49 1,828 Reduction due to divestments (175) - - (175) Accretion expenses 456 - - 456 Reclassification and transfer (92) 0 113 21 Currency translation (88) (0) (9) (96) Provisions and other liabilities at 31 December 2019 14,719 965 3,479 19,163 Non-current portion at 31 December 2019 14,616 54 3,282 17,951 Current portion at 31 December 2019 reported as trade, other payables and provisions 104 910 197 1,211 The line item New or increased provisions and other liabilities includes additional provisions incurred in the period, liabilities and contingent considerations related to acquisitions, and an onerous transportation contract in North America. The timing of cash outflows of asset retirement obligations depends on the expected production cease at the various facilities. The asset retirement obligation (ARO) , a legal or constructive obligation to decommis s ion and remove on- and offshore installations at the end of the production period, is of nature long term and with uncertainty to timing, discount rate, estimate s, currency, regulations and market situation. In certain production sharing agreements ( PSA ) , Equinor’s estimated share of ARO is paid into an escrow account over the produc ing life of the field. Equinor presents asset retirement obligations net of these payments in the c onsolidated balance sheet . The claims and litigations category mainly relates to expected payments for unresolved claims. The timing and amounts of potential settlements in respect of these claims are uncertain and dependent on various factors that are outside management's control. The main change in the caption claims and litigations relate s to the reclassification of Agbami claim from long-term to short-term. For further information on the development of other contingent liabilities , see note 2 4 Other commitments, contingent liabilities and contingent assets . The other provision and other liabilities cate gory relate s to liabilities for contingent consideration, expected net payments on onerous contracts, and other . For further information, see note 4 Acquisitions and disposals. The line item reclassification and transfer mainly relates to Equinor’s divestm ent of the ownership interests in offshore licences, where certain commitments related to asset removal were retained by Equinor. The previous ARO for the licences has been reclassified and included under Other provisions and liabilities. For further infor mation of methods applied and estimates required, see note 2 Significant accounting policies. Expected timing of cash outflows (in USD million) Asset retirement obligations Other provisions and liabilites, including claims and litigations Total 2020 - 2024 1,410 3,119 4,529 2025 - 2029 1,247 657 1,904 2030 - 2034 3,605 81 3,686 2035 - 2039 3,719 156 3,875 Thereafter 4,738 430 5,168 At 31 December 2019 14,719 4,443 19,163 |
Trade, other payables and provi
Trade, other payables and provisions | 12 Months Ended |
Dec. 31, 2019 | |
Trade and other payables [abstract] | |
Disclosure of trade and other payables [text block] | 21 Trade, other payables and provisions At 31 December (in USD million) 2019 2018 Trade payables 3,047 2,532 Non-trade payables and accrued expenses 2,405 2,604 Joint venture payables 2,628 2,254 Payables to equity accounted associated companies and other related parties 947 725 Total financial trade and other payables 9,027 8,115 Current portion of provisions and other non-financial payables 1,423 255 Trade, other payables and provisions 10,450 8,369 Included in c urrent portion of provisions and other non-financial payables are certain provisions that are further described in note 20 Provisions and other liabilities and in note 2 4 Other commitments , contingent liabilities and contingent assets . For information regarding currency sensitivities, see note 2 6 Financial instruments: fair value measurement and sensitivity analysis of market risk. For further information on payables to equity accounted associated companies and other related parties, se e note 2 5 Related parties . |
Leases
Leases | 12 Months Ended |
Dec. 31, 2019 | |
Presentation of leases for lessee [abstract] | |
Disclosure of leases [text block] | 22 Leases Equinor leases certain assets, notably drilling rigs, transportation vessels, storages and office facilities for operational activities. Equinor is mostly a lessee and the use of leases serves operational purposes rather than as a tool for financing. Certain le ases, such as land bases, supply vessels, helicopters and office buildings are entered into by Equinor for subsequent allocation of costs to licences operated by Equinor. These lease liabilities are recognized on a gross basis in the balance sheet, income statement and statement of cash flows when Equinor is considered to have the primary responsibility for the full lease payments. Lease liabilities related to assets dedicated to specific licences, where each licence participants are considered to have the primary responsibility for lease payments, are reflected net of partner share. This would typically involve drilling rigs dedicated to specific licences on the Norwegian continental shelf. Information related to lease payments and lease liabilities (in USD million) Lease liabilities Lease liabilities at 1 January 2019 4,660 New leases, including remeasurements and cancellations 861 Gross lease payments (1,280) Lease interest 144 Lease down-payments (1,136) (1,136) Currency (47) Lease liability at 31 December 2019 1) 4,339 1) Of which USD 1,148 million is presented within current Finance debt and USD 3,191 million is presented within non-current Finance debt. Lease expenses not included in lease liabilities (in USD million) 2019 Short-term lease expenses 435 Payments related to short term leases are mainly related to drilling rigs and transportation vessels, for which a significant portion of the lease costs have been included in the cost of other assets, such as rigs used in exploration or development activities. Variable le ase expense and lease expense related to leases of low value assets are not significant. In 2019, Equinor recognized revenues of USD 2 64 million related to lease costs recovered from licence partners related to lease contracts being recognized gross by Eq uinor. In addition, Equinor received repayments of USD 34 million related to finance subleases. Total finance sublease receivables at 31 December 2019 were USD 54 million. Commitments relating to lease contracts which had not yet commenced at 31 Decembe r 2019 are included within other commitments in note 24 Commitments , c ontingent liabilities and contingent assets. A maturity profile for lease liabilities is disclosed in note 5 Financial risk and capital management. Information related to Right of use assets (in USD million) Drilling rigs Vessels Lands and buildings Storage facilities Other Total Right of use assets at 1 January 2019 1,212 1,302 1,537 72 249 4,372 Additions including remeasurements and cancellations 1) 160 439 59 141 56 855 Depreciation and impairment 1) (398) (413) (225) (57) (81) (1,174) Currency and other (23) (8) (6) 0 (5) (42) Right of use assets at 31 December 2019 951 1,320 1,365 156 219 4,011 1) USD 375 million of the depreciation cost have been allocated to activities being capitalised. The right of use assets are included within the line item Property, plant and equipment in the Consolidated balance sheet. See also note 10 Property , p lant and equipment. See note 23 Implementation of IFRS 16 Leases for information regarding the change in accounting policy for leas es, including transition effects and policy choices made upon implementing this standard. |
Implementation of IFRS16 Leases
Implementation of IFRS16 Leases | 12 Months Ended |
Dec. 31, 2019 | |
Disclosure of implemenation of IFRS Leases [abstract] | |
Disclosure of implementation of IFRS 16 leases [text block] | 23 Implementation of IFRS 16 Leases This disclosure note presents the implementation impact of the new accounting standard IFRS 16 Leases, which was implemented by Equinor on 1 January 2019. Reference is made to note 22 Leases for lease related information required under IFRS 16 for the year 2019. The new standard defines a lease as a contract that conveys the right to control the use of an identified asset for a period of time in exchange for consideration. In the financial statement of lessees, IFRS 16 requires recognition in the balance s heet for each contract that meets its definition of a lease as right-of-use (RoU) asset and a lease liability, while lease payments are reflected as interest expense and a reduction of lease liabilities. The RoU assets are depreciated over the shorter of e ach contract’s term and the assets useful life. IFRS 16 has replaced IAS 17 Leases, under which only leases considered to be financing were capitalized while operating leases were expensed as incurred and reported as off-balance commitments. Upon implem entation of IFRS 16, the following main implementation and application policy choices were made by Equinor: IFRS 16 transition choices IFRS 16 has been implemented according to the modified retrospective method, without restatement of prior periods’ repo rted figures, which are still presented in accordance with IAS 17. Contracts already classified either as leases under IAS 17 or as non-lease service arrangements have maintained their respective classifications upon the implementation of IFRS 16 (“grandfa thering of contracts”) . Leases for which the lease term ends within 12 months from 1 January 2019 were not reflected as lease liabilities under IFRS 16 . RoU assets have for most contracts initially been reflected at an amount equal to the corresponding lea se liability. Prior onerous contract provisions related to operating leases have been reversed and have reduced the value of the corresponding RoU asset recognized in the opening balance under IFRS 16. IFRS 16 policy application choices Short term leases (12 months or less) and leases of low value assets are not reflected in the balance sheet but are expensed or (if appropriate) capitalised as incurred, depending on the activity in which the leased asset is used . Non-lease components within lease contracts will be accounted for separately for all underlying classes of assets and reflected in the relevant expense category or (if appropriate) capitalised as incurred, depending on the activity involved . Impact of IFRS 16 on the Consolidated balance sheet Th e implementation of IFRS 16 on 1 January 2019 has increased the Consolidated balance sheet by adding lease liabilities of USD 4.2 billion and RoU assets of USD 4.0 billion. The difference between the recognized lease liabilities and the right of use assets relates mainly to the derecognition of former onerous contract provisions which are now presented as impairment of RoU assets, and the recognition of financial sublease receivables. Equinor’s equity was not impacted by the implementation of IFRS 16. The f ollowing line items in the balance sheet have been impacted as a result of the new accounting standard: At 31 December IFRS 16 At 1 January (in USD million) 2018 Adjustments 2019 Property, plant and equipment 65,262 3,992 69,254 Prepayments and financial receivables 1,033 52 1,085 Total non-current assets 4,044 Trade and other receivables 8,998 45 9,043 Total current assets 45 Total assets 4,089 Non-current finance debt 23,264 3,159 26,423 Provisions 15,952 (105) 15,847 Total non-current liabilities 3,054 Trade and other payables and provisions 8,369 (34) 8,335 Current finance debt 2,463 1,069 3,532 Total current liabilities 1,035 Total liabilities 4,089 Including former fi nance leases, already recognized in the balance sheet under IAS 17, the lease liabilities and RoU assets at 1 January 2019 were USD 4.7 billion and USD 4.4 billion respectively. The table below shows a maturity profile, based on undiscounted cash flows, for Equinor’s lease liabilities at 1 January 2019 : (in USD million) 2019 2020-2021 2022-2023 2024-2028 After 2028 Total Lease payments 1,133 1,655 921 1,086 472 5,267 The weighted average incremental borrowing rate used when calculating lease liabilities at 1 January 2019 was 3.1 %. The table below shows the impact on the balance sheet at 31 December 2019 from the implementation of IFRS 16: At 31 December 2019 (in USD million) IFRS as reported (IFRS 16) IAS 17 Difference Total non-current assets 93,285 89,546 3,738 Total current assets 24,778 24,750 29 Total assets 118,063 114,296 3,767 Total equity 41,159 41,235 (76) Total non-current liabilities 57,346 54,565 2,781 Total current liabilities 19,557 18,496 1,061 Total equity and liabilities 118,063 114,296 3,767 Impact of IFRS 16 on the Consolidated statement of income Under IFRS 16, lease costs consist of interest expense on the lease liability, presented within Interest expense and other financial expenses , and depreciation of right of use assets, presented within Depreciation, amortisation and net impairment losses. For leases allocated to activities which are capitalised, the costs will continue to be expensed as before, through depreciation of the asse t involved or through the subsequent expensing of capitalised exploration. Lease costs recovered from licen c e partners on Equinor operated licen c es, when the lease liability is reported gross by Equinor, are presented within Revenues. Under IAS 17, these costs only reflected Equinor’s proportional share. The table below shows the difference between the reported C onsolidated statement of income under IFRS 16 and an estimated income statement for 2019 presented under the former principles of IAS 17: Full year 2019 (in USD million) IFRS as reported (IFRS 16) IAS 17 Difference Total revenues and other income 64,357 64,127 230 Purchases [net of inventory variation] (29,532) (29,532) 0 Operating expenses (9,660) (10,179) 519 Selling, general and administrative expenses (809) (825) 16 Depreciation, amortisation and net impairment losses (13,204) (12,476) (728) Exploration expenses (1,854) (1,854) (0) Net operating income/(loss) 9,299 9,261 38 Net financial items (7) 87 (94) Income/(loss) before tax 9,292 9,348 (56) Income tax (7,441) (7,421) (20) Net income/(loss) 1,851 1,927 (76) Impact of IFRS 16 on the Consolidated statement of cash flows In the cash flow statement, down-payment of lease liabilities are presented as a cash flow used in financing activities under IFRS 16, while interests are presented within cash flow used in operating activities. Under IAS 17, operating lease costs were presented within cash flows from operations or investing cash flows respectively, depending on whether the leased asset is used in operating activities or activities being capitalised. In sit uations where Equinor is considered to have the primary responsibility for a lease liability, and consequently reflects the lease liability on a gross basis, any corresponding payments from partner recharges recognised as other revenue in the income statem ent will also be reported on a gross basis in the statement of cash flows, with the gross lease down-payments being recognised as a financing cash flow and the revenues from partners recognised within operating cash flows. Consequently, cash flows from op erating activities will increase, cash flow used in investing activities will decrease and cash flow used in financing activities will increase due to the implementation of IFRS 16. The table below shows the difference between the reported cash flows under IFRS 16 and an estimate for how the cash flows for 2019 would have been presented under the former principles of IAS 17: Full year 2019 (in USD million) IFRS as reported (IFRS 16) IAS 17 Difference Cash flows provided by operating activities 13,749 13,062 687 Cash flows used in investing activities (10,594) (11,003) 409 Cash flows provided by/(used in) financing activities (5,496) (4,400) (1,096) Net increase/(decrease) in cash and cash equivalents (2,341) (2,341) 0 Impact of IFRS 16 on the segment reporting IFRS 16 has not changed how Equinor’s management monitors and follows up lease contracts used in its business operations. Therefore, the E&P segments as well as the MMP segment continue to be presented without reflecting IFRS 16 lease accounting, while all lease contracts are presented within the Other segment. In the E&P and MMP segments, the cost of leases is presented as operating expenses rather than depreciation and interests. A corresponding credit has been recognised in the Other segment to offset the lease costs recognised in the E&P a nd MMP segments. Accounting interpretations and judgments related to the IFRS 16 application IFRS 16 in general, as well as the policy application choices made, involve several accounting interpretations and the application of judgement impacts Equinor’s Consolidated financial statements. The accounting judgments and interpretations which most significantly affected the implementation of IFRS 16 in Equinor are summarised below. Distinguishing operators and joint operations as lessees, including sublease considerations The most significant accounting judgment in Equinor’s application of IFRS 16 has been and remains distinguishing between the joint operation (licences) or the operator as the relevant lessee in upstream activity lease contracts, and conseque ntly whether such contracts are to be reflected gross (100%) in the operator’s financial statements, or according to each joint operation partner’s proportionate share of the lease. In the oil and gas industry, where activity frequently is carried out th rough joint arrangements or similar arrangements, the application of IFRS 16 requires evaluations of whether the joint arrangement or its operator is the lessee in each lease agreement. In many cases where an operator is the sole signatory to a lease con tract of an asset to be used in the activities of a specific joint operation, the operator does so implicitly or explicitly on behalf of the joint arrangement. In certain jurisdictions, and importantly for Equinor this includes the Norwegian continental sh elf (NCS), the concessions granted by the authorities establish both a right and an obligation for the operator to enter into necessary agreements in the name of the joint operations (licences). As is the customary norm in upstream activities operated th rough joint arrangements, the operator will manage the lease, pay the lessor, and subsequently re-bill the partners for their share of the lease costs. In each such instance, it is necessary to determine: Whether the operator is the sole lessee in the ex ternal lease arrangement, and if so, whether the billings to partners may represent sub-leases, or; Whether it is in fact the joint arrangement which is the lessee, with each participant accounting for its proportionate share of the lease. Depending on fa cts and circumstances in each case, the conclusions reached may vary between contracts and legal jurisdictions. In summary, Equinor has recognised lease liabilities based on the principles described below. In the following, the term “licence” references n on-incorporated joint operations and similar arrangements . Leases to be recognised by Equinor as the operator of a licence Where all partners in a licence are considered to share the primary responsibility for lease payments under a contract, the related lease liability and RoU asset will be recognised net by Equinor, on the basis of Equinor’s participation interest in the licence. Such instances include contracts where all licence partners have co-signed a lease contract and situations where Equinor as th e operator of the licence has been given a legally binding mandate to sign the external lease contract on behalf of the licence partners, provided that this mandate makes all licence participants primary liable for the external lease liability. Equinor ha s recognised a lease liability on a gross (100%) basis when it is considered to have the primary responsibility for the full external lease payments. When a financial sublease is considered to exist between Equinor and a licence, Equinor has derecognised a portion of the RoU asset equal to the non-operator ’ s interests in the lease, and instead recognised a corresponding financial lease receivable. A financial sublease will typically exist where Equinor enters into a contract in its own name, where it has th e primary responsibility for the external lease payments, where the leased asset is to be used on one specific licence, and where the costs and risks related to the use of this asset are carried by that specific licence. Where Equinor reports it s lease liabilities on a gross basis, due to being considered to have the primary responsib ility for the external lease payment, and where the use of the leased asset on a licence is not considered a financial sublease, Equinor will recognise the related R oU asset on a gross basis. Lease payments recovered by Equinor from its licence partners based on their proportionate shares of the lease will be recognised as other revenues. Such expenses have under the previous lease accounting rules been reflected net by Equinor, on the basis of Equinor’s net participation interest in the licence. Expenses which are not included in a recognised lease obligation, such as payments for short term leases, non-lease components and variable lease payments, will continue to be reported net in Equinor’s statement of income, on the basis of Equinor’s net participation interest. Leases to be recognised by Equinor as a non-operator of a licence As a non-operating licence participant in an oil and gas licence, Equinor will recognis e its proportionate share of a lease when Equinor is considered to share the primary responsibility for a licence committed lease liability. This includes contracts where Equinor has co-signed a lease contract and contracts for which the operator has been given a legally binding mandate to sign the external lease contract on behalf of the licence partners. Equinor will also recognise its proportionate share when a lease contract is entered in to by the operator of a licence, and where the operator’s use o f the leased asset represents a sublease from the operator to the licence. A sublease is considered to exist where the operator agrees with its licence partners that an identified asset is committed to be used solely in the operations of the specific licen ce for a specified period of time, and where the use of the asset is deemed to be controlled jointly by the licence partnership. Recognition of rig sharing arrangements As a significant operator on the NCS, Equinor might sign lease contracts on behalf of one or more individual licences which have committed to use a leased rig for specific periods of time. A rig sharing arrangement will determine where and when the rig will be used throughout the contract period. When a licence is considered a lessee in a r ig sharing arrangement, the licence is considered a lessee for its respective portion of the full lease period. Accordingly, Equinor will account for these lease contracts from a licence perspective, both with regards to considering when to use the short-t erm exemption from IFRS 16’s requirements, and when determining the commencement of the lease. When a rig lease is entered in Equinor’s own name, the lease liability will be recognised in Equinor’s Consolidated balance sheet on a gross (1 00%) basis. However, Equinor will not recognise any lease liability for periods where the rig is assigned to another party, in effect transferring both the legal and economic right to use the leased asset and the primary responsibility for lease payments u nder the contract to this other party. When a leased asset is assigned to a licence for two or more non-consecutive periods within the same contract, Equinor will account for these non-consecutive periods in combination, both when considering whether to use the short-term exemption, and when determining the commencement of the lease. Separation of lease and non-lease components Many of Equinor’s lease contracts, such as rig and vessel leases, involve several additional services and components, including personnel cost, maintenance, drilling related activities, and other items. For a number of these contracts, the additional services represent a not inconsiderable portion of the total contract value. Where the additional services are not separately priced, the consideration paid has been allocated based on the relative stand-alone prices of the lease and non-lease components. Equinor’s previous practice for lease commitments reporting was to not distinguish fixed non-lease components within a lease contract from the actual lease components. The choice made under IFRS 16 to account for non-lease components separately for all classes of assets consequently represents a change in Equinor’s lease accounting. Evaluating the impact of option periods on lease term s Many of Equinor’s major leases, such as leases of vessels, rigs and buildings, include options to extend the lease term. Under IFRS 16, the evaluation of whether each lease contract’s extension options are considered reasonably certain to be exercised, a re made at commencement of the leases and subsequently when facts and circumstances which are under the control of Equinor require it. In Equinor’s view, the term ‘reasonably certain’ implies a probability level significantly higher than ‘probable’, and th is has been reflected in Equinor’s evaluations. Distinguishing fixed and variable lease payment elements Under IFRS 16, fixed and in-substance fixed lease payments are to be included in the commencement date computation of a lease liability, while variab le payments dependent on use of the asset are not. Particularly as regards drilling rig leases, Equinor’s lease contracts include fixed rates for when the asset in question is in operation, and various alternative, lower rates (“stand-by rates”) for period s where the asset is engaged in specified activities or idle, but still under contract. In general, variability in lease payments under these contracts has its basis in different use and activity levels, and the variable elements have been determined to re late to non-lease components only. Consequently, the lease components of these contractual payments are considered fixed for the purposes of IFRS 16. Determining the incremental borrowing rate to be used as discount factor In establishing Equinor’s leas e liabilities, the incremental borrowing rates used as discount factors in discounting payments have been established based on a consistent approach reflecting the Group’s borrowing rate, the currency of the obligation, the duration of the lease term, and the credit spread for the legal entity entering into the lease contract. Reconciliation of IFRS 16 lease liabilities to IAS 17 operating lease commitments Under IAS 17, Equinor disclosed the following commitments related to operating lea ses at 31 Decem ber 2018: Operating leases (in USD million) Rigs Vessels Land and buildings Storage Other Total 2019 998 662 143 83 113 2,001 2020 523 599 141 60 84 1,406 2021 349 534 140 41 50 1,114 2022 372 384 136 40 28 960 2023 280 316 198 25 13 832 2024-2028 75 789 544 68 50 1,527 2029-2033 - 131 223 6 17 376 Thereafter - - 32 - 7 39 Total future minimum lease payments 2,597 3,414 1,558 322 363 8,253 The table below presents a reconciliation between operating lease commitments at 31 December 2018 under IAS 17 Leases and the lease liability recogni s ed under IFRS 16 Leases: (in USD million) Operating lease commitments (IAS 17) at 31 December 2018 8,253 Short term leases and leases expiring during 2019 (666) Non-lease components (1,469) Commitments related to leases not yet commenced (2,116) Leases reported gross vs net 711 Effect of discounting (485) Finance leases (IAS 17) included in the balance sheet at 31 December 2018 432 Lease liability reported under IFRS 16 at 1 January 2019 4,660 Reference is made to the policy descriptions above for explanations of the reconciling items. Leases not yet commenced relates to situations where a contract is signed, but where Equinor has not yet obtained the right to control an underlying asset, either on its own or through a joint operation. Extension and termination options within the lease contracts are in all material respect reported on the same basis as under IAS 17 Leases. Most leases are used in operational activities. Extension options which are considered reasonably certain to be exercised are included in the reported lease liability. These are mainly those extension options for which operational decisions have been made which make the leased assets vital to the continued relevant business ac tivities. |
Other commitments, contingent l
Other commitments, contingent liabilities and contingent assets | 12 Months Ended |
Dec. 31, 2019 | |
Disclosure of other provisions [abstract] | |
Disclosure of other provisions, contingent liabilities and contingent assets [text block] | 24 Other commitments, contingent liabilities and contingent assets Contractual commitments Equinor had contractual commitments of USD 5,205 million at 31 December 2019. The contractual commitments reflect Equinor's proportional share and mainly comprise construction and acquisition of property, plant and equipment as well as committed investments /funding or resources in equity accounted entities. As a condition for being awarded oil and gas exploration and production licences, p articipants may be committed to drill a certain number of wells. At the end of 2019, Equinor was committed to participate in 38 wells, with an average ownership interest of approximately 44 %. Equinor's share of estimated expenditures to drill these wells a mounts to USD 663 million. Additional wells that Equinor may become committed to participating in depending on future discoveries in certain licences are not included in these numbers. Other long-term commitments Equinor has entered into various long-term agreements for pipeline transportation as well as terminal use, processing, storage and entry/exit capacity commitments and commitments related to specific purchase agreements. The agreements ensure the rights to the capacity or volumes in question, but al so impose on Equinor the obligation to pay for the agreed-upon service or commodity, irrespective of actual use. The contracts' terms vary , with durations of up to 20 4 4 . Take-or-pay contracts for the purchase of commodity quantities are only included in th e table below if their contractually agreed pricing is of a nature that will or may deviate from the obtainable market prices for the commodity at the time of delivery. Obligations payable by Equinor to entities accounted for in the Equinor group using the equity method are included in the table below with Equinor’s full proportionate share . For assets ( such as pipelines) that are included in the Equinor accounts through joint operations or similar arrangements, and where consequently Equinor’s share of ass ets, liabilities, income and expenses (capacity costs) are reflected on a line-by-line basis in the Consolidated financial statements, the amounts in the table include the net commitment payable by Equinor (i.e. Equinor’s proportionate share of the commitment less Equinor's ownership share in the applicable entity ). The table below includes USD 3,009 million related to the non-lease components of lease agreements reflected in the accounts according to IFRS 16, a s well as lease s not yet commenced. The latter includes approximately USD 300 million related to c rude tankers to be applied in future under Equinor’s long-term charter agreement with Teek a y over the lifetime of producing fields in the North Sea . Nominal m inimum other long-term commitments at 31 December 2019: (in USD million) 2020 2,165 2021 2,082 2022 1,845 2023 1,581 2024 1,279 Thereafter 4,518 Total 13,470 Guarantees Equinor has guaranteed for its proportionate share of an associate’s long - term bank debt, payment obligations under contracts , and certain third - party obligations . The total amount guaranteed at year-end 2019 is USD 1,2 b illion. The book value of the guarantees are immaterial . Contingent liabilities and contingent assets Redetermination process for Agbami field Through its ownership in OML 128 in Nigeria, Equinor is a party to an ownership interest redetermination process for the Agbami field, which will reduce Equinor’s ownership interest. A non-binding agreement for settlement of the redetermination was reached during the fourth quarter of 2018. The parties to t he non-binding agreement have continued to work towards a final settlement and agreed-upon ownership percentage adjustment during 2019. Equinor’s provision for the best estimate of the impact of the redetermination process as of year-end 2019 amounts to US D 853 million. During 2019 the provision has been reclassified from long term Provisions to short term Trade and other payables in the Consolidated balance sheet, due to expectations that there will be a cash outflow in the process within a year. The impac t of the redetermination process on the Consolidated statement of income was immaterial in 2019. Price review arbitration Some long-term gas sales agreements contain price review clauses, which in certain cases lead to claims subject to arbitration. The range of exposure related to ongoing arbitration has been estimated to approximately USD 1. 3 billion for gas delivered prior to year-end 201 9 . Based on Equinor’s assessment, no provision is included in the Consolidated financial statements at year-end 201 9 . The timing of resolution is uncertain but is estimated to 2020. Price review arbitration related changes in provisions thr oughout 201 9 are immaterial and have been reflected in the Consolidated statement of income as adjustments to revenue from contracts with customers. Deviation notices from Norwegian tax authorities In the fourth quarter of 2019, Equinor received a draft decision from Norwegian tax authorities in the matter related to internal pricing on certain transactions between Equinor Service Center Belgium (ESCB) and Equinor ASA. The main issue in this matter relates to ESCB’s capital structure and its compliance w ith the arm length’s principle. The draft decision covers the fiscal years 2012 to 2016 and represents an exposure of approximately USD 180 million. Equinor is currently evaluating the draft decision and will respond to the tax authorities . It continues to be Equinor’s view that arm’s length pricing has been applied and that the group has a strong position, and at year-end 2019 no amounts have consequently been provided for this matter in the accounts. In February 2018, Equinor received a notice of deviati on from Norwegian tax authorities related to an ongoing dispute regarding the level of Research & Development cost to be allocated to the offshore tax regime. The maximum exposure in this matter is estimated to approximately USD 500 million. Equinor has pr ovided for its best estimate in the matter. A dispute between the Federal Government of Nigeria and the Governments of Rivers, Bayelsa and Akwa Ibom States in Nigeria In October 2018, Supreme Court of Nigeria rendered a judgement in a dispute between the Federal Government of Nigeria and the Governments of Rivers, Bayelsa and Akwa Ibom States in favour of the latter. The Supreme Court judgement provides for potential re troactive adjustment of certain production sharing contracts in favour of the Federal Government, including OML 128 (Agbami) . Equinor sees no merit to the case. No provision has been made for this matter. Dispute concerning termination of a long-term cont ract for the drilling rig COSL Innovator In January 2020, Equinor on behalf of the Troll licence signed a settlement agreement with COSL Offshore Management AS in the dispute over the 2016 termination of the long-term contract for the rig COSL Innovator. E quinor’s share of the agreed settlement payment amounts to USD 57.5 million, which has been reflected in Operating expenses in the E&P Norway segment in 2019 . Dispute with Brazilian tax authorities Brazilian tax authorities have issued an updated tax asse ssment for 2011 for Equinor’s Brazilian subsidiary which was party to Equinor’s divestment of 40 % of the Peregrino field to Sinochem at that time. The assessment disputes Equinor’s allocation of the sale proceeds between entities and assets involved, resul ting in a significantly higher assessed taxable gain and related taxes payable in Brazil. Equinor disagrees with the assessment and has provided responses to this effect. The ongoing process of formal communication with the Brazilian tax authorities, as we ll as any subsequent litigation that may become necessary, may take several years. No taxes will become payable until the matter has been finally settled. Equinor is of the view that all applicable tax regulations have been applied in the case and that the group has a strong position. No amounts have consequently been provided for in the accounts. Suit for an annulment of Petrobras’ sale of the interest in BM-S-8 to Equinor In March 2017, the Union of Workers of Oil Tankers of Sergipe (Sindipetro) filed a class action suit against Petrobras, Equinor, and ANP - the Brazilian Regulatory Agency - to seek annulment of Petrobras’ sale of the interest and operatorship in BM-S-8 to Equinor, which was closed in November 2016 after approval by the partners and authorities. There was also an injunction request to suspend the assignment which was granted in April 2017 by a federal judge and was subsequently lifted by the Federal Regional Court. The cases are progressing through the court system. At the end of 201 9 the acquired interest remains in Equinor’s balance sheet as intangible assets of the Exploration & Production International (E&P International) segment. For further information about Equinor’s acquisitions and divestments in BM-S-8, reference is made to note 4 Acquisitions and disposals ICMS indirect tax (Imposto sobre Circulaçao de Mercadorias - Tax on the Circulation of Goods and Certain Services) In Brazil, the State of Rio d e Janeiro in 2015 published a law whereby crude oil extraction as of March 2016 would be subject to a 20 % ICMS indirect tax (Imposto sobre Circulaçao de Mercadorias - Tax on the Circulation of Goods and Certain Services). Equinor, in line with other affect ed international peer companies, are of the opinion that this tax is unconstitutional, and have initiated legal processes concerning the matter in the legal system of the State of Rio de Janeiro, with favorable decisions so far. The Brazilian Industry Asso ciation also filed a suit with the Federal Supreme Court of Brazil challenging the law’s constitutionality. Due to the ongoing production from the Peregrino field, and more recently also from the Roncador field, Equinor’s downside exposure in connection with this case is increasing, and at year-end 2019 amounted to approximately USD 700 million. Equinor is of the opinion that the group has a strong position in the case, and no amounts have consequently been provided for this issue in the accoun ts. The timing of the final resolution of this matter cannot be ascertained with sufficient certainty, but the process may be expected to take several years. No payment of the ICMS will become due until a court decision is rendered declaring this law to be constitutional. Other claims During the normal course of its business, Equinor is involved in legal proceedings, and several other unresolved claims are currently outstanding. The ultimate liability or asset, in respect of such litigation and claims cann ot be determined at this time. Equinor has provided in its Consolidated financial statements for probable liabilities related to litigation and claims based on its best estimate. Equinor does not expect that its financial position, results of operations or cash flows will be materially affected by the resolution of these legal proceedings. Equinor is actively pursuing the above disputes through the contractual and legal means available in each case, but the timing of the ultimate resolutions and related cas h flows, if any, cannot at present be determined with sufficient reliability. Provisions related to claims other than those related to income tax are reflected within note 20 Provisions and other liabilities . Uncertain income tax related liabilities are reflected as current tax payables or deferred tax liabilities as appropriate, while uncertain tax assets are reflected as current or deferred tax assets. |
Related parties
Related parties | 12 Months Ended |
Dec. 31, 2019 | |
Disclosure of transactions between related parties [abstract] | |
Disclosure of related party [text block] | 25 Related parties Transactions with the Norwegian State The Norwegian State is the majority shareholder of Equinor and also holds major investments in other Norwegian companies. As of 31 December 2019, the Norwegian State had an ownership interest in Equinor of 67.0 % (excluding Folketrygdfondet, the Norwegian national insurance fund, of 3.4 %). This ownership structure means th at Equinor participates in transactions with many parties that are under a common ownership structure and therefore meet the definition of a related party. Total purchases of oil and natural gas liquids from the Norwegian State amounted to USD 7,505 milli on, USD 8,604 million and USD 7,352 million in 2019, 2018 and 2017, respectively. Total purchases of natural gas regarding the Tjeldbergodden methanol plant from the Norwegian State amounted to USD 36 million , USD 49 million and USD 39 million in 2019, 201 8 and 2017, respectively. These purchases of oil and natural gas are recorded in Equinor ASA. In addition, Equinor ASA sells in its own name, but for the Norwegian State’s account and risk, the Norwegian State’s gas production. These transactions are prese nted net. For further information please see note 2 Significant accounting policies . The most significant items included in the line item payables to equity accounted associated companies and other related parties in note 21 Trade and other payables , are a mounts payable to the Norwegian State for these purchases. Other transactions In relation to its ordinary business operations Equinor enters into contracts such as pipeline transport, gas storage and processing of petroleum products, with companies in whic h Equinor has ownership interests. Such transactions are included within the applicable captions in the Consolidated statement of income. Gassled and certain other infrastructure assets are operated by Gassco AS, which is an entity under common control by the Norwegian Ministry of Petroleum and Energy. Gassco’s activities are performed on behalf of and for the risk and reward of pipeline and terminal owners, and capacity payments flow through Gassco to the respective owners. Equinor payments that flowed thr ough Gassco in this respect amounted to USD 1,39 6 million, USD 1,351 million and USD 1,155 million in 2019, 2018 and 2017, respectively. These payments are mainly recorded in Equinor ASA. In addition, Equinor ASA process in its own name, but for the Norweg ian State’s account and risk, the Norwegian State’s share of the Gassco costs. These transactions are presented net. On 5 August 2019, Equinor reduced its ownership interest in Lundin Petroleum AB (Lundin) from 2 0.1 % to 4.9 % of the outstanding shares and v otes. In the period of 1 January to 5 August 2019, total purchase of oil and related products from Lundin amounted to USD 107 million. Total purchase of oil and related products from Lundin amounted to USD 879 million and USD 176 million in 2018 and 2017, respectively. In 2018, Equinor also sold oil and related products to Lundin, at an amount of USD 296 million. The sale and purchase of oil and related products are recorded in Equinor ASA. For information concerning the divestment of Lundin shares, see not e 4 Acquisitions and disposals. Equinor lease s two office building s, located in Bergen and Harstad, owned by Equinor’s pension fund (“Equinor Pension”). The lease contracts extend to the year s 2034 and 2037 and Equinor ASA has recognised lease liabilities of USD 372 million related to these contracts . Related party transactions with management are presented in note 6 Remuneration . Management remuneration for 2019 is presented in note 4 Remuneration in the financial statements of the parent company, Equinor ASA. |
Financial instruments_ fair val
Financial instruments: fair value measurement and sensitivity analysis of market risk | 12 Months Ended |
Dec. 31, 2019 | |
Disclosure of detailed information about financial instruments [abstract] | |
Disclosure of financial instruments [text block] | 26 Financial instruments : fair value measurement and sensitivity analysis of market risk Financial instruments by category The following tables present Equinor 's classes of financial instruments and their carrying amounts by the categories as they are defined in IFRS 9 Financial Instruments: Classification and Measurement . For financial investments the difference between measurement as defined by IFRS 9 categori es and measurement at fair value is immaterial. For trade and other receivables and payables, and cash and cash equivalents, the carrying amounts are considered a reasonable approximation of fair value. See note 18 Finance debt for fair value information of non-current bonds, bank loans and lease liabilities. See note 2 Significant accounting policies for further information regarding measurement of fair val ues. (in USD million) Note Amortised cost Fair value through profit or loss Non-financial assets Total carrying amount At 31 December 2019 Assets Non-current derivative financial instruments - 1,365 - 1,365 Non-current financial investments 13 167 3,433 - 3,600 Prepayments and financial receivables 13 1,057 - 157 1,214 Trade and other receivables 15 7,374 - 859 8,233 Current derivative financial instruments - 578 - 578 Current financial investments 13 7,050 377 - 7,426 Cash and cash equivalents 16 4,478 700 - 5,177 Total 20,125 6,452 1,016 27,593 (in USD million) Note Amortised cost Fair value through profit or loss Non-financial assets Total carrying amount At 31 December 2018 Assets Non-current derivative financial instruments - 1,032 - 1,032 Non-current financial investments 13 90 2,365 - 2,455 Prepayments and financial receivables 13 854 - 179 1,033 Trade and other receivables 15 8,488 - 510 8,998 Current derivative financial instruments - 318 - 318 Current financial investments 13 6,145 896 - 7,041 Cash and cash equivalents 16 5,301 2,255 - 7,556 Total 20,878 6,866 689 28,433 (in USD million) Note Amortised cost Fair value through profit or loss Non-financial liabilities Total carrying amount At 31 December 2019 Liabilities Non-current finance debt 18, 22 21,754 - 3,191 24,945 Non-current derivative financial instruments - 1,173 - 1,173 Trade, other payables and provisions 21 9,027 - 1,423 10,450 Current finance debt 18, 22 2,939 - 1,148 4,087 Dividend payable 859 - - 859 Current derivative financial instruments - 462 - 462 Total 34,580 1,635 5,762 41,976 (in USD million) Note Amortised cost Fair value through profit or loss Non-financial liabilities Total carrying amount At 31 December 2018 Liabilities Non-current finance debt 18, 22 23,264 - - 23,264 Non-current derivative financial instruments - 1,207 - 1,207 Trade, other payables and provisions 21 8,115 - 255 8,369 Current finance debt 18, 22 2,463 - - 2,463 Dividend payable 766 - - 766 Current derivative financial instruments - 352 - 352 Total 34,608 1,559 255 36,422 Fair value hierarchy The following table summarises each class of financial instruments which are recognised in the Consolidated balance sheet at fair value, split by Equinor 's basis for fair value measurement. (in USD million) Non-current financial investments Non-current derivative financial instruments - assets Current financial investments Current derivative financial instruments - assets Cash equivalents Non-current derivative financial instruments - liabilities Current derivative financial instruments - liabilities Net fair value At 31 December 2019 Level 1 1,456 7 - 86 - (6) (70) 1,473 Level 2 1,700 1,139 377 461 700 (1,148) (394) 2,835 Level 3 277 219 - 33 - (19) - 510 Total fair value 3,433 1,365 377 578 700 (1,173) (462) 4,817 At 31 December 2018 Level 1 1,088 - 365 - - - - 1,453 Level 2 1,027 806 531 274 2,255 (1,172) (351) 3,370 Level 3 250 227 - 44 - (35) (1) 485 Total fair value 2,365 1,032 896 318 2,255 (1,207) (352) 5,307 Level 1, fair value based on prices quoted in an active market for identical assets or liabilities, includes financial instruments actively traded and for which the values recognised in the Consolidated balance sheet are determined based on observable prices on identical instruments. For Equinor this category will, in most cases, only be relevant for investments in listed equity securities and government bonds. Level 2, fair value based on inputs other t han quoted prices included within l evel 1, which are derived from observable market transactions, includes Equinor 's non-standardised contracts for which fair values are determined on the basis of price inputs from observable market transactions. This will typically be when Equinor uses forward prices on crude oil, natural gas, interest rates and foreign exchange rates as inputs to the valuation models to determining the fair value of its derivative financial instruments. Level 3, fair value based on unobse rvable inputs, includes financial instruments for which fair values are determined on the basis of input and assumptions that are not from observable market transactions. The fair values presented in this category are mainly based on internal assumptions. The internal assumptions are only used in the absence of quoted prices from an active market or other observable price inputs for the financial instruments subject to the valuation. The fair value of certain earn-out agreements and embedded derivative cont racts are determined by the use of valuation techniques with price inputs from observable market transactions as well as internally generated price assumptions and volume profiles. The discount rate used in the valuation is a risk-free rate based on the ap plicable currency and time horizon of the underlying cash flows adjusted for a credit premium to reflect either Equinor 's credit premium, if the value is a liability, or an estimated counterparty credit premium if the value is an asset. In addition a risk premium for risk elements not adjusted for in the cash flow may be included when applicable. The fair values of these derivative financial instruments have been classified in their entiret y in the third category within c urrent derivative financial instrume nts and n on-current de rivative financial instruments . Another reasonable assumption, that could have been applied when determining the fair value of these contracts, would be to extrapolate the last observed forward prices with inflation. Applying this ass umption would have an insignificant impact on the fair value for these contracts. The reconciliation of the changes in fair value during 201 9 and 201 8 for financial instruments classified as level 3 in the hierarchy are presented in the following table. (in USD million) Non-current financial investments Non-current derivative financial instruments - assets Current derivative financial instruments - assets Non-current derivative financial instruments - liabilities Current derivative financial instruments - liabilities Total amount Opening as at 1 January 2019 250 227 44 (35) (1) 485 Total gains and losses recognised in statement of income (38) (6) 31 16 1 4 Purchases 78 - - - - 78 Settlement (11) - (42) - - (52) Transfer to level 1 (3) - - - - (3) Foreign currency translation differences (0) (2) (0) - - (3) Closing as at 31 December 2019 277 219 33 (19) - 510 Opening as at 1 January 2018 397 283 37 - (4) 713 Total gains and losses recognised in statement of income (91) (44) 46 (35) 3 (122) Purchases 35 - - - - 35 Settlement - - (36) - - (36) Transfer into level 3 (88) - - - - (88) Foreign currency translation differences (3) (13) (3) - - (18) Closing as at 31 December 2018 250 227 44 (35) (1) 485 During 2019 the financial instruments within level 3 have had a net increase in fair value of USD 25 million. The USD 4 million recognised in the Consolidated statement of income during 2019 are impacted by a n increase of USD 24 million related to changes in fair value of certain earn-out agreements. Related to the same earn-out agreements, USD 42 million included in the opening balance for 2019 has been fully realised as the underlying volumes have bee n delivered during 2019 . Sensitiv ity analysis of market risk Commodity price risk The table below contains the commodity price risk sensitivities of Equinor 's commodity based derivatives contracts. For further information related to the type of commodity risks and how Equinor manages th ese risks, see note 5 Financial risk and capital management. Equinor 's assets and liabilities resulting from commodity based derivatives contracts consist of both exchange traded and non-exchange traded instruments , including embedded derivatives that hav e been bifurcated and recognised at fair value in the Consolidated balance sheet. Price risk sensitivities at the end of 201 9 and 2018 at 30 %, are assum ed to represent a reasonably possible change based on the duration of the derivatives. Since none of the derivative financial instruments included in the table below are part of hedging relationships, any changes in the fair value would be recognised in the Consolidated statement of income. Commodity price sensitivity 2019 2018 (in USD million) - 30% + 30% - 30% + 30% At 31 December Crude oil and refined products net gains/(losses) 569 (563) 275 (230) Natural gas and electricity net gains/(losses) (33) 49 1,157 (1,156) Currency risk The following currency risk sensitivity has been calculated, by assuming a 9% reasonable change in the main exchange rates that impact Equinor’s financial accounts, based on balances at 31 December 201 9 . A lso a t 31 December 201 8 a change of 9 % in the main exchange rates were viewed as a reasonable change. With reference to table below, an increase in the exchange rates means that the disclosed cur rency has strengthened in value against all other currencies. The estimated gains and the estimated losses following from a change in the exchange rates would impact the Consolidated statement of income. For further information related to the currency risk and how Equinor manages these risks, see note 5 Financial risk and capital management. Currency risk sensitivity 2019 2018 (in USD million) - 9% + 9% - 9% + 9% At 31 December USD net gains/(losses) (220) 220 (230) 230 NOK net gains/(losses) 282 (282) 311 (311) Interest rate risk The following interest rate risk sensitivity has been calculated by assuming a change of 0.6 percentage points as a reasonab le possible change in i nterest rates at the end of 2019 . A change of 0.6 percentage points in interest rates was also in 2018 viewed as a reasonabl e possible change. A decrease in interest rates will have an estimated positive impact on net financial items in the C onsolidated statement of income , while an increase in interest rates has an estimated negative impact on net financial items in the C onsolidated statement of income . For further information related to the interest risks and how Equinor manages these risks, see note 5 Financial risk and capital management. Interest risk sensitivity 2019 2018 (in USD million) - 0.6 percentage points + 0.6 percentage points - 0.6 percentage points + 0.6 percentage points At 31 December Positive/(negative) impact on net financial items 526 (526) 575 (575) Equity price risk The following equity price risk sensitivity has been calculated, by assuming a 35 % possibl e change in equity prices that impact Equinor’s financial accounts, based on balances at 31 December 2019. The estimated gains and the estimated losses following from a change in equity prices would impact the Consolidated statement of income. For further information related to the equity price risk an d how Equinor manages these risks, see note 5 Financial risk and capital management. Equity price sensitivity 2019 (in USD million) - 35% + 35% At 31 December Net gains/(losses) (631) 631 |
Subsequent events
Subsequent events | 12 Months Ended |
Dec. 31, 2019 | |
Disclosure of non-adjusting events after reporting period [abstract] | |
Disclosure of events after reporting period [text block] | 27 Subsequent events On 30 January 2020, Equinor closed a transaction with Schlumberger Production Management Holding Argentina B.V. SPM to acquire a 50 % interest in SPM Argentina S.A. For further information see n ote 4 Acquisitions and disposals . During the first quarter of 2020 the spread of the coronavirus (Covid-19) has impacted an increasing number of countries with increasing severity. In March 2020, the World Health Organisation (WHO) declared Covid-19 a global pandemic. During this period countries, organisations and Equinor have taken considerable measures to mitigate risk for communities, employees and business operations. The full extent, consequences, and duration of the Covid-19 pandemic and the resulting operational and economic impact for Equinor cannot be predicted at the time of publication of these Consolidated financial statements . |
Condensed consolidated financia
Condensed consolidated financial information related to guaranteed debt securities | 12 Months Ended |
Dec. 31, 2019 | |
Disclosure of condensed financial information [abstract] | |
Disclosure of condensed financial information related to guaranteed debt securities [text block] | 28 Condensed consolidated financial information related to guaranteed debt securities Equinor Energy AS, a 100% owned subsidiary of Equinor ASA, is the co-obligor of certain existing debt securities of Equinor ASA that are registered under the US Securities Act of 1933 ("US registered debt securities"). As co-obligor, Equinor Energy AS fully, unconditionally and irrevocably assumes and agrees to perform, jo intly and severally with Equinor ASA, the payment and covenant obligations for these US registered debt securities. In the future, Equinor ASA may from time to time issue future US registered debt securities for which Equinor Energy AS will be the co-obligor or guarantor. The following financial information on a condensed consolidat ed basis provides financial information about Equinor ASA, as issuer , and Equinor Energy AS, as co-obligor and guarantor, and all other subsidiaries as required by SEC Rule 3-10 of Regulation S-X. The condensed consolidat ed information is prepared in accordance with Equinor 's IFRS accounting policies as described in note 2 Significant accounting policies , except that investments in subsidiaries and jointly controlle d entities are accounted for using the equity method as required by Rule 3-10. The following is condensed consolidat ed financial information for the full year 201 9, 201 8 and 2017, and as of 31 December 201 9 and 201 8 . CONDENSED CONSOLIDATED STATEMENT OF INCOME AND OTHER COMPREHENSIVE INCOME Equinor ASA Equinor Energy AS Non-guarantor subsidiaries Consolidation adjustments The Equinor group Full year 2019 (in USD million) Revenues and other income 42,786 20,694 25,054 (24,340) 64,194 Net income/(loss) from equity accounted companies 538 (2,941) 144 2,423 164 Total revenues and other income 43,324 17,753 25,198 (21,918) 64,357 Total operating expenses (42,014) (10,780) (26,003) 23,739 (55,058) Net operating income/(loss) 1,309 6,973 (805) 1,822 9,299 Net financial items 545 (318) (381) 147 (7) Income/(loss) before tax 1,855 6,654 (1,186) 1,969 9,292 Income tax (156) (6,822) (532) 70 (7,441) Net income/(loss) 1,699 (168) (1,718) 2,038 1,851 Other comprehensive income/(loss) 467 (15) 165 (294) 323 Total comprehensive income/(loss) 2,166 (183) (1,553) 1,744 2,174 CONDENSED CONSOLIDATED STATEMENT OF INCOME AND OTHER COMPREHENSIVE INCOME Equinor ASA Equinor Energy AS Non-guarantor subsidiaries Consolidation adjustments The Equinor group Full year 2018 (in USD million) Revenues and other income 51,567 25,365 29,374 (27,004) 79,301 Net income/(loss) from equity accounted companies 7,832 1,065 262 (8,868) 291 Total revenues and other income 59,399 26,430 29,636 (35,872) 79,593 Total operating expenses (51,596) (10,138) (24,862) 27,140 (59,456) Net operating income/(loss) 7,803 16,292 4,774 (8,732) 20,137 Net financial items (1,300) (274) (505) 817 (1,263) Income/(loss) before tax 6,503 16,018 4,269 (7,916) 18,874 Income tax 219 (10,719) (786) (49) (11,335) Net income/(loss) 6,722 5,299 3,483 (7,965) 7,538 Other comprehensive income/(loss) (867) (334) (620) 140 (1,681) Total comprehensive income/(loss) 5,855 4,965 2,863 (7,825) 5,857 CONDENSED CONSOLIDATED STATEMENT OF INCOME AND OTHER COMPREHENSIVE INCOME Equinor ASA Equinor Energy AS Non-guarantor subsidiaries Consolidation adjustments The Equinor group Full year 2017 (in USD million) Revenues and other income 39,750 20,579 22,204 (21,535) 60,999 Net income/(loss) from equity accounted companies 5,051 (401) 33 (4,495) 188 Total revenues and other income 44,801 20,178 22,237 (26,029) 61,187 Total operating expenses (39,570) (9,217) (20,022) 21,392 (47,416) Net operating income/(loss) 5,232 10,961 2,216 (4,637) 13,771 Net financial items 311 (378) 439 (724) (351) Income/(loss) before tax 5,543 10,583 2,655 (5,361) 13,420 Income tax (230) (8,094) (539) 40 (8,822) Net income/(loss) 5,314 2,489 2,116 (5,321) 4,598 Other comprehensive income/(loss) 1,017 355 878 (509) 1,741 Total comprehensive income/(loss) 6,330 2,843 2,995 (5,830) 6,339 CONDENSED CONSOLIDATED BALANCE SHEET Equinor ASA Equinor Energy AS Non-guarantor subsidiaries Consolidation adjustments The Equinor group At 31 December 2019 (in USD million) ASSETS Property, plant, equipment and intangible assets 1,930 37,560 41,311 (110) 80,691 Equity accounted companies 44,131 22,400 1,377 (66,467) 1,442 Other non-current assets 4,097 336 6,569 150 11,152 Non-current receivables from subsidiaries 23,387 (0) 24 (23,411) 0 Total non-current assets 73,545 60,297 49,281 (89,838) 93,285 Current receivables from subsidiaries 5,441 6,257 12,510 (24,208) 0 Other current assets 14,325 857 5,264 (845) 19,601 Cash and cash equivalents 3,272 15 1,890 0 5,177 Total current assets 23,038 7,129 19,665 (25,053) 24,778 Total assets 96,583 67,426 68,946 (114,891) 118,063 EQUITY AND LIABILITIES Total equity 41,139 26,528 40,767 (67,274) 41,159 Non-current liabilities to subsidiaries 22 11,976 11,413 (23,411) 0 Other non-current liabilities 28,518 20,395 8,442 (9) 57,346 Total non-current liabilities 28,540 32,371 19,855 (23,420) 57,346 Other current liabilities 8,298 6,039 5,209 11 19,557 Current liabilities to subsidiaries 18,605 2,489 3,114 (24,208) (0) Total current liabilities 26,903 8,527 8,324 (24,197) 19,557 Total liabilities 55,443 40,898 28,179 (47,616) 76,904 Total equity and liabilities 96,582 67,426 68,946 (114,891) 118,063 CONDENSED CONSOLIDATED BALANCE SHEET Equinor ASA Equinor Energy AS Non-guarantor subsidiaries Consolidation adjustments The Equinor group At 31 December 2018 (in USD million) ASSETS Property, plant, equipment and intangible assets 502 33,309 41,140 (17) 74,934 Equity accounted companies 46,828 23,668 1,697 (69,330) 2,863 Other non-current assets 2,741 381 5,572 (39) 8,655 Non-current receivables from subsidiaries 25,524 (0) 22 (25,547) 0 Total non-current assets 75,595 57,358 48,432 (94,933) 86,452 Current receivables from subsidiaries 2,379 6,529 13,215 (22,123) 0 Other current assets 13,082 927 4,780 (288) 18,501 Cash and cash equivalents 6,287 27 1,242 0 7,556 Total current assets 21,747 7,483 19,237 (22,411) 26,056 Total assets 97,342 64,841 67,668 (117,343) 112,508 EQUITY AND LIABILITIES Total equity 42,970 26,706 42,838 (69,524) 42,990 Non-current liabilities to subsidiaries 20 13,847 11,679 (25,547) (0) Other non-current liabilities 28,416 17,033 7,536 (71) 52,914 Total non-current liabilities 28,436 30,880 19,216 (25,618) 52,914 Other current liabilities 6,955 6,511 3,216 (78) 16,605 Current liabilities to subsidiaries 18,981 744 2,398 (22,123) (0) Total current liabilities 25,936 7,256 5,614 (22,201) 16,605 Total liabilities 54,372 38,135 24,830 (47,819) 69,519 Total equity and liabilities 97,342 64,841 67,668 (117,343) 112,508 CONDENSED CONSOLIDATED CASH FLOW STATEMENT Equinor ASA Equinor Energy AS Non-guarantor subsidiaries Consolidation adjustments The Equinor group Full year 2019 (in USD million) Cash flows provided by/(used in) operating activities 1,728 8,433 6,389 (2,802) 13,749 Cash flows provided by/(used in) investing activities 734 (8,258) (5,418) 2,347 (10,594) Cash flows provided by/(used in) financing activities (5,465) (186) (300) 455 (5,496) Net increase/(decrease) in cash and cash equivalents (3,002) (11) 672 0 (2,341) Effect of exchange rate changes on cash and cash equivalents (13) (1) (24) 0 (38) Cash and cash equivalents at the beginning of the period (net of overdraft) 6,287 27 1,242 0 7,556 Cash and cash equivalents at the end of the period (net of overdraft) 3,272 15 1,890 0 5,177 Equinor ASA Equinor Energy AS Non-guarantor subsidiaries Consolidation adjustments The Equinor group Full year 2018 (in USD million) Cash flows provided by/(used in) operating activities 4,565 12,421 7,224 (4,516) 19,694 Cash flows provided by/(used in) investing activities 1,046 (8,281) (6,649) 2,672 (11,212) Cash flows provided by/(used in) financing activities (2,840) (4,140) 112 1,844 (5,024) Net increase/(decrease) in cash and cash equivalents 2,771 0 687 0 3,458 Effect of exchange rate changes on cash and cash equivalents (243) 0 (49) 0 (292) Cash and cash equivalents at the beginning of the period (net of overdraft) 3,759 27 603 0 4,390 Cash and cash equivalents at the end of the period (net of overdraft) 6,287 27 1,242 0 7,556 Equinor ASA Equinor Energy AS Non-guarantor subsidiaries Consolidation adjustments The Equinor group Full year 2017 (in USD million) Cash flows provided by/(used in) operating activities 339 9,506 5,242 (286) 14,802 Cash flows provided by/(used in) investing activities 3,227 (9,070) (4,718) 444 (10,117) Cash flows provided by/(used in) financing activities (4,459) (478) (727) (158) (5,822) Net increase/(decrease) in cash and cash equivalents (892) (42) (203) 0 (1,137) Effect of exchange rate changes on cash and cash equivalents 377 23 36 0 436 Cash and cash equivalents at the beginning of the period (net of overdraft) 4,274 46 770 0 5,090 Cash and cash equivalents at the end of the period (net of overdraft) 3,759 27 603 0 4,390 |
Significant accounting polici_2
Significant accounting policies (Policies) | 12 Months Ended |
Dec. 31, 2019 | |
Significant accounting policies [Abstract] | |
Statement of compliance [text block] | Statement of compliance The Consolidated financial statements of Equinor ASA and its subsidiaries ( Equinor ) have been prepared in accordance with International Financial Reporting Standards (IFRSs) as adopted by the European Union (EU) and with IFRSs as issued by the International Accounting Standards Board (IASB), effective at 31 December 2019. |
Basis of preparation [text block] | Basis of pr eparation The financial statements are prepared on the historical cost basis with some exceptions, as detailed in the accounting policies set out below. The policies described in this note are , unless otherwise noted, in effect at the balance sheet date . T hese policies have been applied consistently to all periods presented in these Consolidated financial statements, except as otherwise noted in disclosure related to the impact of policy changes following the adoption of new accounting standards and volunt ary changes in 2019, and the adoption of IFRS 15 Revenue from Contracts with Customers and IFRS 9 Financial Instruments in 2018. Certain amounts in the comparable years have been restated to conform to current year presentation. The subtotals and totals in some of the tables in the notes may not equal the sum of the amounts shown in the primary financial statements due to rounding. Operating related expenses in the Consolidated statement of income are presented as a combination of function and nature in conformity with industry practice. Purchases [net of inventory variation] and Depreciation, amortisation and net impairment losses are presented in separate lines based on their nature, while Operating expenses and Selling, general and administrative expen ses as well as Exploration expenses are presented on a functional basis. Significant expenses such as salaries, pensions, etc. are presented by their nature in the notes to the Consolidated financial statements. |
Changes in significant accounting policies in the current period [text block] | Changes in significant accounting polici es in the current period IFRS 16 Leases With effect from 1 January 2019, Equinor implemented IFRS 16. Reference is made to Note 22 Leases and Note 23 Implementation of IFRS 16 Leases for further information about the standard, the policy and implementati on choices made by Equinor , and the IFRS 16 implementation impact. Other standard amendments and interpretations of standards Other standard amendments or interpretations of standards effective as of 1 January 2019 and adopted by Equinor , were not materi al to Equinor’s Consolidated financial statements upon adoption . Voluntary change in accounting policy (sales method) With effect from 1 January 2019, Equinor change d the accounting policy for recognising revenue from the production of oil and gas properties in which Equinor shares an interest with other companies. Instead of recognising revenue based on Equinor’s ownership in producing fields, Equinor now recognises revenue on the basis of volumes lifted and sold to customers during the period (the sales method). This policy change was made due to the agenda decision in the IFRS Interpretations Committee (IFRIC) on the topic “Sale of output by a joint operator (IFRS 11)”, which was finalised in March 2019. The impact of this change on Equinor’s financial statements was not material. Standards, amendments to standards, and interpretations of standards, issued but not yet adopted At the date of these Consolidated financial statements, the following standar ds, amendments to standards and interpretations of standards applicable to Equinor have been issued, but were not yet effective. IFRS 3 Business Combinations amendments The amendments to IFRS 3, issued in October 2018 and effective from 1 January 2020, i ntroduce clarification to the definition of a business. The amendments also establish an optional test to identify a concentration of fair value that, if applied and met, would lead to the conclusion that an acquired set of activities and assets is not a b usiness. The amendments are to be applied for relevant transactions that occur on or after the implementation date, and Equinor will implement the amendments accordingly. |
Standards and amendments to standards, issued but not yet adopted | Other standards, amendments to standards and interpretations of standards Other st andards, amendments to standards, and interpretations of standards, issued but not yet effective, are either not expected to materially impact Equinor’s Consolidated financial statements, or are not expected to be relevant to Equinor's Consolidated financi al statements upon adoption. |
Basis of consolidation [text block] | Basis of consolidation The Consolidated financial statements include the accounts of Equinor ASA and its subsidiaries and include Equinor’s interest in jointly controlled and equity accounted investments. |
Subsidiaries [text block] | Subsidiaries Entities are determined to be controlled by Equinor , and consolidated in Equinor's financial statements, when Equinor has power over the entity, ability to use that power to affect the entity's returns, and exposure to, or rights to, variable returns from its involvement with the entity. All intercompany balances and transactions, including unrealised profits and losses arising from Equinor's internal transactions, have been eliminated . Non-controlling interests are presented separately within equity in the balance sheet |
Joint operations and similar arrangements, joint ventures and associates [text block] | Joint operations and similar arrangements, joint ventures and associates A joint arrangement is present where Equinor holds a long-term interest which is jointly controlled by Equinor and one or more other venturers u nder a contractual arrangement in which decisions about the relevant activities require the unanimous consent of the parties sharing control. Such joint arrangements are classified as either joint operations or joint ventures. The parties to a joint ope ration have rights to the assets and obligations for the liabilities, relating to their respective share of the joint arrangement. In determining whether the terms of contractual arrangements and other facts and circumstances lead to a classification as jo int operations, Equinor considers the nature of products and markets of the arrangements and whether the substance of their agreements is that the parties involved have rights to substantially all the arrangement's assets. Equinor accounts for its share of assets, liabilities, revenues and expenses in joint operations in accordance with the principles applicable to those particular assets, liabilities, revenues and expenses. Acquisition of ownership shares in joint operations in which the activity constit utes a business, are accounted for in accordance with the requirements applicable to business combinations. Those of Equinor's exploration and production licence activities that are within the scope of IFRS 11 Joint Arrangements have been classified as j oint operations. A considerable number of Equinor's unincorporated joint exploration and production activities are conducted through arrangements that are not jointly controlled, either because unanimous consent is not required among all parties involved, or no single group of parties has joint control over the activity. Licence activities where control can be achieved through agreement between more than one combination of involved parties are considered to be outside the scope of IFRS 11, and these activit ies are accounted for on a pro-rata basis using Equinor's ownership share. Currently there are no significant differences in Equinor's accounting for unincorporated licence arrangements whether in scope of IFRS 11 or not. Joint ventures, in which Equino r has rights to the net assets, are accounted for using the equity method. These currently include the majority of Equinor’s investments in the New Energy Solutions (NES) area, presented within the reportable segment ‘Other’. Investments in companies in which Equinor has neither control nor joint control, but has the ability to exercise significant influence over operating and financial policies, as well as Equinor’s participation in joint arrangements that are joint ventures, are classified as Equity acc ounted investments. Under the equity method, the investment is carried on the balance sheet at cost plus post-acquisition changes in Equinor’s share of net assets of the entity, less distributions received and less any impairment in value of the investment . The part of an equity accounted investment’s dividend distribution exceeding the entity’s carrying amount in the consolidated balance sheet is reflected as income from equity accounted investments in the Consolidated statement of income. Equinor will subsequently only reflect the share of net profit in the investment that exceeds the dividend already reflected as income. Goodwill may arise as the surplus of the cost of investment over Equinor’s share of the net fair value of the identifiable assets and liabilities of the joint venture or associate. Such goodwill is recorded within the corresponding investment. The Consolidated statement of income reflects Equinor’s share of the results after tax of an equity-accounted entity, adjusted to account for depreciation, amortisation and any impairment of the equity-accounted entity’s assets based on their fair values at the date of acquisition. Where material differences in accounting policies arise, ad justments are made to the financial statements of equity-accounted entities in order to bring the accounting policies applied into line with Equinor’s . Material unrealised gains on transactions between Equinor and its equity-accounted entities are eliminat ed to the extent of Equinor’s interest in each equity-accounted entity. Unrealised losses are also eliminated unless the transaction provides evidence of an impairment of the asset transferred. Equinor assesses investments in equity-accounted entities for impairment whenever events or changes in circumstances indicate that the carrying value may not be recoverable. Equinor as operator of joint operations and similar arrangements Indirect operating expenses such as personnel expenses are accumulated in c ost pools. These costs are allocated on an hours’ incurred basis to business areas and Equinor operated joint operations under IFRS 11 and to similar arrangements ( licences ) outside the scope of IFRS 11. Costs allocated to the other partners' share of oper ated joint operations and similar arrangements reduce the costs in the Consolidated statement of income. Only Equinor's share of the statement of income and balance sheet items related to Equinor operated joint operations and similar arrangements are refle cted in the Consolidated statement of income and the Consolidated balance sheet. The accounting for lease contracts in joint operations or similar arrangements is described in further detail in Note 23 Implementation of IFRS 16 Leases, in the ‘Distinguishi ng operators and joint operators as lessees, including sublease considerations’ section, and depends on whether or not Equinor or all partners equally have the primary responsibility for the lease payments. |
Reportable segments [text block] | Reportable segments Equinor identifies its operating segments ( business areas ) on the basis of those components of Equinor that are regularly reviewed by the chief operating decision maker, Equinor's corporate executive committee (CEC). Equinor combines business areas when these sat isfy relevant aggregation criteria. Equinor's accounting policies as described in this note also apply to the specific financial information included in reportable segments-related disclosure in these Consolidated financial statements, with the exceptio n of IFRS 16 Leases. Note 3 Segments includes further information about lease accounting in the reportable segments. |
Foreign currency translation [text block] | Foreign currency translation In preparing the financial statements of the individual entities, transactions in foreign currencies (those o ther than functional currency) are translated at the foreign exchange rate at the dates of the transactions. Monetary assets and liabilities denominated in foreign currencies are translated to the functional currency at the foreign exchange rate at the bal ance sheet date. Foreign exchange differences arising on translation are recognised in the Consolidated statement of income as foreign exchange gains or losses within net financial items. Foreign exchange differences arising from the translation of estimat e-based provisions, however, generally are accounted for as part of the change in the underlying estimate and as such may be included within the relevant operating expense or income tax sections of the Consolidated statement of income depending on the natu re of the provision. Non-monetary assets that are measured at historical cost in a foreign currency are translated using the exchange rate at the date of the transactions. Loans from Equinor ASA to subsidiaries with other functional currencies than the par ent company, and for which settlement is neither planned nor likely in the foreseeable future, are considered part of the parent company’s net investment in the subsidiary. Foreign exchange differences arising on such loans are recognised in Other comprehe nsive income (OCI) in the Consolidated financial statements. |
Presentation currency [text block] | Presentation currency For the purpose of preparing the Consolidated financial statements, the statement of income, the balance sheet and the cash flows of each entity are translated from the f unctional currency into the presentation currency, USD. The assets and liabilities of entities whose functional currencies are other than USD, are translated into USD at the foreign exchange rate at the balance sheet date. The revenues and expenses of such entities are translated using the foreign exchange rates on the dates of the transactions. Foreign exchange differences arising on translation from functional currency to presentation currency are recognised separately in OCI. The cumulative amount of suc h translation differences relating to an entity and previously recognised in OCI, is reclassified to the Consolidated statement of income and reflected as a part of the gain or loss on disposal of that entity. |
Business combinations [text block] | Business combinations Business combinations, except for transactions between entities under common control, are accounted for using the acquisition method of accounting. The acquired identifiable tangible and intangible assets, liabilities and contingent liabilities are measured at thei r fair values at the date of the acquisition. Acquisition costs incurred are expensed under Selling, general and administrative expenses. |
Revenue recognition [text block] | Revenue recognition Equinor presents ‘Revenue from contracts with customers’ and ‘Other revenue’ as a single capti on, Revenues, in the Consolidated statement of income. Revenue from contracts with customers Revenue from contracts with customers is recognised upon satisfaction of the performance obligations for the transfer of goods and services in each such contract. The revenue amounts that are recognised reflect the consideration to which Equinor expects to be entitled in exchange for those goods and services. Revenue from the sale of crude oil, natural gas, petroleum products and other merchandise is recognised whe n a customer obtains control of those products, which normally is when title passes at point of delivery, based on the contractual terms of the agreements. Each such sale normally represents a single performance obligation. In the case of natural gas, sale s are completed over time in line with the delivery of the actual physical quantities. Sales and purchases of physical commodities, when they are not settled net due to being deemed financial instruments or part of separate trading strategies, are presented on a gross basis as revenues from contracts with customers and purchases [net of inventory variation] in the statement of income. Sales of Equinor’s own produced oil and gas volumes are always reflected gross as revenue from contracts with custom ers. Revenues from the production of oil and gas properties in which Equinor shares an interest with other companies are recognized on the basis of volumes lifted and sold to customers during the period (the sales method). Where Equinor has lifted and sol d more than the ownership interest, an accrual is recognized for the cost of the overlift . Where Equinor has lifted and sold less than the ownership interest, costs are deferred for the underlift . Revenue is presented net of customs, excise taxes and roya lties paid in-kind on petroleum products. Other revenue Items representing a form of revenue, or which are closely connected with revenue from contracts with customers, are presented as o ther revenue if they do not qualify as revenue from contracts with c ustomers. These other revenue items include taxes paid in-kind under certain production sharing agreements (PSAs) and the net impact of commodity trading and commodity-based derivative instruments connected with sales contracts or revenue-related risk mana gement. Revenue from contracts with customers and Other revenue are presented as a single caption, Revenues, in the Consolidated statement of income . |
Transactions with the Norwegian State [text block] | Transactions with the Norwegian State Equinor markets and sells the Norwegian State's share of oil and gas production from the Norwegian continental shelf (NCS). The Norwegian State's participation in petroleum activities is organised through the SDFI. All purchases and sales of the SDFI's oil production are classified as purchases [net of inventory var iation] and revenues from contracts with customers, respectively. Equinor sells, in its own name, but for the Norwegian State's account and risk, the State's production of natural gas. These sales and related expenditures refunded by the Norwegian State ar e presented net in the Consolidated financial statements. Natural gas sales made in the name of Equinor subsidiaries are also presented net of the SDFI’s share in the Consolidated statement of income, but this activity is reflected gross in the Consolidate d balance sheet. |
Employee benefits [text block] | Employee benefits Wages, salaries, bonuses, social security contributions, paid annual leave and sick leave are accrued in the period in which the associated services are rendered by employees of Equinor . |
Research and development [text block] | Research and development Equi nor undertakes research and development both on a funded basis for licence holders and on an unfunded basis for projects at its own risk. Equinor's own share of the licence holders' funding and the total costs of the unfunded projects are considered for ca pitalisation under the applicable IFRS requirements. Subsequent to initial recognition, any capitalised development costs are reported at cost less accumulated amortisation and accumulated impairment losses. |
Income tax [text block] | Income tax Income tax in the Consolidated sta tement of income comprises current and deferred tax expense. Income tax is recognised in the Consolidated statement of income except when it relates to items recognised in OCI. Current tax consists of the expected tax payable on the taxable income for t he year and any adjustment to tax payable for previous years. Uncertain tax positions and potential tax exposures are analysed individually, and the most likely amount for probable liabilities to be paid (unpaid potential tax exposure amounts, including pe nalties) and for assets to be received (disputed tax positions for which payment has already been made) in each case is recognised within current tax or deferred tax as appropriate. Interest income and interest expenses relating to tax issues are estimated and recognised in the period in which they are earned or incurred, and are presented within net financial items in the Consolidated statement of income. Uplift benefit on the NCS is recognised when the deduction is included in the current year tax return and impacts taxes payable. Deferred tax assets and liabilities are recognised for the future tax consequences attributable to differences between the carrying amounts of existing assets and liabilities and their respective tax bases , and on unused tax losses and credits carried forward, subject to the initial recognition exemption. The amount of deferred tax is based on the expected manner of realisation or settlement of the carrying amount of assets and liabilities, using tax rates e nacted or substantively enacted at the balance sheet date. A deferred tax asset is recognised only to the extent that it is probable that future taxable income will be available against which the asset can be utilised . In order for a deferred tax asset to be recognised based on future taxable income, convincing evidence is required, taking into account the existence of contracts, production of oil or gas in the near future based on volumes of proved reserves, observable prices in active markets, expected vo latility of trading profits, expected currency rate movements and similar facts and circumstances. When an asset retirement obligation or a lease contract is initially reflected in the accounts, a deferred tax liability and a corresponding deferred tax ass et are recognized simultaneously and accounted for in line with other deferred tax items. |
Oil and gas exploration, evaluation and development expenditures [text block] | Oil and gas exploration, evaluation and development expenditures Equinor uses the successful efforts method of accounting for oil and gas exploration costs. Expendi tures to acquire mineral interests in oil and gas properties and to drill and equip exploratory wells are capitalised as exploration and evaluation expenditures within intangible assets until the well is complete and the results have been evaluated, or the re is any other indicator of a potential impairment. Exploration wells that discover potentially economic quantities of oil and natural gas remain capitalised as intangible assets during the evaluation phase of the discovery . This evaluation is normally fi nalised within one year after well completion. If, following the evaluation, the exploratory well has not found potentially commercial quantities of hydrocarbons, the previously capitalised costs are evaluated for derecognition or tested for impairment. Ge ological and geophysical costs and other exploration and evaluation expenditures are expensed as incurred. Capitalised exploration and evaluation expenditures, including expenditures to acquire mineral interests in oil and gas properties, related to off shore wells that find proved reserves are transferred from exploration expenditures and acquisition costs - oil and gas prospects (intangible assets) to property, plant and equipment at the time of sanctioning of the development project. For onshore wells where no sanction is required, the transfer of acquisition cost – oil and gas prospects (intangible assets) to property, plant and equipment occurs at the time when a well is ready for production. For exploration and evaluation asset acquisitions (farm- in arrangements) in which Equinor has made arrangements to fund a portion of the selling partner's exploration and/or future development expenditures (carried interests), these expenditures are reflected in the Consolidated financial statements as and when the exploration and development work progresses. Equinor reflects exploration and evaluation asset dispositions (farm-out arrangements) on a historical cost basis with no gain or loss recognition. A gain related to a post-tax based disposition of asset s on the NCS includes the release of tax liabilities previously computed and recognised related to the assets in question. The resulting gross gain is recognised in full in other income in the Consolidated statement of income. Consideration from the sal e of an undeveloped part of an onshore asset reduces the carrying amount of the asset. The part of the consideration that exceeds the carrying amount of the asset, if any, is reflected in the Consolidated statement of income under other income. Exchanges (swaps) of exploration and evaluation assets are accounted for at the carrying amounts of the assets given up with no gain or loss recognition. |
Property, plant and equipment [text block] | Property, plant and equipment Property, plant and equipment is reflected at cost, less accumulated depreciation and accumulated impairment losses. The initial cost of an asset comprises its purchase price or construction cost, any costs directly attributable to bringing the asset into operation, the initial estimate of an asset retirement obligation, if any, exploration costs transferred from intangible assets and, for qualifying assets, borrowing costs. Contingent consideration included in the acquisition of an asset or group of simila r assets is initially measured at its fair value, with later changes in fair value other than due to the passage of time reflected in the book value of the asset or group of assets, unless the asset is impaired. Property, plant and equipment include costs relating to expenditures incurred under the terms of PSAs in certain countries, and which qualify for recognition as assets of Equinor . State-owned entities in the respective countries, however, normally hold the legal title to such PSA-based property, pla nt and equipment. Exchanges of assets are measured at fair value , primarily of the asset given up, unless the fair value of neither the asset received nor the asset given up is measurable with sufficient reliability. Expenditure on major maintenance r efits or repairs comprises the cost of replacement assets or parts of assets, inspection costs and overhaul costs. Where an asset or part of an asset is replaced and it is probable that future economic benefits associated with the item will flow to Equinor , the expenditure is capitalised . Inspection and overhaul costs, associated with regularly scheduled major maintenance programmes planned and carried out at recurring intervals exceeding one year, are capitalised and amortised over the period to the next s cheduled inspection and overhaul. All other maintenance costs are expensed as incurred. Capitalised exploration and evaluation expenditures, development expenditure on the construction, installation or completion of infrastructure facilities such as pla tforms, pipelines and the drilling of production wells, and field-dedicated transport systems for oil and gas are capitalised as producing oil and gas properties within property, plant and equipment. Such capitalised costs, when designed for significantly larger volumes than the reserves from already developed and producing wells, are depreciated using the unit of production method based on proved reserves expected to be recovered from the area during the concession or contract period. Depreciation of produ ction wells uses the unit of production method based on proved developed reserves, and capitalised acquisition costs of proved properties are depreciated using the unit of production method based on total proved reserves. In the rare circumstances where th e use of proved reserves fails to provide an appropriate basis reflecting the pattern in which the asset’s future economic benefits are expected to be consumed, a more appropriate reserve estimate is used. Depreciation of other assets and transport systems used by several fields is calculated on the basis of their estimated useful lives, normally using the straight-line method. Each part of an item of property, plant and equipment with a cost that is significant in relation to the total cost of the item is depreciated separately. For exploration and production assets, Equinor has established separate depreciation categories which as a minimum distinguish between platforms, pipelines and wells. The estimated useful lives of property, plant and equipment are reviewed on an annual basis, and changes in useful lives are accounted for prospectively. An item of property, plant and equipment is de- recognised upon disposal or when no future economic ben efits are expected to arise from the continued use of the asset. Any gain or loss arising on derecognition of the asset (calculated as the difference between the net disposal proceeds and the carrying amount of the item) is included in other income or oper ating expenses, respectively, in the period the item is de- recognised . |
Assets classified as held for sale [text block] | Assets classified as held for sale Non-current assets are classified separately as held for sale in the balance sheet when their carrying amount will be recovered through a sale tran saction rather than through continuing use. This condition is met only when the sale is highly probable, which is when the asset is available for immediate sale in its present condition, and management is committed to the sale, which should be expected to qualify for recognition as a completed sale within one year from the date of classification. Liabilities directly associated with the assets classified as held for sale, and expected to be included as part of the sale transaction, are correspondingly also classified separately. Once classified as held for sale, property, plant and equipment and intangible assets are not subject to depreciation or amortisation . The net assets and liabilities of a disposal group classified as held for sale are measured at the lower of their carrying amount and fair value less costs to sell. |
Leases [text block] | Leases Following the implementation of IFRS 16 Leases on 1 January 2019, the accounting policies for lease accounting in Equinor have changed. Relevant accounting policies applied throug h out 2019, including policy choices made, are described in Note 23 Implementation of IFRS 16 Leases. |
Intangible assets including goodwill [text block] | Intangible assets including goodwill Intangible assets are stated at cost, less accumulated amortisation and accumulated impairment losses. Intangible assets include acquisition cost for oil and gas prospects, expenditures on the exploration for and evaluation of oil and natural gas resources, goodwill and other intangible assets. Intangible assets relating to expenditures on the exploration for and e valuation of oil and natural gas resources are not amortised . When the decision to develop a particular area is made, its intangible exploration and evaluation assets are reclassified to property, plant and equipment. Goodwill is initially measured at t he excess of the aggregate of the consideration transferred and the amount recognised for any non-controlling interest over the fair value of the identifiable assets acquired and liabilities assumed in a business combination at the acquisition date. Goodwi ll acquired is allocated to each cash generating unit (CGU), or group of units, expected to benefit from the combination’s synergies. Following initial recognition, goodwill is measured at cost less any accumulated impairment losses. In acquisitions made o n a post-tax basis according to the rules on the NCS, a provision for deferred tax is reflected in the accounts based on the difference between the acquisition cost and the transferred tax depreciation basis. The offsetting entry to such deferred tax amoun ts is reflected as goodwill, which is allocated to the CGU or group of CGUs on whose tax depreciation basis the deferred tax has been computed. |
Financial assets [text block] | Financial assets Financial assets are initially recognised at fair value when Equinor becomes a party to the contractual provisions of the asset. For additional information on fair value methods, refer to the Measurement of fair values section below. The subsequent measurement of the financial assets depends on which category they have been classified into at inc eption. At initial recognition, Equinor classifies its financial assets into the following three categories: Financial investments at amortised cost, at fair value through profit or loss, and at fair value through other comprehensive income based on an evaluation of the contractual terms and the business model applied. Certain long-term investments in other entities, which do not qualify for the equity method or consolidation, are included as at fair value through profit or loss. Cash and cash equivalents includ e cash in hand, current balances with banks and similar institutions, and short-term highly liquid investments that are readily convertible to known amounts of cash, are subject to an insignificant risk of changes in fair value and have a maturity of three months or less from the acquisition date. Short-term highly liquid investments with original maturity exceeding 3 months are classified as current financial investments. Cash and cash equivalents and current financial investment are accounted for at amort ised cost or at fair value through profit or loss. Trade receivables are carried at the original invoice amount less a provision for doubtful receivables which represent expected losses computed on a probability-weighted basis. Equinor’s financial asset impairment losses are measured and recognised based on expected losses. A part of Equinor's financial investments is managed together as an investment portfolio of Equinor's captive insurance company and is held in order to com ply with specific regulations for capital retention. The investment portfolio is managed and evaluated on a fair value basis in accordance with an investment strategy and is accounted for at fair value through profit or loss. Financial assets are presen ted as current if they contractually will expire or otherwise are expected to be recovered within 12 months after the balance sheet date, or if they are held for the purpose of being traded. Financial assets and financial liabilities are shown separately i n the Consolidated balance sheet, unless Equinor has both a legal right and a demonstrable intention to net settle certain balances payable to and receivable from the same counterparty, in which case they are shown net in the balance sheet. Financial ass ets are de- recognised when assets are sold or the contractual rights expire, are redeemed , or cancelled. Gains and losses arising on the sale, settlement or cancellation of financial assets are recognised either in interest income and other financial items or in interest and other finance expenses within N et financial items. |
Inventories [text block] | Inventories Commodity inventories are stated at the lower of cost and net realisable value. Cost is determined by the first-in first-out method and comprises direct purchase costs, cos t of production, transportation and manufacturing expenses. Inventories of drilling and spare parts are reflected according to the weighted average method. |
Impairment [text block] | Impairment Impairment of property, plant and equipment and intangible assets other than goodwill Equinor assesses individual assets or groups of assets for impairment whenever events or changes in circumstances indicate that the carrying value of an asset may not be recoverable. Assets are grouped into cash generating units (CGUs) which are the small est identifiable groups of assets that generate cash inflows that are largely independent of the cash inflows from other groups of assets. Normally, separate CGUs are individual oil and gas fields or plants. Each unconventional asset play is considered a s ingle CGU when no cash inflows from parts of the play can be reliably identified as being largely independent of the cash inflows from other parts of the play. In impairment evaluations, the carrying amounts of CGUs are determined on a basis consistent wit h that of the recoverable amount. In Equinor's line of business, judgement is involved in determining what constitutes a CGU. Development in production, infrastructure solutions, markets, product pricing, management actions and other factors may over time lead to changes in CGUs such as the division of one original CGU into several. In assessing whether a write-down of the carrying amount of a potentially impaired asset is required, the asset's carrying amount is compared to the recoverable amount. The recoverable amount of an asset is the higher of its fair value less cost of disposa l and its value in use. Fair value less cost of disposal is determined based on comparable recent arm’s length market transactions, or based on Equinor’s estimate of the price that would be received for the asset in an orderly transaction between market pa rticipants. Such fair value estimates are mainly based on discounted cash flow models, using assumed market participants’ assumptions, but may also reflect market multiples observed from comparable market transactions or independent third-party valuations. Value in use is determined using a discounted cash flow model. The estimated future cash flows applied in establishing value in use are based on reasonable and supportable assumptions and represent management's best estimates of the range of economic cond itions that will exist over the remaining useful life of the assets, as set down in Equinor's most recently approved long-term forecasts. Updates of assumptions and economic conditions in establishing the long-term forecasts are reviewed by management on r egular basis and updated at least annually. For assets and CGUs with an expected useful life or timeline for production of expected oil and natural gas reserves extending beyond 5 years, including planned onshore production from shale assets with a long de velopment and production horizon, the forecasts reflect expected production volumes, and the related cash flows include project or asset specific estimates reflecting the relevant period. Such estimates are established based on Equinor's principles and ass umptions and are consistently applied. In performing a value-in-use-based impairment test, the estimated future cash flows are adjusted for risks specific to the asset and discounted using a real post-tax discount rate which is based on Equinor's post-t ax weighted average cost of capital (WACC). The use of post-tax discount rates in determining value in use does not result in a materially different determination of the need for, or the amount of, impairment that would be required if pre-tax discount rate s had been used. Unproved oil and gas properties are assessed for impairment when facts and circumstances suggest that the carrying amount of the asset or CGU to which the unproved properties belong may exceed its recoverable amount, and at least once a year. Exploratory wells that have found reserves, but where classification of those reserves as proved depends on whether major capital expenditure can be justified or where the economic viability of that major capital expenditure depends on the successfu l completion of further exploration work, will remain capitalised during the evaluation phase for the exploratory finds. Thereafter it will be considered a trigger for impairment evaluation of the well if no development decision is planned for in the near future and there are no firm plans for future drilling in the licence . An assessment is made at each reporting date as to whether there is any indication that previously recognised impairment losses may no longer be relevant or may have decreased. If su ch an indication exists, the recoverable amount is estimated. A previously recognised impairment loss is reversed only if there has been a change in the estimates used to determine the asset’s recoverable amount since the last impairment loss was recognise d . If that is the case, the carrying amount of the asset is increased to its recoverable amount. That increased amount cannot exceed the carrying amount that would have been determined, net of depreciation, had no impairment loss been recognised for the as set in prior years. Impairment losses and reversals of impairment losses are presented in the Consolidated statement of income as Exploration expenses or Depreciation, amortisation and net impairment losses, on the basis of their nature as either exploration assets (intangibl e exploration assets) or development and producing assets (property, plant and equipment and other intangible assets), respectively. |
Impairment of goodwill [text block] | Impairment of goodwill Goodwill is reviewed for impairment annually or more frequently if events or changes in circumsta nces indicate that the carrying value may be impaired. Impairment is determined by assessing the recoverable amount of the CGU, or group of units, to which the goodwill relates. Where the recoverable amount of the CGU, or group of units, is less than the c arrying amount, an impairment loss is recognised . When impairment testing goodwill originally recognised as an offsetting item to the computed deferred tax provision in a post-tax transaction on the NCS, the remaining amount of the deferred tax provision w ill factor into the impairment evaluations. Once recognised , impairments of goodwill are not reversed in future periods. |
Financial liabilities [text block] | Financial liabilities Financial liabilities are initially recognised at fair value when Equinor becomes a party to the contractual p rovisions of the liability. The subsequent measurement of financial liabilities depends on which category they have been classified into. The categories applicable for Equinor are either financial liabilities at fair value through profit or loss or financi al liabilities measured at amortised cost using the effective interest method. The latter applies to Equinor's non-current bank loans and bonds. Financial liabilities are presented as current if the liability is due to be settled within 12 months after the balance sheet date, or if they are held for the purpose of being traded. Financial liabilities are de- recognised when the contractual obligations expire, are discharged or cancelled. Gains and losses arising on the repurchase, settlement or cancellatio n of liabilities are recognised either in interest income and other financial items or in interest and other finance expenses within net financial items. |
Share buyback policy [Text Block] | Share buy-backs Where Equinor has either acquired own shares under a share buy-back programme , or has placed an irrevocable order with a third party for Equinor shares to be acquired in the market, such shares are reflected as a reduction in equity as treasury shares. The remaining outstanding part of an irrevocable order to acquire shares is accrued f or and classified as Trade, other payables and provisions. |
Derivative financial instruments [text block] | Derivative financial instruments Equinor uses derivative financial instruments to manage certain exposures to fluctuations in foreign currency exchange rates, interest rates and commodity prices. Such derivative financial instruments are initially recognised at fair value on the date on which a derivative contract is entered into and are subsequently re-measured at fair value through profit and loss. The impact of commodity-based derivative financial instruments is recognised in the Consolidated statement of income under other revenues, as such d erivative instruments are related to sales contracts or revenue-related risk management for all significant purposes. The impact of other derivative financial instruments is reflected under net financial items. Derivatives are carried as assets when the fair value is positive and as liabilities when the fair value is negative. Derivative assets or liabilities expected to be recovered, or with the legal right to be settled more than 12 months after the balance sheet date, are classified as non-current. De rivative financial instruments held for the purpose of being traded are however always classified as short term. Contracts to buy or sell a non-financial item that can be settled net in cash or another financial instrument, or by exchanging financial in struments, as if the contracts were financial instruments, are accounted for as financial instruments. However, contracts that are entered into and continue to be held for the purpose of the receipt or delivery of a non-financial item in accordance with Eq uinor's expected purchase, sale or usage requirements, also referred to as own-use, are not accounted for as financial instruments. Such sales and purchases of physical commodity volumes are reflected in the statement of income as revenue from contracts wi th customers and purchases [net of inventory variation], respectively. This is applicable to a significant number of contracts for the purchase or sale of crude oil and natural gas, which are recognised upon delivery. For contracts to sell a non-financia l item that can be settled net in cash, but which ultimately are physically settled despite not qualifying as own-use prior to settlement, the changes in fair value prior to settlement is included in gain/(loss) on commodity derivatives. The resulting impa ct upon physical settlement is shown separately and included in other revenues. Actual physical deliveries made by Equinor through such contracts are included in revenue from contracts with customers at contract price. Derivatives embedded in host contr acts which are not financial assets within the scope of IFRS 9 are recognised as separate derivatives and are reflected at fair value with subsequent changes through profit and loss, when their risks and economic characteristics are not closely related to those of the host contracts, and the host contracts are not carried at fair value. Where there is an active market for a commodity or other non-financial item referenced in a purchase or sale contract, a pricing formula will, for instance, be considered to be closely related to the host purchase or sales contract if the price formula is based on the active market in question. A price formula with indexation to other markets or products will however result in the recognition of a separate derivative. Where t here is no active market for the commodity or other non-financial item in question, Equinor assesses the characteristics of such a price related embedded derivative to be closely related to the host contract if the price formula is based on relevant indexa tions commonly used by other market participants. This applies to certain long-term natural gas sales agreements. |
Pension Liabilities [text block] | Pension liabilities Equinor has pension plans for employees that either provide a defined pension benefit upon retirement or a pension depen dent on defined contributions and related returns. A portion of the contributions are provided for as notional contributions, for which the liability increases with a promised notional return, set equal to the actual return of assets invested through the o rdinary defined contribution plan. For defined benefit plans, the benefit to be received by employees generally depends on many factors including length of service, retirement date and future salary levels. Equinor's proportionate share of multi-employe r defined benefit plans are recognised as liabilities in the balance sheet to the extent that sufficient information is available and a reliable estimate of the obligation can be made. Equinor's net obligation in respect of defined benefit pension plans is calculated separately for each plan by estimating the amount of future benefit that employees have earned in return for their services in the current and prior periods. That benefit is discount ed to determine its present value, and the fair value of any plan assets is deducted. The discount rate is the yield at the balance sheet date, reflecting the maturity dates approximating the terms of Equinor's obligations. The discount rate for the main p art of the pension obligations has been established on the basis of Norwegian mortgage covered bonds, which are considered high quality corporate bonds. The cost of pension benefit plans is expensed over the period that the employees render services and be come eligible to receive benefits. The calculation is performed by an external actuary. The net interest related to defined benefit plans is calculated by applying the discount rate to the opening present value of the benefit obligation and opening pres ent value of the plan assets, adjusted for material changes during the year. The resulting net interest element is presented in the statement of income within Net financial items. The difference between estimated interest income and actual return is recogn ised in the Consolidated statement of comprehensive income. Past service cost is recognised when a plan amendment (the introduction or withdrawal of, or changes to, a defined benefit plan) or curtailment (a significant reduction by the entity in the num ber of employees covered by a plan) occurs, or when recognising related restructuring costs or termination benefits. The obligation and related plan assets are re-measured using current actuarial assumptions, and the gain or loss is recognised in the state ment of income. Actuarial gains and losses are recognised in full in the Consolidated statement of comprehensive income in the period in which they occur, while actuarial gains and losses related to provision for termination benefits are recognised in t he Consolidated statement of income in the period in which they occur. Due to the parent company Equinor ASA's functional currency being USD, the significant part of Equinor's pension obligations will be payable in a foreign currency (i.e. NOK). As a conse quence, actuarial gains and losses related to the parent company's pension obligation include the impact of exchange rate fluctuations. Contributions to defined contribution schemes are recognised in the statement of income in the period in which the contribution amounts are earned by the employees. Notional contribution plans, reported in the parent company Equinor ASA, are recognised as pension liabilities with the actual value of the notional contributions and promised return at reporting date. Notional contributions are recognised in the statement of income as periodic pension cost, while changes in fair value of notional assets are reflected in the statement of income under Net financial ite ms. Periodic pension cost is accumulated in cost pools and allocated to business areas and Equinor operated joint operations ( licences ) on an hours’ incurred basis and recognised in the statement of income based on the function of the cost. |
Onerous contracts [text block] | Onerous co ntracts Equinor recognises as provisions the net obligation under contracts defined as onerous. Contracts are deemed to be onerous if the unavoidable cost of meeting the obligations under the contract exceeds the economic benefits expected to be received in relation to the contract. A contract which forms an integral part of the operations of a CGU whose assets are dedicated to that contract, and for which the economic benefits cannot be reliably separated from those of the CGU, is included in impairment c onsiderations for the applicable CGU. |
Asset retirement obligations (ARO) [text block] | Asset retirement obligations (ARO) Provisions for ARO costs are recognised when Equinor has an obligation (legal or constructive) to dismantle and remove a facility or an item of property, plant and equipment and to restore the site on which it is located, and when a reliable estimate of that liability can be made. The amount recognised is the present value of the estimated future expenditures determined in accordance with local conditions and requirements. Cost is e stimated based on current regulations and technology, considering relevant risks and uncertainties. The discount rate used in the calculation of the ARO is a risk-free rate based on the applicable currency and time horizon of the underlying cash flows, adj usted for a credit premium which reflects Equinor's own credit risk. Normally an obligation arises for a new facility, such as an oil and natural gas production or transportation facility, upon construction or installation. An obligation may also arise dur ing the period of operation of a facility through a change in legislation or through a decision to terminate operations, or be based on commitments associated with Equinor's ongoing use of pipeline transport systems where removal obligations rest with the volume shippers. The provisions are classified under provisions in the Consolidated balance sheet. When a provision for ARO cost is recognised , a corresponding amount is recognised to increase the related property, plant and equipment and is subsequentl y depreciated as part of the costs of the facility or item of property, plant and equipment. Any change in the present value of the estimated expenditure is reflected as an adjustment to the provision and the corresponding property, plant and equipment. Wh en a decrease in the ARO provision related to a producing asset exceeds the carrying amount of the asset, the excess is recognised as a reduction of depreciation, amortisation and net impairment losses in the Consolidated statement of income. When an asset has reached the end of its useful life, all subsequent changes to the ARO provision are recognised as they occur in operating expenses in the Consolidated statement of income. Removal provisions associated with Equinor's role as shipper of volumes through third party transport systems are expensed as incurred. |
Measurement of fair values [text block] | Measurement of fair values Quoted prices in active markets represent the best evidence of fair value and are used by Equinor in determining the fair values of assets and liabilities to the extent p ossible. Financial instruments quoted in active markets will typically include financial instruments with quoted market prices obtained from the relevant exchanges or clearing houses. The fair values of quoted financial assets, financial liabilities and de rivative instruments are determined by reference to mid-market prices, at the close of business on the balance sheet date. Where there is no active market, fair value is determined using valuation techniques. These include using recent arm's-length mark et transactions, reference to other instruments that are substantially the same, discounted cash flow analysis, and pricing models and related internal assumptions. In the valuation techniques, Equinor also takes into consideration the counterparty and its own credit risk. This is either reflected in the discount rate used or through direct adjustments to the calculated cash flows. Consequently, where Equinor reflects elements of long-term physical delivery commodity contracts at fair value, such fair value estimates to the extent possible are based on quoted forward prices in the market and underlying indexes in the contracts, as well as assumptions of forward prices and margins where observable market prices are not available. Similarly, the fair values of interest and currency swaps are estimated based on relevant quotes from active markets, quotes of comparable instruments, and other appropriate valuation techniques. |
Critical accounting judgements and key sources of estimation uncertainty | Critical accounting judgements and key sources of estimation uncertainty Critical judgements in applying accounting policies The following are the critical judgements, apart from those involving estimations (see below), that Equinor has made in the process of applying the accounting policies and that have the most significant effect on the amounts recognised in the financial statements: Revenue recognition - gross versus net presentation of traded SDFI volumes of oil and gas production As described under Transactions with the Norwegian State above, Equinor markets and sells the Norwegian State's share of oil and gas production from the NCS. Equinor includes the costs of purchase and proceeds from the sale of the SDFI oil production in purchases [net of inventory variation] and revenues from contracts with customers, respecti vely. In making the judgement, Equinor has considered whether it controls the State originated crude oil volumes prior to onwards sales to third party customers. Equinor directs the use of the volumes, and although certain benefits from the sales subsequen tly flow to the State, Equinor purchases the crude oil volumes from the State and obtains substantially all the remaining benefits. On that basis, Equinor has concluded that it acts as principal in these sales. Equinor sells, in its own name, but for the Norwegian State's account and risk, the State's production of natural gas. These gas sales, and related expenditures refunded by the State, are shown net in Equinor's Consolidated financial statements. In making the judgement, Equinor concluded that owner ship of the gas had not been transferred from the SDFI to Equinor . Although Equinor has been granted the ability to direct the use of the volumes, all the benefits from the sales of these volumes flow to the State. On that basis, Equinor is not considered the principal in the sale of the SDFI’s natural gas volumes. Distinguishing between operators and joint operations as lessees in the a pplication of IFRS 16 Leas es In implementing and applying IFRS 16 Leases, the matter of distinguishing between operators and joint operations as lessees, including sublease considerations, has been deemed critical . It involve s a considerable degree of judgement with significant impact for the lease-related amounts recognised as assets and liabilities. This matter and the judgements involved are discussed in Note 23 Implementation of IFRS 16 Leases. Acquisition accounting Determining whether an acquisition meets the definition of a business combination requires judgement to be applied on a case by case basis. Acquis itions are assessed under the relevant IFRS criteria to establish whether the transaction represents a business combination or an asset purchase, and the conclusion may materially affect the financial statements both in the transaction period and in terms of future periods’ operating income. Depending on the specific facts, acquisitions of exploration and evaluation licences for which a development decision has not yet been made, have largely been concluded to represent asset purchases. Equinor applies the acquisition method for transactions involving business combinations, and applies the requirements applicable to the acquisition method when an interest or an additional interest is acquired in a joint operation which constitutes a business. Application of the acquisition method for business combinations may in itself require significant judgement in applying accounting policies in, among other matters, determining and measuring the full transaction consideration including contingent consideration elements, identifying all tangible and intangible assets acquired as well as liabilities assumed, establishing their fair values, determining deferred tax elements, and allocating the purchase price accordingly, including measurement and allocation of goodwill. |
Key sources of estimation uncertainty [text block] | Ke y sources of estimation uncertainty The preparation of the Consolidated financial statements requires that management make estimates and assumptions that affect reported amounts of assets, liabilities, income and expenses. The estimates and associated ass umptions are based on historical experience and various other factors that are believed to be reasonable under the circumstances, the result of which form the basis of making the judgements about carrying values of assets and liabilities when these are not readily apparent from other sources. Actual results may differ from these estimates. The estimates and underlying assumptions are reviewed on an on-going basis considering the current and expected future market conditions. Equinor is exposed to a numbe r of underlying economic factors which affect the overall results, such as liquids prices, natural gas prices, refining margins, foreign exchange rates and interest rates as well as financial instruments with fair values derived from changes in these facto rs. In addition, Equinor's results are influenced by the level of production, which in the short term may be influenced by, for instance, maintenance programmes . In the long term, the results are impacted by the success of exploration and field development activities. The matters described below are considered to be the most important in understanding the key sources of estimation uncertainty that are involved in preparing these Consolidated financial statements and that have a significant risk of result ing in a material adjustment to the carrying amounts of assets and liabilities within the next financial year, and therefore may most significantly impact the amounts reported on the results of operations and the financial position. Proved oil and gas re serves Proved oil and gas reserves may materially impact the carrying amounts of producing oil and gas assets, particularly for assets in the later stages of their useful lives, as changes in the proved reserves, for instance as a result of changes in pri ces, will impact the unit of production rates used for depreciation and amortisation . Proved oil and gas reserves are those quantities of oil and gas, which, by analysis of geoscience and engineering data, can be estimated with reasonable certainty to be e conomically producible from a given date forward, from known reservoirs, and under existing economic conditions, operating methods and government regulations. Unless evidence indicates that renewal is reasonably certain, estimates of economically producibl e reserves only reflect the period before the contracts providing the right to operate expire. The project to extract the hydrocarbons must have commenced, or the operator must be reasonably certain that it will commence within a reasonable time. Proved reserves are divided into proved developed and proved undeveloped reserves. Proved developed reserves are to be recovered through existing wells with existing equipment and operating methods, or where the cost of the required equipment is relatively minor compared to the cost of a new well. Proved undeveloped reserves are to be recovered from new wells on undrilled acreage, or from existing wells where a relatively major capital expenditure is required for recompletion. Undrilled well locations can be clas sified as having proved undeveloped reserves if a development plan is in place indicating that they are scheduled to be drilled within five years, unless specific circumstances justify a longer time horizon. Specific circumstances are for instance fields w hich have large up-front investments in offshore infrastructure, such as many fields on the NCS, where drilling of wells is scheduled to continue for much longer than five years. For unconventional reservoirs where continued drilling of new wells is a majo r part of the investments, such as the US onshore assets, the proved reserves are always limited to proved well locations scheduled to be drilled within five years. Proved oil and gas reserves have been estimated by internal qualified professionals on t he basis of industry standards and are governed by the oil and gas rules and disclosure requirements in the U.S. Securities and Exchange Commission (SEC) regulations S-K and S-X, and the Financial Accounting Standards Board (FASB) requirements for suppleme ntal oil and gas disclosures. The estimates have been based on a 12-month average product price and on existing economic conditions and operating methods as required, and recovery of the estimated quantities have a high degree of certainty (at least a 90% probability). Reserves estimates are based on subjective judgements involving geological and engineering assessments of in-place hydrocarbon volumes, the production, historical recovery and processing yield factors and installed plant operating capacity. For future development projects, proved reserves estimates are included only where there is a significant commitment to project funding and execution and when relevant governmental and regulatory approvals have been secured or are reasonably cert ain to be secured. The reliability of these estimates at any point in time depends on both the quality and availability of the technical and economic data and the efficiency of extracting and processing the hydrocarbons. An independent third party has eval uated Equinor's proved reserves estimates, and the results of this evaluation do not differ materially from Equinor's estimates. Expected oil and gas reserves Expected oil and gas reserves may materially impact the carrying amounts of oil and gas assets , deferred tax assets, and certain related liabilities. Changes in the expected reserves, for instance as a result of changes in prices, will impact the amounts of asset retirement obligations and impairment testing of upstream assets, which in turn may le ad to changes in impairment charges affecting operating income and the carrying value of upstream assets. Expected oil and gas reserves are the estimated remaining, commercially recoverable quantities, based on Equinor's judgement of future economic condit ions, from projects in operation or decided for development. Recoverable oil and gas quantities are always uncertain, and the expected value is the weighted average, or statistical mean, of the possible outcomes. Expected reserves are therefore typically l arger than proved reserves as defined by the SEC rules. Expected oil and gas reserves have been estimated by internal qualified professionals on the basis of industry standards and classified in accordance with the Norwegian resource classification system issued by the Norwegian Petroleum Directorate, and are used for impairment testing purposes and for calculation of asset retirement obligations. Reserves estimates are based on subjective judgements involving geological and engineering assessments of in- place hydrocarbon volumes, the production, historical recovery and processing yield factors, installed plant operating capacity and operating approval limits. The reliability of these estimates at any point in time depends on both the quality and quantity of the technical and economic data and the efficiency of extracting and processing the hydrocarbons. Such estimates are inherently less reliable in early field life or where the available data is limited following a recently implemented change in the metho d of production . For unconventional reservoirs the expected reserves are the recoverable oil and gas quantities associated with production from both existing wells and continued drilling of future wells, not limited to proved locations only. In general, the reserve volumes in these reservoirs are therefore more dependent on future capital expenditures, compared to conventional fields with larger up-front investments in central facilities. Future development of the unconventional reservoirs and the resulting reserves can therefo re more easily be adjusted as expectations of future commodity prices change, through removing or adding future wells to the drilling schedule. Exploration and leasehold acquisition costs Equinor capitalises the costs of drilling exploratory wells pendin g determination of whether the wells have found proved oil and gas reserves. Equinor also capitalises leasehold acquisition costs and signature bonuses paid to obtain access to undeveloped oil and gas acreage. Judgements as to whether these expenditures sh ould remain capitalised , be de- recognised or written down in the period may materially affect the carrying values of these assets and consequently, the operating income for the period. Impairment/reversal of impairment Equinor has significant investme nts in property, plant and equipment and intangible assets. Changes in the circumstances or expectations of future performance of an individual asset may be an indicator that the asset is impaired, requiring its carrying amount to be written down to its re coverable amount. Impairments are reversed if conditions for impairment are no longer present. Evaluating whether an asset is impaired or if an impairment should be reversed requires a high degree of judgement and may to a large extent depend upon the sele ction of key assumptions about the future. The key assumptions used will bear the risk of change based on the inherent volatile nature of macro-economic factors such as future commodity prices or discount rate and uncertainty in asset specific factors s uch as reserve estimates and operational decisions impacting the production profile or activity levels for our oil and natural gas properties. When estimating the recoverable amount, the expected cash flow approach is applied to reflect uncertainties in ti ming and amount inherent in the assumptions used in the estimated future cash flows. Unproved oil and gas properties are assessed for impairment when facts and circumstances suggest that the carrying amount of the relevant asset or CGU may exceed its rec overable amount, and at least annually. If, following evaluation, an exploratory well has not found proved reserves, the previously capitalised costs are tested for impairment. Subsequent to the initial evaluation phase for a well, it will be considered a trigger for impairment testing of a well if no development decision is planned for the near future and there is no firm plan for future drilling in the licence . Impairment of unsuccessful wells is reversed, as applicable, to the extent that conditions for impairment are no longer present. Where recoverable amounts are based on estimated future cash flows, reflecting Equinor’s or market participants’ assumptions about the future and discounted to their present value, the estimates involve complexity. Imp airment testing requires long-term assumptions to be made concerning a number of economic factors such as future market prices, refinery margins, currency exchange rates and future output, discount rates, impact of the timing of tax incentive regulations, and political and country risk among others, in order to establish relevant future cash flows. Long-term assumptions for major economic factors are made at a group level, and there is a high degree of reasoned judgement involved in establishing these assum ptions, in determining other relevant factors such as forward price curves, in estimating production outputs and in determining the ultimate terminal value of an asset. Asset retirement obligations Equinor has significant obligations to decommission and remove offshore installations at the end of the production period. Establishing the appropriate provisions for such obligations involve the application of considerable judgement and involve an inherent risk of significant adjustments. The costs of these d ecommissioning and removal activities require revisions due to changes in current regulations and technology while considering relevant risks and uncertainties. Most of the removal activities are many years into the future, and the removal technology and c osts are constantly changing. The estimates include assumptions of the time required and the day rates for rigs, marine operations and heavy lift vessels that can vary considerably depending on the assumed removal complexity. Moreover, changes in the discount rate and currency exchange rates may impact the estimates significantly. As a result, the initial recognition of the liability and the capitalised cost associated with decommissioning and removal obligations, and the subsequent adjustment of these balance sheet items, involve the application of significant judgement. Income tax Every year Equinor incurs significant amounts of income taxes payable to various jurisdictions around the world and recognises significant changes to deferred tax assets a nd deferred tax liabilities. There may be uncertainties related to interpretations of applicable tax laws and regulations regarding amounts in Equinor’s tax returns, which are filed in a considerable number of tax regimes. For cases of uncertain tax treatm ents it may take several years to complete the discussions with relevant tax authorities or to reach resolutions of the appropriate tax positions through litigation. The carrying values of income tax related assets and liabilitie s are based on Equinor 's interpretations of applicable laws, regulations and relevant court decisions. The quality of these estimates, including the most likely outcomes of uncertain tax treatments, is highly dependent upon proper application of at times v ery complex sets of rules, the recognition of changes in applicable rules and, in the case of deferred tax assets, management's ability to project future earnings from activities that may apply loss carry forward positions against future income taxes. The Covid-19 virus pandemic The coronavirus (Covid-19) pandemic has been declared a global emergency by the World Health Organisation (WHO), and has made countries, organisations and Equinor take measures to mitigate risk for communities, employees and busine ss operations. The pandemic continues to progress and evolve, and at this juncture it is challenging to predict the full extent and duration of resulting operational and economic impact for Equinor . A continued development of the pandemic and mitigating ac tions enforced by health authorities create uncertainty related to key assumptions applied in the valuation of our assets and measurement of our liabilities. These key assumptions include commodity prices, changes to demand for and supply of oil and gas, a nd the discount rate to be applied. |
Segments (Tables)
Segments (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Disclosure of operating segments [abstract] | |
Operating segments data [text block] | (in USD million) E&P Norway E&P International MMP Other Eliminations Total Full year 2019 Revenues third party, other revenues and other income 1,048 2,127 60,491 527 0 64,194 Revenues inter-segment 17,769 8,168 439 4 (26,379) 0 Net income/(loss) from equity accounted investments 15 30 25 93 0 164 Total revenues and other income 18,832 10,325 60,955 624 (26,379) 64,357 Purchases [net of inventory variation] (1) (34) (54,454) (1) 24,958 (29,532) Operating, selling, general and administrative expenses (3,284) (3,352) (4,897) 272 793 (10,469) Depreciation, amortisation and net impairment losses (5,439) (6,361) (600) (804) 0 (13,204) Exploration expenses (478) (1,377) 0 0 0 (1,854) Total operating expenses (9,201) (11,124) (59,951) (533) 25,750 (55,058) Net operating income/(loss) 9,631 (800) 1,004 92 (629) 9,299 Additions to PP&E, intangibles and equity accounted investments 7,316 5,855 788 823 0 14,782 Balance sheet information Equity accounted investments 3 321 90 1,028 0 1,442 Non-current segment assets 33,795 37,558 5,124 4,214 0 80,691 Non-current assets, not allocated to segments 11,152 Total non-current assets 93,285 (in USD million) E&P Norway E&P International MMP Other Eliminations Total Full year 2018 Revenues third party, other revenues and other income 588 3,181 75,487 45 0 79,301 Revenues inter-segment 21,877 9,186 291 2 (31,355) 0 Net income/(loss) from equity accounted investments 10 31 16 234 0 291 Total revenues and other income 22,475 12,399 75,794 280 (31,355) 79,593 Purchases [net of inventory variation] 2 (26) (69,296) (0) 30,805 (38,516) Operating, selling, general and administrative expenses (3,270) (3,006) (4,377) (288) 653 (10,286) Depreciation, amortisation and net impairment losses (4,370) (4,592) (215) (72) 0 (9,249) Exploration expenses (431) (973) 0 0 0 (1,405) Total operating expenses (8,069) (8,597) (73,888) (360) 31,458 (59,456) Net operating income/(loss) 14,406 3,802 1,906 (79) 103 20,137 Additions to PP&E, intangibles and equity accounted investments 6,947 7,403 331 519 0 15,201 Balance sheet information Equity accounted investments 1,102 296 92 1,373 0 2,863 Non-current segment assets 30,762 38,672 5,148 353 0 74,934 Non-current assets, not allocated to segments 8,655 Total non-current assets 86,452 (in USD million) E&P Norway E&P International MMP Other Eliminations Total Full year 2017 Revenues third party, other revenues and other income (23) 1,984 58,935 102 0 60,999 Revenues inter-segment 17,586 7,249 83 1 (24,919) 0 Net income/(loss) from equity accounted investments 129 22 53 (16) 0 188 Total revenues and other income 17,692 9,256 59,071 87 (24,919) 61,187 Purchases [net of inventory variation] 0 (7) (52,647) (0) 24,442 (28,212) Operating, selling, general and administrative expenses (2,954) (2,804) (3,925) (235) 418 (9,501) Depreciation, amortisation and net impairment losses (3,874) (4,423) (256) (91) 0 (8,644) Exploration expenses (379) (681) 0 0 0 (1,059) Total operating expenses (7,207) (7,915) (56,828) (326) 24,860 (47,416) Net operating income /(loss) 10,485 1,341 2,243 (239) (59) 13,771 Additions to PP&E, intangibles and equity accounted investments 4,869 5,063 320 543 0 10,795 Balance sheet information Equity accounted investments 1,133 234 134 1,050 0 2,551 Non-current segment assets 30,278 36,453 5,137 390 0 72,258 Non-current assets, not allocated to segments 9,102 Total non-current assets 83,911 |
Non-current assets by country [text block] | Non-current assets by country At 31 December (in USD million) 2019 2018 2017 Norway 40,292 34,952 34,588 USA 17,776 19,409 19,267 Brazil 8,724 7,861 4,584 UK 5,657 4,588 4,222 Canada 1,672 1,546 1,715 Azerbaijan 1,598 1,452 1,472 Angola 1,564 1,874 2,888 Denmark 984 407 266 Tanzania 964 957 960 Algeria 915 986 1,114 Other countries 1,986 3,764 3,732 Total non-current assets 1) 82,133 77,797 74,809 1) Excluding deferred tax assets, pension assets and non-current financial assets. |
Revenues from contracts with customers [text block] | Revenues from contracts with customers and other revenues (in USD million) 2019 2018 2017 Crude oil 33,505 40,948 29,519 Natural gas 1) 11,281 14,070 11,420 - European gas 9,366 11,675 9,739 - North American gas 1,359 1,581 1,248 - Other incl LNG 556 814 433 Refined products 10,652 13,124 11,423 Natural gas liquids 5,807 7,167 5,647 Transportation 967 1,033 Other sales 445 903 2,963 Total revenues from contracts with customers 62,657 77,246 60,971 Over/Under lift 137 Taxes paid in-kind 344 865 Physically settled commodity derivatives 2) (1,086) 488 Gain/(loss) on commodity derivatives 732 (216) Other revenues 265 36 Total other revenues 254 1,309 Revenues 62,911 78,555 60,971 1) Retrospectively applied the disaggregation of Natural gas revenues. 2) Retrospectively reclassified Physically settled commodity derivatives to Total other revenues, previously presented as Natural gas revenues included in Total revenues from contracts with customers. For 2017 the transportation element included in sales transactions with customers are included in Crude Oil, Refined Products and Natural Gas Liquids. Other transportation was included in other sales. For 2018 and 2019, these elements are included in Transportation. The elements included in Total other revenues were for 2017 included in other sales. |
Financial risk management (Tabl
Financial risk management (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Financial Risk Management [Abstract] | |
Maturity profile, based on undiscounted contractual cash flows | At 31 December 2019 2018 (in USD million) Non-derivative financial liabilities Lease liabilities Derivative financial liabilities Non-derivative financial liabilities Lease liabilities Derivative financial liabilities Year 1 13,388 1,210 204 11,958 61 271 Year 2 and 3 4,370 1,483 606 5,504 120 677 Year 4 and 5 6,238 673 175 4,919 123 203 Year 6 to 10 8,449 892 479 10,611 150 611 After 10 years 10,567 349 370 9,570 48 725 Total specified 43,012 4,607 1,835 42,562 502 2,488 |
Credit risk exposure, internal credit grades [text block] | (in USD million) Non-current financial receivables Trade and other receivables Non-current derivative financial instruments Current derivative financial instruments At 31 December 2019 Investment grade, rated A or above 682 2,089 962 201 Other investment grade 80 4,778 403 368 Non-investment grade or not rated 296 508 0 9 Total financial asset 1,057 7,374 1,365 578 At 31 December 2018 Investment grade, rated A or above 460 1,811 682 100 Other investment grade 150 5,412 350 183 Non-investment grade or not rated 244 1,265 0 35 Total financial asset 854 8,488 1,032 318 |
Disclosure of Capital Management | At 31 December (in USD million) 2019 2018 Net interest-bearing debt adjusted, including lease liabilities (ND1) 17,219 Net interest-bearing debt adjusted (ND2) 12,880 12,246 Capital employed adjusted, including lease liabilities (CE1) 58,378 Capital employed adjusted (CE2) 54,039 55,235 Net debt to capital employed adjusted, including lease liabilities (ND1/CE1) 29.5% - Net debt to capital employed adjusted (ND2/CE2) 23.8% 22.2% |
Remuneration (Tables)
Remuneration (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Renumeration [abstract] | |
Schedule Of Renumeration Explanatory [Table Text Block] | Full year (in USD million, except average number of employees) 2019 2018 2017 Salaries 1) 2,766 2,863 2,671 Pension costs 446 463 469 Payroll tax 413 409 387 Other compensations and social costs 330 318 290 Total payroll costs 3,955 4,052 3,818 Average number of employees 2) 21,400 20,700 20,700 1) Salaries include bonuses, severance packages and expatriate costs in addition to base pay. 2) Part time e mployees amount to 4 % f or 2019 and 3 % for each of the years 2018 and 2017 respectively. |
Remuneration to members of the BoD and the CEC [text block] | Full year (in USD thousand) 1) 2019 2018 2017 Current employee benefits 10,958 12,471 11,067 Post-employment benefits 661 667 636 Other non-current benefits 18 21 25 Share-based payment benefits 147 197 175 Total 11,782 13,356 11,902 1) All figures in the table are presented on accrual basis. |
Other expenses (Table)
Other expenses (Table) | 12 Months Ended |
Dec. 31, 2019 | |
Other Expense [Abstract] | |
Auditor's remuneration [text block] | Auditor's remuneration Full year (in USD million, excluding VAT) 2019 2018 2017 Audit fee Ernst & Young (principal accountant 2019) 4.7 Audit fee KPMG (principal accountant 2018 and 2017) 2.8 7.1 6.1 Audit related fee Ernst & Young (principal accountant 2019) 0.5 Audit related fee KPMG (principal accountant 2018 and 2017) 1.2 1.0 0.9 Tax fee Ernst & Young (principal accountant 2019) 0.2 Tax fee KPMG (principal accountant 2018 and 2017) 0.0 0.0 0.0 Other service fee Ernst & Young (principal accountant 2019) 0.9 Other service fee KPMG (principal accountant 2018 and 2017) 0.0 0.0 0.0 Total 10.3 8.1 7.0 |
Financial items (Table)
Financial items (Table) | 12 Months Ended |
Dec. 31, 2019 | |
Finance Income Expense [Abstract] | |
Schedule of Finance items [text block] | Full year (in USD million) 2019 2018 2017 Foreign exchange gains/(losses) derivative financial instruments 132 149 (920) Other foreign exchange gains/(losses) 92 (315) 1,046 Net foreign exchange gains/(losses) 224 (166) 126 Dividends received 75 150 63 Gains/(losses) financial investments 245 (72) 108 Interest income financial investments, including cash and cash equivalents 124 45 64 Interest income non-current financial receivables 21 27 24 Interest income other current financial assets and other financial items 280 132 228 Interest income and other financial items 746 283 487 Gains/(losses) derivative financial instruments 473 (341) (61) Interest expense bonds and bank loans and net interest on related derivatives (987) (922) (1,004) Interest expense lease liabilities (126) (23) (26) Capitalised borrowing costs 480 552 454 Accretion expense asset retirement obligations (456) (461) (413) Interest expense current financial liabilities and other finance expense (360) (185) 86 Interest and other finance expenses (1,450) (1,040) (903) Net financial items (7) (1,263) (351) |
Income taxes (Table)
Income taxes (Table) | 12 Months Ended |
Dec. 31, 2019 | |
Income tax [abstract] | |
Significant components of income tax expense [Table Text Block] | Significant components of income tax expense Full year (in USD million) 2019 2018 2017 Current income tax expense in respect of current year (7,892) (10,724) (7,680) Prior period adjustments 69 (49) (124) Current income tax expense (7,822) (10,773) (7,805) Origination and reversal of temporary differences 410 (1,359) (904) Recognition of previously unrecognised deferred tax assets 0 923 0 Change in tax regulations (6) (28) (14) Prior period adjustments (23) (99) (100) Deferred tax income/(expense) 381 (563) (1,017) Income tax expense (7,441) (11,335) (8,822) |
Reconciliation of statutory tax rate to effective tax rate [Table Text Block] | Reconciliation of statutory tax rate to effective tax rate Full year (in USD million) 2019 2018 2017 Income/(loss) before tax 9,292 18,874 13,420 Calculated income tax at statutory rate 1) (2,284) (5,197) (3,827) Calculated Norwegian Petroleum tax 2) (5,499) (8,189) (5,945) Tax effect uplift 3) 632 736 784 Tax effect of permanent differences regarding divestments 380 400 (85) Tax effect of permanent differences caused by functional currency different from tax currency 8 116 (229) Tax effect of other permanent differences 395 337 291 Tax effect of dispute with Angolan Ministry of Finance 4) 0 0 496 Recognition of previously unrecognised deferred tax assets 5) 0 923 0 Change in unrecognised deferred tax assets (974) 72 (169) Change in tax regulations (6) (28) (14) Prior period adjustments 47 (148) (224) Other items including currency effects (139) (357) 100 Income tax expense (7,441) (11,335) (8,822) Effective tax rate 80.1% 60.1% 65.7% 1) The weighted average of statutory tax rates was 24.6 % in 2019 , 2 7 .5 % in 2018 and 28 . 5 % in 2017 . The rate s are influenced by earnings composition between tax regimes with lower statutory tax rates and tax regimes with higher statutory tax rates. The change in weighted average statutory tax rate from 2018 to 2019 and from 201 7 to 2018 is also caused by the reduction in the Norwegian statutory tax rate from 24 % in 2017 to 23 % in 2018 to 22 % in 2019. 2) The Norwegian petroleum tax rate is 56 % for 2019, 55 % for 2018 and 54 % for 2017. 3) When computing the petroleum tax of 5 6 % on income from the Norwegian continental shelf , an additional tax-free allowance, or uplift, is granted on the basis of the original capitalised cost of offshore production installations. The uplift may be deducted from taxable income for a period of four years starting in the year in which the capita l expenditure is incurred. For investments made in 201 9 the uplift is calculated at a rate of 5. 2 % per year, while the rate is 5.3 % per year for investments made in 2018, 5.4 % per year for investments made in 2017 and 5.5 % per year for investments made in 2016. Transitional rules apply to investments from 5 May 2013 covered by among others Plans for development and operation (PDOs) or Plans for installation and operation (PIOs) submitted to the Ministry of Oil and Energy prior to 5 May 2013. For these inves tments the rate is 7.5 % per year. Unused uplift may be carried forward indefinitely. At year end 201 9 and 201 8 , unrecognised uplift credits amounted to USD 1,678 million and USD 1 , 780 million, respectively. 4) In June 2017 Equinor signed an agreement with the Angolan Ministry of Finance which resolved the dispute over previously assessed additional profit oil and taxes due, and established how to allocate profit oil and assess petroleum income tax (PIT) related to Equinor ’s partici pation in Block 4, Block 15, Block 17 and Block 31 offshore Angola for t h e years 2002 to 2016. 5) An amount of USD 923 million of previously unrecognised deferred tax assets was recognised in the E&P International reporting segment in 2018. The recognition of the deferred tax assets is based on the expectation that sufficient taxable income will be available through reversals of taxable temporary differences or future taxable income supported by business forecast. |
Deferred tax assets and liabilities [text block] | Deferred tax assets and liabilities comprise (in USD million) Tax losses carried forward Property, plant and equipment and intangible assets Asset retirement obligations Lease liabilities 1) Pensions Derivatives Other 1) Total Deferred tax at 31 December 2019 Deferred tax assets 5,173 369 9,397 1,898 733 108 1,612 19,291 Deferred tax liabilities 0 (24,115) (0) (0) (13) (119) (573) (24,820) Net asset/(liability) at 31 December 2019 5,173 (23,746) 9,397 1,898 720 (11) 1,040 (5,530) Deferred tax at 31 December 2018 Deferred tax assets 5,761 351 8,118 0 785 95 1,095 16,205 Deferred tax liabilities (0) (20,987) 0 0 (14) (96) (476) (21,573) Net asset/(liability) at 31 December 2018 5,761 (20,636) 8,118 0 771 (1) 620 (5,367) 1) For 2019 deferred tax related to lease liabilities has been included in a separate column Lease liabilities , while deferred tax related to lease liabilities for 2018 has not been reclassified due to immateriality and is included in Other. |
Changes in net deferred tax liability during the year [Table Text Block] | Changes in net deferred tax liability during the year were as follows: (in USD million) 2019 2018 2017 Net deferred tax liability at 1 January 5,367 5,213 4,231 Charged/(credited) to the Consolidated statement of income (381) 563 1,017 Charged/(credited) to Other comprehensive income 98 (22) 38 Translation differences and other 446 (386) (73) Net deferred tax liability at 31 December 5,530 5,367 5,213 |
Disclosure of Net deferred tax assets and liabilities [Table Text Block] | At 31 December (in USD million) 2019 2018 Deferred tax assets 3,881 3,304 Deferred tax liabilities 9,410 8,671 |
Disclosure of unrecognised deferred tax assets [Table Text Block] | Unrecognised deferred tax assets At 31 December 2019 2018 (in USD million) Basis Tax Basis Tax Deductible temporary differences 2,550 1,138 2,439 1,123 Tax losses carried forward 18,259 4,366 14,802 3,940 Total 20,809 5,504 17,241 5,062 |
Property, plant and equipment (
Property, plant and equipment (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Property, plant and equipment [abstract] | |
Property, plant and equipment [text block] | (in USD million) Machinery, equipment and transportation equipment Production plants and oil and gas assets Refining and manufacturing plants Buildings and land Assets under development Right of use assets 4) Total Cost at 31 December 2018 3,596 166,766 8,660 932 14,961 0 194,916 Implementation of IFRS 16 Leases 5) (813) (184) 0 0 0 4,989 3,992 Cost at 1 January 2019 2,783 166,582 8,660 932 14,961 4,989 198,908 Additions through business combinations 1 1,706 5 0 381 0 2,093 Additions and transfers 44 16,023 300 (16) (4,448) 426 12,330 Disposals at cost (7) (4,911) (0) (7) (59) (35) (5,020) Effect of changes in foreign exchange (2) (337) (44) (0) (464) (41) (888) Cost at 31 December 2019 2,818 179,063 8,920 909 10,371 5,339 207,422 Accumulated depreciation and impairment losses at 31 December 2018 (2,802) (119,589) (6,613) (465) (185) 0 (129,654) Implementation of IFRS 16 Leases 5) 511 106 0 0 0 (617) 0 Accumulated depreciation and impairment losses at 1 January 2019 (2,291) (119,483) (6,613) (465) (185) (617) (129,654) Depreciation (120) (8,555) (298) (25) 0 (752) (9,750) Impairment losses (6) (2,430) (178) (3) (707) (26) (3,350) Reversal of impairment losses 0 120 0 0 0 0 120 Transfers 13 (134) (0) 13 26 42 (40) Accumulated depreciation and impairment on disposed assets 7 4,540 0 5 0 24 4,576 Effect of changes in foreign exchange 1 616 38 (0) (26) (1) 628 Accumulated depreciation and impairment losses at 31 December 2019 (2,395) (125,327) (7,051) (475) (892) (1,329) (137,469) Carrying amount at 31 December 2019 423 53,736 1,870 434 9,479 4,011 69,953 Estimated useful lives (years) 3 - 20 UoP 1) 15 - 20 20 - 33 2) 1 - 19 3) (in USD million) Machinery, equipment and transportation equipment, including vessels Production plants and oil and gas assets Refining and manufacturing plants Buildings and land Assets under development Total Cost at 31 December 2017 3,470 157,533 8,646 866 18,140 188,656 Additions through business combinations 76 2,473 0 48 1,370 3,968 Additions and transfers 90 13,017 328 32 (3,322) 10,144 Disposals at cost (12) (505) (0) (1) (366) (884) Effect of changes in foreign exchange (28) (5,752) (314) (13) (861) (6,967) Cost at 31 December 2018 3,596 166,766 8,660 932 14,961 194,916 Accumulated depreciation and impairment losses at 31 December 2017 (2,853) (113,781) (6,200) (439) (1,746) (125,019) Depreciation (137) (9,249) (426) (29) 0 (9,841) Impairment losses 0 (762) 0 0 (32) (794) Reversal of impairment losses 155 1,087 0 0 156 1,398 Transfers (0) (1,799) (229) (1) 1,067 (961) Accumulated depreciation and impairment on disposed assets 12 602 0 0 366 980 Effect of changes in foreign exchange 21 4,312 242 4 5 4,583 Accumulated depreciation and impairment losses at 31 December 2018 (2,802) (119,589) (6,613) (465) (185) (129,654) Carrying amount at 31 December 2018 794 47,177 2,048 467 14,776 65,262 Estimated useful lives (years) 3 - 20 UoP 1) 15 - 20 20 - 33 2) 1) Depreciation according to unit of production method (UoP) , see note 2 Significant accounting policies . 2) Land is not depreciated . 3) Depreciation linearly over contract period. 4) See note 22 Leases. 5) See note 23 Implementation of IFRS 16 Leases. |
Impairments [text block] | (in USD million) Property, plant and equipment Intangible assets 3) Total At 31 December 2019 Producing and development assets 1) 3,230 608 3,838 Goodwill 1) - 164 164 Other intangible assets 1) - 41 41 Acquisition costs related to oil and gas prospects 2) - 49 49 Total net impairment loss/(reversal) recognised 3,230 863 4,093 At 31 December 2018 Producing and development assets 1) (604) 237 (367) Acquisition costs related to oil and gas prospects 2) - 52 52 Total net impairment loss/(reversal) recognised (604) 289 (315) 1) Producing and development assets , goodwill and other intangible assets are subject to impairment assessment under IAS 36. The total net impairment losses recognised under IAS 36 in 201 9 amount to USD 4 , 043 million, compared to 201 8 when the net impairment reversal amounted to USD 3 67 million, including impairment of acquisition costs - oil and gas prospects (intangible assets). 2) Acquisition costs related to exploration activities, subject to impairment assessment under the successful efforts method (IFRS 6). 3) See note 11 Intangible assets . |
Impairment of the carrying amount of impaired asset [text block] | 2019 2018 (in USD million) Valuation method Carrying amount after impairment Net impairment loss/ (reversal) Carrying amount after impairment Net impairment loss/ (reversal) At 31 December Exploration & Production Norway VIU 4,406 1,119 1,966 (201) FVLCOD 0 0 1,232 (402) North America - unconventional VIU 7,509 1,631 5,771 762 FVLCOD 0 1) 610 0 0 North America - conventional offshore US Gulf of Mexico VIU 1,079 292 3,989 (246) FVLCOD 0 0 0 0 North Africa VIU 0 0 451 (126) FVLCOD 0 0 0 0 Europe and Asia VIU 645 (18) 0 0 FVLCOD 0 0 0 0 Marketing, Midstream & Processing VIU 65 178 403 (155) FVLCOD 0 0 0 0 Right of use assets VIU 0 26 0 0 FVLCOD 0 0 0 0 Total 13,704 3,838 13,813 (367) 1) Asset is disposed. |
Disclosure of price assumptions used for impairment calculations [Table Text Block] | Year Prices in real terms 1) 2020 2025 2030 Brent Blend – USD/bbl 59 (68) 77 (78) 80 (82) NBP - USD/mmBtu 4.2 (7.7) 7.0 (8.2) 7.5 (8.2) Henry Hub – USD/mmBtu 2.4 (3.2) 3.1 (4.1) 3.6 (4.1) 1) Basis year 2019. |
Intangible assets (Table)
Intangible assets (Table) | 12 Months Ended |
Dec. 31, 2019 | |
Disclosure of detailed information about intangible assets [abstract] | |
Continuity schedule of intangible assets [text block] | (in USD million) Exploration expenses Acquisition costs - oil and gas prospects Goodwill Other Total Cost at 31 December 2018 2,685 5,854 565 797 9,901 Additions through business combinations 0 0 1,070 10 1,080 Additions 515 900 0 155 1,571 Disposals at cost (7) (361) 0 (0) (367) Transfers (71) (143) 0 0 (213) Expensed exploration expenditures previously capitalised (120) (657) 0 0 (777) Impairment of goodwill 0 0 (164) 0 (164) Effect of changes in foreign exchange 11 5 (12) (1) 3 Cost at 31 December 2019 3,014 5,599 1,458 962 11,033 Accumulated depreciation and impairment losses at 31 December 2018 (229) (229) Amortisation and impairments for the year (60) (60) Amortisation and impairment losses disposed intangible assets (6) (6) Effect of changes in foreign exchange 1 1 Accumulated depreciation and impairment losses at 31 December 2019 (295) (295) Carrying amount at 31 December 2019 3,014 5,599 1,458 667 10,738 (in USD million) Exploration expenses Acquisition costs - oil and gas prospects Goodwill Other Total Cost at 31 December 2017 2,715 5,363 339 419 8,836 Additions through business combinations 0 116 265 392 773 Additions 392 917 0 (7) 1,302 Disposals at cost (272) (89) 0 (4) (364) Transfers (13) (148) 0 0 (161) Expensed exploration expenditures previously capitalised (68) (289) 0 0 (357) Effect of changes in foreign exchange (70) (17) (39) (2) (128) Cost at 31 December 2018 2,685 5,854 565 797 9,901 Accumulated depreciation and impairment losses at 31 December 2017 (215) (215) Amortisation and impairments for the year (13) (13) Amortisation and impairment losses disposed intangible assets (2) (2) Effect of changes in foreign exchange 1 1 Accumulated depreciation and impairment losses at 31 December 2018 (229) (229) Carrying amount at 31 December 2018 2,685 5,854 565 568 9,672 |
Aging of capitalised exploration expenditures [text block] | The table below shows the aging of capitalised exploration expenditures. (in USD million) 2019 2018 Less than one year 1,274 392 Between one and five years 1,056 1,406 More than five years 684 887 Total 3,014 2,685 |
Components of the exploration expenses [text block] | The table below shows the components of the exploration expenses. Full year (in USD million) 2019 2018 2017 Exploration expenditures 1,584 1,438 1,234 Expensed exploration expenditures previously capitalised 777 357 (8) Capitalised exploration (507) (390) (167) Exploration expenses 1,854 1,405 1,059 |
Equity accounted investments (T
Equity accounted investments (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Equity investments [Abstract] | |
Equity accounted investments [text block] | (in USD million) Lundin Petroleum AB Other equity accounted investments Total Net investment at 31 December 2018 1,100 1,763 2,862 Net income/(loss) from equity accounted investments 15 149 164 Acquisitions and increase in capital 0 188 188 Dividend and other distributions (51) (223) (273) Other comprehensive income/(loss) (13) 3 (10) Divestments, derecognition and decrease in paid in capital (1,051) (393) (1,444) Net investment at 31 December 2019 0 1,487 1,487 Included in equity accounted investments 0 1,441 1,441 Other long-term receivable in equity accounted investments 0 46 46 |
Financial investments and non_2
Financial investments and non-current prepayments (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Categories of non-current financial assets [abstract] | |
Disclosure Of Noncurrent Financial Assets Explanatory [Table Text Block] | Non-current financial investments At 31 December (in USD million) 2019 2018 Bonds 1,629 1,261 Listed equity securities 1,261 530 Non-listed equity securities 710 664 Financial investments 3,600 2,455 |
Disclsoure Of Prepayments And Financial Receivables Explanatory [Table Text Block] | Non-current prepayments and financial receivables At 31 December (in USD million) 2019 2018 Interest bearing financial receivables 413 345 Prepayments and other non-interest bearing receivables 800 688 Prepayments and financial receivables 1,214 1,033 |
Disclosure of other current assets [text block] | Current financial investments At 31 December (in USD million) 2019 2018 Time deposits 4,158 4,129 Interest bearing securities 3,268 2,912 Financial investments 7,426 7,041 |
Inventories (Tables)
Inventories (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Classes of current inventories [abstract] | |
Disclosure Of Detailed Information About Inventories Explanatory [Table Text Block] | At 31 December (in USD million) 2019 2018 Crude oil 2,137 1,173 Petroleum products 572 345 Natural gas 277 274 Other 377 351 Inventories 3,363 2,144 |
Trade and other receivables (Ta
Trade and other receivables (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Trade and other receivables [abstract] | |
Trade and other receivables [text block] | At 31 December (in USD million) 2019 2018 Trade receivables from contracts with customers 5,624 6,267 Other current receivables 1,189 1,800 Joint venture receivables 429 390 Receivables from equity accounted associated companies and other related parties 132 31 Total financial trade and other receivables 7,374 8,488 Non-financial trade and other receivables 859 510 Trade and other receivables 8,233 8,998 |
Cash and cash equivalents (Tabl
Cash and cash equivalents (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Cash and cash equivalents [abstract] | |
Cash and cash equivalents [text block] | At 31 December (in USD million) 2019 2018 Cash at bank available 1,666 1,140 Time deposits 604 2,068 Money market funds 700 2,255 Interest bearing securities 1,656 1,590 Restricted cash, including margin deposits 552 501 Cash and cash equivalents 5,177 7,556 |
Shareholders' equity and divi_2
Shareholders' equity and dividends (Table) | 12 Months Ended |
Dec. 31, 2019 | |
Shareholders equity and dividends [Abstract] | |
Dividends | At 31 December (in USD million) 2019 2018 Dividends declared 3,453 3,064 USD per share or ADS 1.0400 0.9200 Dividends paid in cash 3,342 2,672 USD per share or ADS 1.0100 0.9101 NOK per share 8.9664 7.4907 Scrip dividends 0 338 Number of shares issued (millions) 0.0 15.5 Sum dividends settled 3,342 3,010 |
Share buy-back programme | Number of shares 2019 Share buy-back programme at 1 January - Purchase 23,578,410 Cancellation - Share buy-back programme at 31 December 23,578,410 |
Treasury shares | Employees share saving plan Number of shares 2019 2018 Share saving plan at 1 January 10,352,671 11,243,234 Purchase 3,403,469 2,740,657 Allocated to employees (3,681,428) (3,631,220) Share saving plan at 31 December 10,074,712 10,352,671 |
Finance debt (Tables)
Finance debt (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Disclosure of detailed information about borrowings [abstract] | |
Disclosure of detailed information about borrowings [table text block] | Non-current finance debt Finance debt measured at amortised cost Weighted average interest rates in % 1) Carrying amount in USD millions at 31 December Fair value in USD millions at 31 December 2) 2019 2018 2019 2018 2019 2018 Unsecured bonds United States Dollar (USD) 4.14 4.14 13,308 13,088 14,907 13,657 Euro (EUR) 2.25 2.10 8,201 8,928 8,992 9,444 Great Britain Pound (GBP) 6.08 6.08 1,815 1,760 2,765 2,532 Norwegian Kroner (NOK) 4.18 4.18 342 345 389 388 Total 23,666 24,121 27,053 26,021 Unsecured loans Japanese Yen (JPY) 4.30 4.30 92 91 123 119 Total 92 91 123 119 Non-current bonds and bank loans 23,758 24,212 27,175 26,140 Less current portion 2,004 1,322 2,036 1,321 Total 21,754 22,889 25,139 24,819 Lease liabilities 3) 4,339 432 Less current portion 1,148 57 Non-current finance debt 24,945 23,264 1) Weighted average interest rates are calculated based on the contractual rates on the loans per currency at 31 December and do not include the effect of swap agreements. 2) Fair values are determined from external calculation models based on market observations from various sources, classified at level 2 in the fair value hierarchy. For more information regarding fair value hierarchy , see note 26 Financial Instruments: fair value measurement and sensitivity of market risk. 3) For more information regarding comparable figures on lease liabilities, see note 23 Implementation of IFRS 16 Leases. |
Disclosure Of Bonds Issued [text block] | In 2019 Equinor issued the following bond: Issuance date Amount in USD million Interest rate in % Maturity date 13 November 2019 1,000 3.250 November 2049 |
Disclosure of Non-current finance debt maturity profile [text block] | Non-current finance debt maturity profile At 31 December (in USD million) 2019 2018 Year 2 and 3 4,156 4,003 Year 4 and 5 5,680 3,736 After 5 years 15,109 15,525 Total repayment of non-current finance debt 24,945 23,264 Weighted average maturity (years - including current portion) 9 9 Weighted average annual interest rate (% - including current portion) 3.53 3.67 |
Disclosure of Current finance debt [text block] | Current finance debt At 31 December (in USD million) 2019 2018 Collateral liabilities 585 213 Non-current finance debt due within one year 3,152 1,380 Other including US Commercial paper programme and bank overdraft 350 870 Total current finance debt 4,087 2,463 Weighted average interest rate (%) 2.39 1.62 |
Reconciliation of liabilities arising from financing activities [text block] | Reconciliation of cash flow from financing activities to finance line items in balance sheet (in USD million) Non-current finance debt Current finance debt Financial receivable Collaterals 1) Additional paid in capital /Treasury shares Non-controlling interest Dividend payable Total At 31 December 2018 23,264 2,463 (591) (196) 19 766 25,725 Transfer to current portion 2) (3,152) 3,152 - - - - - Effect of exchange rate changes (108) - - - - 7 (101) Dividend decleared - - - - - 3,453 3,453 Cash flows provided by/(used in) financing activities 2) 984 (2,585) (32) (514) (7) (3,342) (5,496) Other changes 2) 3,957 1,057 (11) 2 8 (25) 4,988 At 31 December 2019 24,945 4,087 (634) (708) 20 859 28,569 1) Financial receivables collaterals are in included in trade and other receivables in the balance sheet. See note 15 Trade and other receivables for more information. 2) Leases are included in columns for non-current finance debt and current finance debt. See note 22 Leases for more information. (in USD million) Non-current finance debt Current finance debt Financial receivable Collaterals 1) Additional paid in capital /Treasury shares Non-controlling interest Dividend payable Total At 31 December 2017 24,183 4,091 (272) (191) 24 729 28,564 Transfer to current portion (1,380) 1,380 - - - - - Effect of exchange rate changes (556) 2 - - - (1) (555) Dividend decleared - - - - - 3,064 3,064 Scrip dividend - - - - - (338) (338) Cash flows provided by/(used in) financing activities 998 (2,949) (331) (64) (7) (2,672) (5,025) Other changes 20 (61) 11 59 2 (16) 15 At 31 December 2018 23,264 2,463 (591) (196) 19 766 25,725 1) Financial receivables collaterals are in included in trade and other receivables in the balance sheet. See note 15 Trade and other receivables for more information. |
Pensions (Tables)
Pensions (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Disclosure of defined benefit plans [abstract] | |
Net pension cost [table text block] | Net pension cost (in USD million) 2019 2018 2017 Current service cost 206 214 242 Losses/(gains) from curtailment, settlement or plan amendment 3 20 15 Actuarial(gains)/losses related to termination benefits (0) 0 (1) Notional contribution plans 56 55 51 Defined benefit plans 265 289 308 Defined contribution plans 182 173 162 Total net pension cost 446 462 469 |
Disclosure of defined benefit plans [table text block] | (in USD million) 2019 2018 Defined benefit obligations (DBO) Defined benefit obligations at 1 January 8,176 8,286 Current service cost 206 214 Interest cost 263 182 Actuarial (gains)/losses - Financial assumptions (23) 174 Actuarial (gains)/losses - Experience 6 (27) Benefits paid (236) (219) Losses/(gains) from curtailment, settlement or plan amendment 0 (1) Paid-up policies (14) (18) Foreign currency translation (71) (469) Changes in notional contribution liability 56 55 Defined benefit obligations at 31 December 8,363 8,176 Fair value of plan assets Fair value of plan assets at 1 January 5,187 5,687 Interest income 143 136 Return on plan assets (excluding interest income) 384 (135) Company contributions 127 49 Benefits paid (195) (217) Paid-up policies and personal insurance (13) (18) Foreign currency translation (44) (315) Fair value of plan assets at 31 December 5,589 5,187 Net pension liability at 31 December (2,774) (2,990) Represented by: Asset recognised as non-current pension assets (funded plan) 1,093 831 Liability recognised as non-current pension liabilities (unfunded plans) (3,867) (3,821) DBO specified by funded and unfunded pension plans 8,363 8,176 Funded 4,496 4,359 Unfunded 3,867 3,817 Actual return on assets 527 1 |
Actuarial losses and gains recognised directly in Other comprehensive income [text block] | Actuarial losses and gains recognised directly in Other comprehensive income (OCI) (in USD million) 2019 2018 2017 Net actuarial (losses)/gains recognised in OCI during the year 401 (282) 331 Actuarial (losses)/gains related to currency effects on net obligation and foreign exchange translation 27 172 (158) Tax effects of actuarial (losses)/gains recognised in OCI (98) 22 (38) Recognised directly in OCI during the year net of tax 330 (88) 135 Cumulative actuarial (losses)/gains recognised directly in OCI net of tax (812) (1,141) (1,053) |
Actuarial assumptions [text block] | Actuarial assumptions Assumptions used to determine benefit costs in % Assumptions used to determine benefit obligations in % 2019 2018 2019 2018 Discount rate 2.75 2.50 2.25 2.75 Rate of compensation increase 2.75 2.25 2.25 2.75 Expected rate of pension increase 2.00 1.75 1.50 2.00 Expected increase of social security base amount (G-amount) 2.75 2.25 2.25 2.75 Weighted-average duration of the defined benefit obligation 15.8 15.9 |
Disclosure of sensitivity analysis for actuarial assumptions [table text block] | Discount rate Expected rate of compensation increase Expected rate of pension increase Mortality assumption (in USD million) 0.50% -0.50% 0.50% -0.50% 0.50% -0.50% + 1 year - 1 year Changes in: Defined benefit obligation at 31 December 2019 (596) 675 213 (202) 518 (471) 298 (325) Service cost 2020 (21) 24 11 (10) 15 (14) 7 (8) |
Portfolio weighting as approved by the board of Statoil Pension [text block] | Pension assets on investments classes Target portfolio weight (in %) 2019 2018 Equity securities 32.3 36.5 27 - 38 Bonds 46.4 44.9 40 - 53 Money market instruments 14.5 12.3 0 - 29 Real estate 6.3 6.3 5 - 10 Other assets 0.5 0.0 Total 100.0 100.0 |
Provisions and other liabilit_2
Provisions and other liabilities (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Other provisions [abstract] | |
Disclosure of other provisions [table text block] | (in USD million) Asset retirement obligations Claims and litigations Other provisions and liabilities Total Non-current portion at 31 December 2018 12,544 905 2,503 15,952 Current portion at 31 December 2018 reported as trade, other payables and provisions 65 56 103 224 Provisions and other liabilities at 31 December 2018 12,609 961 2,606 16,175 New or increased provisions and other liabilities 563 (2) 1,130 1,692 Change in estimates (115) 5 (143) (253) Amounts charged against provisions and other liabilities (218) (0) (268) (485) Effects of change in the discount rate 1,779 - 49 1,828 Reduction due to divestments (175) - - (175) Accretion expenses 456 - - 456 Reclassification and transfer (92) 0 113 21 Currency translation (88) (0) (9) (96) Provisions and other liabilities at 31 December 2019 14,719 965 3,479 19,163 Non-current portion at 31 December 2019 14,616 54 3,282 17,951 Current portion at 31 December 2019 reported as trade, other payables and provisions 104 910 197 1,211 |
Other provisions maturity [table text block] | Expected timing of cash outflows (in USD million) Asset retirement obligations Other provisions and liabilites, including claims and litigations Total 2020 - 2024 1,410 3,119 4,529 2025 - 2029 1,247 657 1,904 2030 - 2034 3,605 81 3,686 2035 - 2039 3,719 156 3,875 Thereafter 4,738 430 5,168 At 31 December 2019 14,719 4,443 19,163 |
Trade, other payables and pro_2
Trade, other payables and provisions (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Trade and other payables [abstract] | |
Disclosure Of Detailed Information Of Trade And Other Payables [table text block] | At 31 December (in USD million) 2019 2018 Trade payables 3,047 2,532 Non-trade payables and accrued expenses 2,405 2,604 Joint venture payables 2,628 2,254 Payables to equity accounted associated companies and other related parties 947 725 Total financial trade and other payables 9,027 8,115 Current portion of provisions and other non-financial payables 1,423 255 Trade, other payables and provisions 10,450 8,369 |
Leases (Tables)
Leases (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Disclosure of reconciliation of liabilities arising from financing activities [line items] | |
Lease payments not included in lease liability | Information related to lease payments and lease liabilities (in USD million) Lease liabilities Lease liabilities at 1 January 2019 4,660 New leases, including remeasurements and cancellations 861 Gross lease payments (1,280) Lease interest 144 Lease down-payments (1,136) (1,136) Currency (47) Lease liability at 31 December 2019 1) 4,339 1) Of which USD 1,148 million is presented within current Finance debt and USD 3,191 million is presented within non-current Finance debt. Lease expenses not included in lease liabilities (in USD million) 2019 Short-term lease expenses 435 |
Information related to Right of use assets | Information related to Right of use assets (in USD million) Drilling rigs Vessels Lands and buildings Storage facilities Other Total Right of use assets at 1 January 2019 1,212 1,302 1,537 72 249 4,372 Additions including remeasurements and cancellations 1) 160 439 59 141 56 855 Depreciation and impairment 1) (398) (413) (225) (57) (81) (1,174) Currency and other (23) (8) (6) 0 (5) (42) Right of use assets at 31 December 2019 951 1,320 1,365 156 219 4,011 1) USD 375 million of the depreciation cost have been allocated to activities being capitalised. |
Lease liabilities [member] | |
Disclosure of reconciliation of liabilities arising from financing activities [line items] | |
Information related to lease payments and lease liabilities | Information related to lease payments and lease liabilities (in USD million) Lease liabilities Lease liabilities at 1 January 2019 4,660 New leases, including remeasurements and cancellations 861 Gross lease payments (1,280) Lease interest 144 Lease down-payments (1,136) (1,136) Currency (47) Lease liability at 31 December 2019 1) 4,339 1) Of which USD 1,148 million is presented within current Finance debt and USD 3,191 million is presented within non-current Finance debt. Lease expenses not included in lease liabilities (in USD million) 2019 Short-term lease expenses 435 |
Implementation of IFRS 16 Lease
Implementation of IFRS 16 Leases (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Disclosure of implemenation of IFRS Leases [abstract] | |
Impact of IFRS 16 on the Consolidated balance sheet | At 31 December IFRS 16 At 1 January (in USD million) 2018 Adjustments 2019 Property, plant and equipment 65,262 3,992 69,254 Prepayments and financial receivables 1,033 52 1,085 Total non-current assets 4,044 Trade and other receivables 8,998 45 9,043 Total current assets 45 Total assets 4,089 Non-current finance debt 23,264 3,159 26,423 Provisions 15,952 (105) 15,847 Total non-current liabilities 3,054 Trade and other payables and provisions 8,369 (34) 8,335 Current finance debt 2,463 1,069 3,532 Total current liabilities 1,035 Total liabilities 4,089 At 31 December 2019 (in USD million) IFRS as reported (IFRS 16) IAS 17 Difference Total non-current assets 93,285 89,546 3,738 Total current assets 24,778 24,750 29 Total assets 118,063 114,296 3,767 Total equity 41,159 41,235 (76) Total non-current liabilities 57,346 54,565 2,781 Total current liabilities 19,557 18,496 1,061 Total equity and liabilities 118,063 114,296 3,767 |
Maturity profile, based on undiscounted cash flows lease liabilities explanatory | (in USD million) 2019 2020-2021 2022-2023 2024-2028 After 2028 Total Lease payments 1,133 1,655 921 1,086 472 5,267 |
Impact of IFRS 16 on the Consolidated statement of income | Full year 2019 (in USD million) IFRS as reported (IFRS 16) IAS 17 Difference Total revenues and other income 64,357 64,127 230 Purchases [net of inventory variation] (29,532) (29,532) 0 Operating expenses (9,660) (10,179) 519 Selling, general and administrative expenses (809) (825) 16 Depreciation, amortisation and net impairment losses (13,204) (12,476) (728) Exploration expenses (1,854) (1,854) (0) Net operating income/(loss) 9,299 9,261 38 Net financial items (7) 87 (94) Income/(loss) before tax 9,292 9,348 (56) Income tax (7,441) (7,421) (20) Net income/(loss) 1,851 1,927 (76) |
Impact of IFRS 16 on the Consolidated Cash Flows | Full year 2019 (in USD million) IFRS as reported (IFRS 16) IAS 17 Difference Cash flows provided by operating activities 13,749 13,062 687 Cash flows used in investing activities (10,594) (11,003) 409 Cash flows provided by/(used in) financing activities (5,496) (4,400) (1,096) Net increase/(decrease) in cash and cash equivalents (2,341) (2,341) 0 |
Commitments related to operating leases | Operating leases (in USD million) Rigs Vessels Land and buildings Storage Other Total 2019 998 662 143 83 113 2,001 2020 523 599 141 60 84 1,406 2021 349 534 140 41 50 1,114 2022 372 384 136 40 28 960 2023 280 316 198 25 13 832 2024-2028 75 789 544 68 50 1,527 2029-2033 - 131 223 6 17 376 Thereafter - - 32 - 7 39 Total future minimum lease payments 2,597 3,414 1,558 322 363 8,253 |
Reconciliation of IFRS 16 lease liabilities to IAS 17 operating lease commitments | (in USD million) Operating lease commitments (IAS 17) at 31 December 2018 8,253 Short term leases and leases expiring during 2019 (666) Non-lease components (1,469) Commitments related to leases not yet commenced (2,116) Leases reported gross vs net 711 Effect of discounting (485) Finance leases (IAS 17) included in the balance sheet at 31 December 2018 432 Lease liability reported under IFRS 16 at 1 January 2019 4,660 |
Other commitments, contingent_2
Other commitments, contingent liabilities and contingent assets (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Disclosure of other provisions [abstract] | |
Disclosure of commitments [text block] | (in USD million) 2020 2,165 2021 2,082 2022 1,845 2023 1,581 2024 1,279 Thereafter 4,518 Total 13,470 |
Financial instruments_ fair v_2
Financial instruments: fair value measurement and sensitivity analysis of market risk (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Disclosure of detailed information about financial instruments [abstract] | |
Disclosure of financial assets [text block] | (in USD million) Note Amortised cost Fair value through profit or loss Non-financial assets Total carrying amount At 31 December 2019 Assets Non-current derivative financial instruments - 1,365 - 1,365 Non-current financial investments 13 167 3,433 - 3,600 Prepayments and financial receivables 13 1,057 - 157 1,214 Trade and other receivables 15 7,374 - 859 8,233 Current derivative financial instruments - 578 - 578 Current financial investments 13 7,050 377 - 7,426 Cash and cash equivalents 16 4,478 700 - 5,177 Total 20,125 6,452 1,016 27,593 (in USD million) Note Amortised cost Fair value through profit or loss Non-financial assets Total carrying amount At 31 December 2018 Assets Non-current derivative financial instruments - 1,032 - 1,032 Non-current financial investments 13 90 2,365 - 2,455 Prepayments and financial receivables 13 854 - 179 1,033 Trade and other receivables 15 8,488 - 510 8,998 Current derivative financial instruments - 318 - 318 Current financial investments 13 6,145 896 - 7,041 Cash and cash equivalents 16 5,301 2,255 - 7,556 Total 20,878 6,866 689 28,433 |
Disclosure of financial liabilities [text block] | (in USD million) Note Amortised cost Fair value through profit or loss Non-financial liabilities Total carrying amount At 31 December 2019 Liabilities Non-current finance debt 18, 22 21,754 - 3,191 24,945 Non-current derivative financial instruments - 1,173 - 1,173 Trade, other payables and provisions 21 9,027 - 1,423 10,450 Current finance debt 18, 22 2,939 - 1,148 4,087 Dividend payable 859 - - 859 Current derivative financial instruments - 462 - 462 Total 34,580 1,635 5,762 41,976 (in USD million) Note Amortised cost Fair value through profit or loss Non-financial liabilities Total carrying amount At 31 December 2018 Liabilities Non-current finance debt 18, 22 23,264 - - 23,264 Non-current derivative financial instruments - 1,207 - 1,207 Trade, other payables and provisions 21 8,115 - 255 8,369 Current finance debt 18, 22 2,463 - - 2,463 Dividend payable 766 - - 766 Current derivative financial instruments - 352 - 352 Total 34,608 1,559 255 36,422 |
Disclosure of fair value measurement [text block] | (in USD million) Non-current financial investments Non-current derivative financial instruments - assets Current financial investments Current derivative financial instruments - assets Cash equivalents Non-current derivative financial instruments - liabilities Current derivative financial instruments - liabilities Net fair value At 31 December 2019 Level 1 1,456 7 - 86 - (6) (70) 1,473 Level 2 1,700 1,139 377 461 700 (1,148) (394) 2,835 Level 3 277 219 - 33 - (19) - 510 Total fair value 3,433 1,365 377 578 700 (1,173) (462) 4,817 At 31 December 2018 Level 1 1,088 - 365 - - - - 1,453 Level 2 1,027 806 531 274 2,255 (1,172) (351) 3,370 Level 3 250 227 - 44 - (35) (1) 485 Total fair value 2,365 1,032 896 318 2,255 (1,207) (352) 5,307 |
Reconciliation of fair value changes in financial instruments [Table text block] | (in USD million) Non-current financial investments Non-current derivative financial instruments - assets Current derivative financial instruments - assets Non-current derivative financial instruments - liabilities Current derivative financial instruments - liabilities Total amount Opening as at 1 January 2019 250 227 44 (35) (1) 485 Total gains and losses recognised in statement of income (38) (6) 31 16 1 4 Purchases 78 - - - - 78 Settlement (11) - (42) - - (52) Transfer to level 1 (3) - - - - (3) Foreign currency translation differences (0) (2) (0) - - (3) Closing as at 31 December 2019 277 219 33 (19) - 510 Opening as at 1 January 2018 397 283 37 - (4) 713 Total gains and losses recognised in statement of income (91) (44) 46 (35) 3 (122) Purchases 35 - - - - 35 Settlement - - (36) - - (36) Transfer into level 3 (88) - - - - (88) Foreign currency translation differences (3) (13) (3) - - (18) Closing as at 31 December 2018 250 227 44 (35) (1) 485 |
Commodity price sensitivity [member] | |
Disclosure of risk management strategy related to hedge accounting [line items] | |
Sensitivity analysis for types of market risk [text block] | Commodity price sensitivity 2019 2018 (in USD million) - 30% + 30% - 30% + 30% At 31 December Crude oil and refined products net gains/(losses) 569 (563) 275 (230) Natural gas and electricity net gains/(losses) (33) 49 1,157 (1,156) |
Currency risk sensitivity [member] | |
Disclosure of risk management strategy related to hedge accounting [line items] | |
Sensitivity analysis for types of market risk [text block] | Currency risk sensitivity 2019 2018 (in USD million) - 9% + 9% - 9% + 9% At 31 December USD net gains/(losses) (220) 220 (230) 230 NOK net gains/(losses) 282 (282) 311 (311) |
Interest rate sensitivity [member] | |
Disclosure of risk management strategy related to hedge accounting [line items] | |
Sensitivity analysis for types of market risk [text block] | Interest risk sensitivity 2019 2018 (in USD million) - 0.6 percentage points + 0.6 percentage points - 0.6 percentage points + 0.6 percentage points At 31 December Positive/(negative) impact on net financial items 526 (526) 575 (575) |
Equity price risk [member] | |
Disclosure of risk management strategy related to hedge accounting [line items] | |
Sensitivity analysis for types of market risk [text block] | Equity price sensitivity 2019 (in USD million) - 35% + 35% At 31 December Net gains/(losses) (631) 631 |
Disclosure of condensed financi
Disclosure of condensed financial information related to guaruanteed debt securities (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Disclosure of condensed financial information [abstract] | |
Disclosure of condensed consolidated income statement [Table Text Block] | CONDENSED CONSOLIDATED STATEMENT OF INCOME AND OTHER COMPREHENSIVE INCOME Equinor ASA Equinor Energy AS Non-guarantor subsidiaries Consolidation adjustments The Equinor group Full year 2019 (in USD million) Revenues and other income 42,786 20,694 25,054 (24,340) 64,194 Net income/(loss) from equity accounted companies 538 (2,941) 144 2,423 164 Total revenues and other income 43,324 17,753 25,198 (21,918) 64,357 Total operating expenses (42,014) (10,780) (26,003) 23,739 (55,058) Net operating income/(loss) 1,309 6,973 (805) 1,822 9,299 Net financial items 545 (318) (381) 147 (7) Income/(loss) before tax 1,855 6,654 (1,186) 1,969 9,292 Income tax (156) (6,822) (532) 70 (7,441) Net income/(loss) 1,699 (168) (1,718) 2,038 1,851 Other comprehensive income/(loss) 467 (15) 165 (294) 323 Total comprehensive income/(loss) 2,166 (183) (1,553) 1,744 2,174 CONDENSED CONSOLIDATED STATEMENT OF INCOME AND OTHER COMPREHENSIVE INCOME Equinor ASA Equinor Energy AS Non-guarantor subsidiaries Consolidation adjustments The Equinor group Full year 2018 (in USD million) Revenues and other income 51,567 25,365 29,374 (27,004) 79,301 Net income/(loss) from equity accounted companies 7,832 1,065 262 (8,868) 291 Total revenues and other income 59,399 26,430 29,636 (35,872) 79,593 Total operating expenses (51,596) (10,138) (24,862) 27,140 (59,456) Net operating income/(loss) 7,803 16,292 4,774 (8,732) 20,137 Net financial items (1,300) (274) (505) 817 (1,263) Income/(loss) before tax 6,503 16,018 4,269 (7,916) 18,874 Income tax 219 (10,719) (786) (49) (11,335) Net income/(loss) 6,722 5,299 3,483 (7,965) 7,538 Other comprehensive income/(loss) (867) (334) (620) 140 (1,681) Total comprehensive income/(loss) 5,855 4,965 2,863 (7,825) 5,857 CONDENSED CONSOLIDATED STATEMENT OF INCOME AND OTHER COMPREHENSIVE INCOME Equinor ASA Equinor Energy AS Non-guarantor subsidiaries Consolidation adjustments The Equinor group Full year 2017 (in USD million) Revenues and other income 39,750 20,579 22,204 (21,535) 60,999 Net income/(loss) from equity accounted companies 5,051 (401) 33 (4,495) 188 Total revenues and other income 44,801 20,178 22,237 (26,029) 61,187 Total operating expenses (39,570) (9,217) (20,022) 21,392 (47,416) Net operating income/(loss) 5,232 10,961 2,216 (4,637) 13,771 Net financial items 311 (378) 439 (724) (351) Income/(loss) before tax 5,543 10,583 2,655 (5,361) 13,420 Income tax (230) (8,094) (539) 40 (8,822) Net income/(loss) 5,314 2,489 2,116 (5,321) 4,598 Other comprehensive income/(loss) 1,017 355 878 (509) 1,741 Total comprehensive income/(loss) 6,330 2,843 2,995 (5,830) 6,339 |
Disclosure of condensed consolidated Balance Sheet [Table Text Block] | CONDENSED CONSOLIDATED BALANCE SHEET Equinor ASA Equinor Energy AS Non-guarantor subsidiaries Consolidation adjustments The Equinor group At 31 December 2019 (in USD million) ASSETS Property, plant, equipment and intangible assets 1,930 37,560 41,311 (110) 80,691 Equity accounted companies 44,131 22,400 1,377 (66,467) 1,442 Other non-current assets 4,097 336 6,569 150 11,152 Non-current receivables from subsidiaries 23,387 (0) 24 (23,411) 0 Total non-current assets 73,545 60,297 49,281 (89,838) 93,285 Current receivables from subsidiaries 5,441 6,257 12,510 (24,208) 0 Other current assets 14,325 857 5,264 (845) 19,601 Cash and cash equivalents 3,272 15 1,890 0 5,177 Total current assets 23,038 7,129 19,665 (25,053) 24,778 Total assets 96,583 67,426 68,946 (114,891) 118,063 EQUITY AND LIABILITIES Total equity 41,139 26,528 40,767 (67,274) 41,159 Non-current liabilities to subsidiaries 22 11,976 11,413 (23,411) 0 Other non-current liabilities 28,518 20,395 8,442 (9) 57,346 Total non-current liabilities 28,540 32,371 19,855 (23,420) 57,346 Other current liabilities 8,298 6,039 5,209 11 19,557 Current liabilities to subsidiaries 18,605 2,489 3,114 (24,208) (0) Total current liabilities 26,903 8,527 8,324 (24,197) 19,557 Total liabilities 55,443 40,898 28,179 (47,616) 76,904 Total equity and liabilities 96,582 67,426 68,946 (114,891) 118,063 CONDENSED CONSOLIDATED BALANCE SHEET Equinor ASA Equinor Energy AS Non-guarantor subsidiaries Consolidation adjustments The Equinor group At 31 December 2018 (in USD million) ASSETS Property, plant, equipment and intangible assets 502 33,309 41,140 (17) 74,934 Equity accounted companies 46,828 23,668 1,697 (69,330) 2,863 Other non-current assets 2,741 381 5,572 (39) 8,655 Non-current receivables from subsidiaries 25,524 (0) 22 (25,547) 0 Total non-current assets 75,595 57,358 48,432 (94,933) 86,452 Current receivables from subsidiaries 2,379 6,529 13,215 (22,123) 0 Other current assets 13,082 927 4,780 (288) 18,501 Cash and cash equivalents 6,287 27 1,242 0 7,556 Total current assets 21,747 7,483 19,237 (22,411) 26,056 Total assets 97,342 64,841 67,668 (117,343) 112,508 EQUITY AND LIABILITIES Total equity 42,970 26,706 42,838 (69,524) 42,990 Non-current liabilities to subsidiaries 20 13,847 11,679 (25,547) (0) Other non-current liabilities 28,416 17,033 7,536 (71) 52,914 Total non-current liabilities 28,436 30,880 19,216 (25,618) 52,914 Other current liabilities 6,955 6,511 3,216 (78) 16,605 Current liabilities to subsidiaries 18,981 744 2,398 (22,123) (0) Total current liabilities 25,936 7,256 5,614 (22,201) 16,605 Total liabilities 54,372 38,135 24,830 (47,819) 69,519 Total equity and liabilities 97,342 64,841 67,668 (117,343) 112,508 |
Disclosure of Condensed Cash Flow Statement [Table Text Block] | CONDENSED CONSOLIDATED CASH FLOW STATEMENT Equinor ASA Equinor Energy AS Non-guarantor subsidiaries Consolidation adjustments The Equinor group Full year 2019 (in USD million) Cash flows provided by/(used in) operating activities 1,728 8,433 6,389 (2,802) 13,749 Cash flows provided by/(used in) investing activities 734 (8,258) (5,418) 2,347 (10,594) Cash flows provided by/(used in) financing activities (5,465) (186) (300) 455 (5,496) Net increase/(decrease) in cash and cash equivalents (3,002) (11) 672 0 (2,341) Effect of exchange rate changes on cash and cash equivalents (13) (1) (24) 0 (38) Cash and cash equivalents at the beginning of the period (net of overdraft) 6,287 27 1,242 0 7,556 Cash and cash equivalents at the end of the period (net of overdraft) 3,272 15 1,890 0 5,177 Equinor ASA Equinor Energy AS Non-guarantor subsidiaries Consolidation adjustments The Equinor group Full year 2018 (in USD million) Cash flows provided by/(used in) operating activities 4,565 12,421 7,224 (4,516) 19,694 Cash flows provided by/(used in) investing activities 1,046 (8,281) (6,649) 2,672 (11,212) Cash flows provided by/(used in) financing activities (2,840) (4,140) 112 1,844 (5,024) Net increase/(decrease) in cash and cash equivalents 2,771 0 687 0 3,458 Effect of exchange rate changes on cash and cash equivalents (243) 0 (49) 0 (292) Cash and cash equivalents at the beginning of the period (net of overdraft) 3,759 27 603 0 4,390 Cash and cash equivalents at the end of the period (net of overdraft) 6,287 27 1,242 0 7,556 Equinor ASA Equinor Energy AS Non-guarantor subsidiaries Consolidation adjustments The Equinor group Full year 2017 (in USD million) Cash flows provided by/(used in) operating activities 339 9,506 5,242 (286) 14,802 Cash flows provided by/(used in) investing activities 3,227 (9,070) (4,718) 444 (10,117) Cash flows provided by/(used in) financing activities (4,459) (478) (727) (158) (5,822) Net increase/(decrease) in cash and cash equivalents (892) (42) (203) 0 (1,137) Effect of exchange rate changes on cash and cash equivalents 377 23 36 0 436 Cash and cash equivalents at the beginning of the period (net of overdraft) 4,274 46 770 0 5,090 Cash and cash equivalents at the end of the period (net of overdraft) 3,759 27 603 0 4,390 |
Organisation (Details)
Organisation (Details) | 12 Months Ended |
Dec. 31, 2019 | |
Organisation [Abstract] | |
Name of reporting entity or other means of identification | Equinor ASA |
Domicile of entity | Norway |
Country of incorporation | Norway |
Address of entity's registered office | Forusbeen 50, N-4035 Stavanger, Norway |
Description of nature of entity's operations and principal activities | The Equinor group's business consists principally of the exploration, production, transportation, refining and marketing of petroleum and petroleum-derived products and other forms of energy. |
Segments - Segment Data (Detail
Segments - Segment Data (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Disclosure of operating segments [line items] | |||
Revenues third party, other revenues and other income | $ 64,194 | $ 79,301 | $ 60,999 |
Revenues inter-segment | 0 | 0 | 0 |
Net income/(loss) from equity accounted investments | 164 | 291 | 188 |
Total revenues and other income | 64,357 | 79,593 | 61,187 |
Purchases (net of inventory variation) | (29,532) | (38,516) | (28,212) |
Operating, selling, general and administrative expenses | (10,469) | (10,286) | (9,501) |
Depreciation, amortisation and net impairment losses | (13,204) | (9,249) | (8,644) |
Exploration expenses | (1,854) | (1,405) | (1,059) |
Total Operating expenses | (55,058) | (59,456) | (47,416) |
Net operating income/(loss) | 9,299 | 20,137 | 13,771 |
Additions to PP&E, intangibles and equity accounted investments | 14,782 | 15,201 | 10,795 |
Balance sheet information [abstract] | |||
Equity accounted investments | 1,442 | 2,863 | 2,551 |
Noncurrent Assets | 93,285 | 86,452 | 83,911 |
Exploration & Production Norway (E&P) [member] | |||
Disclosure of operating segments [line items] | |||
Revenues third party, other revenues and other income | 1,048 | 588 | (23) |
Revenues inter-segment | 17,769 | 21,877 | 17,586 |
Net income/(loss) from equity accounted investments | 15 | 10 | 129 |
Total revenues and other income | 18,832 | 22,475 | 17,692 |
Purchases (net of inventory variation) | (1) | 2 | 0 |
Operating, selling, general and administrative expenses | (3,284) | (3,270) | (2,954) |
Depreciation, amortisation and net impairment losses | (5,439) | (4,370) | (3,874) |
Exploration expenses | (478) | (431) | (379) |
Total Operating expenses | (9,201) | (8,069) | (7,207) |
Net operating income/(loss) | 9,631 | 14,406 | 10,485 |
Additions to PP&E, intangibles and equity accounted investments | 7,316 | 6,947 | 4,869 |
Balance sheet information [abstract] | |||
Equity accounted investments | 3 | 1,102 | 1,133 |
Exploration & Production (E&P) International [member] | |||
Disclosure of operating segments [line items] | |||
Revenues third party, other revenues and other income | 2,127 | 3,181 | 1,984 |
Revenues inter-segment | 8,168 | 9,186 | 7,249 |
Net income/(loss) from equity accounted investments | 30 | 31 | 22 |
Total revenues and other income | 10,325 | 12,399 | 9,256 |
Purchases (net of inventory variation) | (34) | (26) | (7) |
Operating, selling, general and administrative expenses | (3,352) | (3,006) | (2,804) |
Depreciation, amortisation and net impairment losses | (6,361) | (4,592) | (4,423) |
Exploration expenses | (1,377) | (973) | (681) |
Total Operating expenses | (11,124) | (8,597) | (7,915) |
Net operating income/(loss) | (800) | 3,802 | 1,341 |
Additions to PP&E, intangibles and equity accounted investments | 5,855 | 7,403 | 5,063 |
Balance sheet information [abstract] | |||
Equity accounted investments | 321 | 296 | 234 |
Marketing, Midstream and Processing (MMP) [Member] | |||
Disclosure of operating segments [line items] | |||
Revenues third party, other revenues and other income | 60,491 | 75,487 | 58,935 |
Revenues inter-segment | 439 | 291 | 83 |
Net income/(loss) from equity accounted investments | 25 | 16 | 53 |
Total revenues and other income | 60,955 | 75,794 | 59,071 |
Purchases (net of inventory variation) | (54,454) | (69,296) | (52,647) |
Operating, selling, general and administrative expenses | (4,897) | (4,377) | (3,925) |
Depreciation, amortisation and net impairment losses | (600) | (215) | (256) |
Exploration expenses | 0 | 0 | 0 |
Total Operating expenses | (59,951) | (73,888) | (56,828) |
Net operating income/(loss) | 1,004 | 1,906 | 2,243 |
Additions to PP&E, intangibles and equity accounted investments | 788 | 331 | 320 |
Balance sheet information [abstract] | |||
Equity accounted investments | 90 | 92 | 134 |
Other segment [member] | |||
Disclosure of operating segments [line items] | |||
Revenues third party, other revenues and other income | 527 | 45 | 102 |
Revenues inter-segment | 4 | 2 | 1 |
Net income/(loss) from equity accounted investments | 93 | 234 | (16) |
Total revenues and other income | 624 | 280 | 87 |
Purchases (net of inventory variation) | (1) | 0 | 0 |
Operating, selling, general and administrative expenses | 272 | (288) | (235) |
Depreciation, amortisation and net impairment losses | (804) | (72) | (91) |
Exploration expenses | 0 | 0 | 0 |
Total Operating expenses | (533) | (360) | (326) |
Net operating income/(loss) | 92 | (79) | (239) |
Additions to PP&E, intangibles and equity accounted investments | 823 | 519 | 543 |
Balance sheet information [abstract] | |||
Equity accounted investments | 1,028 | 1,373 | 1,050 |
Eliminations [member] | |||
Disclosure of operating segments [line items] | |||
Revenues third party, other revenues and other income | 0 | 0 | 0 |
Revenues inter-segment | (26,379) | (31,355) | (24,919) |
Net income/(loss) from equity accounted investments | 0 | 0 | |
Total revenues and other income | (26,379) | (31,355) | (24,919) |
Purchases (net of inventory variation) | 24,958 | 30,805 | 24,442 |
Operating, selling, general and administrative expenses | 793 | 653 | 418 |
Depreciation, amortisation and net impairment losses | 0 | 0 | 0 |
Exploration expenses | 0 | 0 | 0 |
Total Operating expenses | 25,750 | 31,458 | 24,860 |
Net operating income/(loss) | (629) | 103 | (59) |
Additions to PP&E, intangibles and equity accounted investments | 0 | 0 | 0 |
Balance sheet information [abstract] | |||
Equity accounted investments | 0 | 0 | 0 |
Unallocated amounts [member] | |||
Balance sheet information [abstract] | |||
Noncurrent Assets | 11,152 | 8,655 | 9,102 |
Segments [member] | |||
Balance sheet information [abstract] | |||
Noncurrent Assets | 80,691 | 74,934 | 72,258 |
Segments [member] | Exploration & Production Norway (E&P) [member] | |||
Balance sheet information [abstract] | |||
Noncurrent Assets | 33,795 | 30,762 | 30,278 |
Segments [member] | Exploration & Production (E&P) International [member] | |||
Balance sheet information [abstract] | |||
Noncurrent Assets | 37,558 | 38,672 | 36,453 |
Segments [member] | Marketing, Midstream and Processing (MMP) [Member] | |||
Balance sheet information [abstract] | |||
Noncurrent Assets | 5,124 | 5,148 | 5,137 |
Segments [member] | Other segment [member] | |||
Balance sheet information [abstract] | |||
Noncurrent Assets | $ 4,214 | 353 | 390 |
Segments [member] | Eliminations [member] | |||
Balance sheet information [abstract] | |||
Noncurrent Assets | $ 0 | $ 0 |
Segments - Non current assets b
Segments - Non current assets by country (Details) $ in Millions | 12 Months Ended | |||
Dec. 31, 2019USD ($)Countries | Dec. 31, 2018USD ($) | Dec. 31, 2017USD ($) | ||
Disclosure of geographical areas [line items] | ||||
Non-current assets | [1] | $ 82,133 | $ 77,797 | $ 74,809 |
Minimum [member] | ||||
Disclosure of geographical areas [line items] | ||||
Number of countries with operating units | Countries | 30 | |||
Norway [member] | ||||
Disclosure of geographical areas [line items] | ||||
Non-current assets | $ 40,292 | $ 34,952 | $ 34,588 | |
Percentage of entity's revenue | 75.00% | 75.00% | 74.00% | |
USA [member] | ||||
Disclosure of geographical areas [line items] | ||||
Non-current assets | $ 17,776 | $ 19,409 | $ 19,267 | |
Percentage of entity's revenue | 18.00% | 18.00% | 17.00% | |
Brazil [member] | ||||
Disclosure of geographical areas [line items] | ||||
Non-current assets | $ 8,724 | $ 7,861 | $ 4,584 | |
UK [member] | ||||
Disclosure of geographical areas [line items] | ||||
Non-current assets | 5,657 | 4,588 | 4,222 | |
Canada [member] | ||||
Disclosure of geographical areas [line items] | ||||
Non-current assets | 1,672 | 1,546 | 1,715 | |
Azerbaijan [member] | ||||
Disclosure of geographical areas [line items] | ||||
Non-current assets | 1,598 | 1,452 | 1,472 | |
Angola [member] | ||||
Disclosure of geographical areas [line items] | ||||
Non-current assets | 1,564 | 1,874 | 2,888 | |
Denmark [member] | ||||
Disclosure of geographical areas [line items] | ||||
Non-current assets | 984 | 407 | 266 | |
Tanzania [member] | ||||
Disclosure of geographical areas [line items] | ||||
Non-current assets | 964 | 957 | 960 | |
Algeria [member] | ||||
Disclosure of geographical areas [line items] | ||||
Non-current assets | 915 | 986 | 1,114 | |
Other countries [Member] | ||||
Disclosure of geographical areas [line items] | ||||
Non-current assets | $ 1,986 | $ 3,764 | $ 3,732 | |
[1] | 1) Excluding deferred tax assets, pension assets and non-current financial assets. |
Segments - Revenues from contra
Segments - Revenues from contracts with customers (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Disclosure of geographical areas [line items] | |||
Revenues from contracts with customers | $ 62,657 | $ 77,246 | $ 60,971 |
Over/Under lift | 0 | 137 | 0 |
Taxes paid in kind | 344 | 865 | 0 |
Physically settled commodity derivatives | (1,086) | 488 | 0 |
Gain (loss) on commodity derivatives | 732 | (216) | 0 |
Other revenues | 265 | 36 | 0 |
Total other revenues | 254 | 1,309 | 0 |
Revenues | 62,911 | 78,555 | 60,971 |
Crude oil [member] | |||
Disclosure of geographical areas [line items] | |||
Revenues from contracts with customers | 33,505 | 40,948 | 29,519 |
Crude oil [member] | European [member] | |||
Disclosure of geographical areas [line items] | |||
Revenues from contracts with customers | 9,366 | 11,675 | 9,739 |
Crude oil [member] | North America [member] | |||
Disclosure of geographical areas [line items] | |||
Revenues from contracts with customers | 1,359 | 1,581 | 1,248 |
Crude oil [member] | Other incl LNG [member] | |||
Disclosure of geographical areas [line items] | |||
Revenues from contracts with customers | 556 | 814 | 433 |
Natural gas [Member] | |||
Disclosure of geographical areas [line items] | |||
Revenues from contracts with customers | 11,281 | 14,070 | 11,420 |
Refined products [Member] | |||
Disclosure of geographical areas [line items] | |||
Revenues from contracts with customers | 10,652 | 13,124 | 11,423 |
Natural gas liquids [Member] | |||
Disclosure of geographical areas [line items] | |||
Revenues from contracts with customers | 5,807 | 7,167 | 5,647 |
Trasnsportation [Member] | |||
Disclosure of geographical areas [line items] | |||
Revenues from contracts with customers | 967 | 1,033 | 0 |
Other sales [member] | |||
Disclosure of geographical areas [line items] | |||
Revenues from contracts with customers | $ 445 | $ 903 | $ 2,963 |
Acquisitions and divestments, a
Acquisitions and divestments, acquisitions (Details) € in Millions | Aug. 30, 2019USD ($) | Jun. 30, 2018USD ($) | Dec. 31, 2017USD ($) | Oct. 31, 2017 | Nov. 30, 2016USD ($) | Sep. 30, 2019USD ($) | Jun. 30, 2019USD ($) | Mar. 31, 2019USD ($) | Mar. 31, 2018USD ($) | Dec. 31, 2019USD ($) | Mar. 31, 2019EUR (€) | Mar. 31, 2019USD ($) | Dec. 31, 2018USD ($) |
Acquisitions [line items] | |||||||||||||
Total Exploration expenditures | $ 3,014,000,000 | $ 2,685,000,000 | |||||||||||
Equity accounted investments | $ 2,551,000,000 | 1,442,000,000 | 2,863,000,000 | ||||||||||
Exploration & Production (E&P) International [member] | |||||||||||||
Acquisitions [line items] | |||||||||||||
Equity accounted investments | 234,000,000 | 321,000,000 | 296,000,000 | ||||||||||
Marketing, Midstream and Processing (MMP) [Member] | |||||||||||||
Acquisitions [line items] | |||||||||||||
Equity accounted investments | 134,000,000 | 90,000,000 | 92,000,000 | ||||||||||
Other segment [member] | |||||||||||||
Acquisitions [line items] | |||||||||||||
Equity accounted investments | 1,050,000,000 | 1,028,000,000 | 1,373,000,000 | ||||||||||
Exploration & Production Norway (E&P) [member] | |||||||||||||
Acquisitions [line items] | |||||||||||||
Equity accounted investments | $ 1,133,000,000 | $ 3,000,000 | $ 1,102,000,000 | ||||||||||
Rosebank project in UK [Member] | Exploration & Production (E&P) International [member] | |||||||||||||
Acquisitions [line items] | |||||||||||||
Percentage of share acquired | 40.00% | 40.00% | |||||||||||
Cash consideration | $ 71,000,000 | ||||||||||||
Danske Commodities (DC) [Member] | Marketing, Midstream and Processing (MMP) [Member] | |||||||||||||
Acquisitions [line items] | |||||||||||||
Percentage of share acquired | 100.00% | 100.00% | |||||||||||
Cash consideration | € 465 | $ 535,000,000 | |||||||||||
Increase of Equinor's non-current assets | 13,000,000 | ||||||||||||
Increase in current assets | 836,000,000 | ||||||||||||
Increase in current liabilities | 749,000,000 | ||||||||||||
Increase in deferred tax liability | 2,000,000 | ||||||||||||
Goodwill | $ 437,000,000 | ||||||||||||
Lease OCS-A 0520 [Member] | Other segment [member] | |||||||||||||
Acquisitions [line items] | |||||||||||||
Total purchase price | $ 135,000,000 | ||||||||||||
Swap of interests in the Norwegian Sea and the North Sea region [Member] | Exploration & Production Norway (E&P) [member] | |||||||||||||
Acquisitions [line items] | |||||||||||||
Cash consideration | $ 0 | ||||||||||||
Increased assets | 280,000,000 | ||||||||||||
Increased liabilities | 97,000,000 | ||||||||||||
Goodwill | $ 82,000,000 | ||||||||||||
BM-S-8 license [member] | |||||||||||||
Acquisitions [line items] | |||||||||||||
Ownership interest in associate | 76.00% | ||||||||||||
BM-S-8 license [member] | Exploration & Production (E&P) International [member] | |||||||||||||
Acquisitions [line items] | |||||||||||||
Percentage of share acquired | 66.00% | 10.00% | |||||||||||
Total purchase price | $ 415,000,000 | ||||||||||||
Increase in intangible assets | $ 2,271,000,000 | 146,000,000 | |||||||||||
Portion of consideration in cash paid (received) | $ 101,000,000 | ||||||||||||
Caesar Tonga field in the Gulf of Mexico [Member] | Exploration & Production (E&P) International [member] | |||||||||||||
Acquisitions [line items] | |||||||||||||
Percentage of share acquired | 22.45% | ||||||||||||
Cash consideration | $ 813,000,000 | ||||||||||||
Increased assets | 850,000,000 | ||||||||||||
Increased liabilities | $ 37,000,000 | ||||||||||||
Caesar Tonga field in the Gulf of Mexico [Member] | Exploration & Production (E&P) International [member] | Maximum (%) [member] | |||||||||||||
Acquisitions [line items] | |||||||||||||
Ownership interest in joint operation | 23.55% | ||||||||||||
Caesar Tonga field in the Gulf of Mexico [Member] | Exploration & Production (E&P) International [member] | Minimum (%) [member] | |||||||||||||
Acquisitions [line items] | |||||||||||||
Ownership interest in joint operation | 46.00% | ||||||||||||
Johan Sverdrup field [Member] | Exploration & Production Norway (E&P) [member] | |||||||||||||
Acquisitions [line items] | |||||||||||||
Percentage of share acquired | 2.60% | ||||||||||||
Total purchase price | $ 981,000,000 | ||||||||||||
Increase in deferred tax liability | 612,000,000 | ||||||||||||
Increased assets | 1,580,000,000 | ||||||||||||
Goodwill | 612,000,000 | ||||||||||||
Increase in other assets | $ 13,000,000 | ||||||||||||
SPM Argentina S.A. [Member] | Exploration & Production (E&P) International [member] | |||||||||||||
Acquisitions [line items] | |||||||||||||
Percentage of share acquired | 50.00% | ||||||||||||
Total purchase price | $ 1,775,000,000 | ||||||||||||
SPM Argentina S.A. [Member] | Exploration & Production (E&P) International [member] | Bandurria Sur [Member] | |||||||||||||
Acquisitions [line items] | |||||||||||||
Ownership interest in associate | 49.00% | ||||||||||||
Martin Linge field and Garantiana discovery [Member] | Exploration & Production Norway (E&P) [member] | |||||||||||||
Acquisitions [line items] | |||||||||||||
Total purchase price | $ 1,541,000,000 | ||||||||||||
Increase in deferred tax liability | 265,000,000 | ||||||||||||
Goodwill | 265,000,000 | ||||||||||||
Increase in intangible assets | 116,000,000 | ||||||||||||
Increase in other assets | 7,000,000 | ||||||||||||
Increase in property plant and equipment resulting from business combination | 1,418,000,000 | ||||||||||||
Cobalt's North Platte interest in the Gulf of Mexico [Member] | Exploration & Production (E&P) International [member] | |||||||||||||
Acquisitions [line items] | |||||||||||||
Increase in intangible assets | 246,000,000 | ||||||||||||
Contingent payments | $ 20,000,000 | ||||||||||||
Cobalt's North Platte interest in the Gulf of Mexico [Member] | Exploration & Production (E&P) International [member] | Total operator [Member] | |||||||||||||
Acquisitions [line items] | |||||||||||||
Ownership interest in joint operation | 60.00% | ||||||||||||
Cobalt's North Platte interest in the Gulf of Mexico [Member] | Exploration & Production (E&P) International [member] | Equinor and Total [Member] | |||||||||||||
Acquisitions [line items] | |||||||||||||
Total purchase price | $ 339,000,000 | ||||||||||||
Cobalt's North Platte interest in the Gulf of Mexico [Member] | Exploration & Production (E&P) International [member] | Equinor [Member] | |||||||||||||
Acquisitions [line items] | |||||||||||||
Ownership interest in joint operation | 40.00% | ||||||||||||
Roncador field [Member] | Exploration & Production (E&P) International [member] | |||||||||||||
Acquisitions [line items] | |||||||||||||
Percentage of share acquired | 25.00% | ||||||||||||
Cash consideration | $ 2,133,000,000 | ||||||||||||
Increase in intangible assets | 392,000,000 | ||||||||||||
Increase in property plant and equipment resulting from business combination | 2,550,000,000 | ||||||||||||
Increase in provisions | 808,000,000 | ||||||||||||
Contingent payments | $ 392,000,000 | ||||||||||||
QGEP [member] | |||||||||||||
Acquisitions [line items] | |||||||||||||
Percentage of share acquired | 10.00% | ||||||||||||
Increase in intangible assets | $ 362,000,000 | ||||||||||||
The Carcara North block [Member] | |||||||||||||
Acquisitions [line items] | |||||||||||||
Bid in percentage of profit oil | 67.12% | ||||||||||||
Signature bonus | $ 350,000,000 | ||||||||||||
The Carcara North block [Member] | ExxonMobil [Member] | |||||||||||||
Acquisitions [line items] | |||||||||||||
Bid in percentage of profit oil | 40.00% | ||||||||||||
The Carcara North block [Member] | Galp [Member] | |||||||||||||
Acquisitions [line items] | |||||||||||||
Bid in percentage of profit oil | 20.00% | ||||||||||||
The Carcara North block [Member] | Equinor [Member] | |||||||||||||
Acquisitions [line items] | |||||||||||||
Bid in percentage of profit oil | 40.00% | ||||||||||||
The Martin Linge field [Member] | Exploration & Production Norway (E&P) [member] | |||||||||||||
Acquisitions [line items] | |||||||||||||
Percentage of share acquired | 51.00% | ||||||||||||
The Martin Linge field [Member] | Exploration & Production Norway (E&P) [member] | Maximum (%) [member] | |||||||||||||
Acquisitions [line items] | |||||||||||||
Ownership interest in associate | 70.00% | ||||||||||||
The Martin Linge field [Member] | Exploration & Production Norway (E&P) [member] | Minimum (%) [member] | |||||||||||||
Acquisitions [line items] | |||||||||||||
Ownership interest in associate | 19.00% | ||||||||||||
Garantiana discovery [Member] | Exploration & Production Norway (E&P) [member] | |||||||||||||
Acquisitions [line items] | |||||||||||||
Percentage of share acquired | 40.00% |
Acquisitions and divestments, d
Acquisitions and divestments, divestitures (Details) € in Millions, shares in Millions, kr in Millions, $ in Millions, $ in Millions | Aug. 05, 2019USD ($) | Dec. 31, 2018USD ($) | Jun. 30, 2018USD ($) | Jan. 31, 2017CAD ($)shares | Jan. 31, 2017USD ($) | Dec. 31, 2019EUR (€) | Dec. 31, 2019USD ($) | Sep. 30, 2019SEK (kr) | Sep. 30, 2019USD ($) | Jun. 30, 2019USD ($) | Dec. 31, 2017USD ($) | Sep. 30, 2017 | Jan. 31, 2017USD ($)shares |
Discoveries on NCS Shelf [Member] | Exploration & Production Norway (E&P) [member] | |||||||||||||
Divestments [Line Items] | |||||||||||||
Gain (loss) on disposal of assets or discontinued operations | $ 449 | $ 137 | |||||||||||
Divestment of Lundin Petroleum AB shares [Member] | Exploration & Production Norway (E&P) [member] | |||||||||||||
Divestments [Line Items] | |||||||||||||
Proportion of ownership interest divested | 16.00% | 16.00% | |||||||||||
Proportion of voting rights held in associate | 4.90% | ||||||||||||
Gain (loss) on disposal of assets or discontinued operations | $ 837 | ||||||||||||
Proceeds from divesture/sale | kr 14,510 | $ 1,508 | |||||||||||
Divestment of interest in Arkona offshore windfarm [Member] | Other segment [member] | |||||||||||||
Divestments [Line Items] | |||||||||||||
Proportion of ownership interest divested | 25.00% | 25.00% | |||||||||||
Proportion of ownership interest in associate | 25.00% | 25.00% | |||||||||||
Gain (loss) on disposal of assets or discontinued operations | $ 212 | ||||||||||||
Proceeds from divesture/sale | € 475 | $ 526 | |||||||||||
Divestment of interest in Arkona offshore windfarm [Member] | Other segment [member] | RWE Renewables [Member] | |||||||||||||
Divestments [Line Items] | |||||||||||||
Proportion of ownership interest in associate | 50.00% | 50.00% | |||||||||||
Divestment of interest in Eagle Ford asset in the onshore USA [Member] | Exploration & Production (E&P) International [member] | |||||||||||||
Divestments [Line Items] | |||||||||||||
Proceeds from divesture/sale | $ 352 | ||||||||||||
Kai Kos Dehseh [Member] | |||||||||||||
Divestments [Line Items] | |||||||||||||
Proportion of ownership interest divested | 100.00% | 100.00% | |||||||||||
Portion of consideration in cash paid (received) | $ 431 | $ 328 | |||||||||||
Fair value of shares and contingent consideration | $ 185 | $ 142 | |||||||||||
Kai Kos Dehseh [Member] | Exploration & Production (E&P) International [member] | |||||||||||||
Divestments [Line Items] | |||||||||||||
Gain (loss) on disposal of assets or discontinued operations | $ (351) | ||||||||||||
Kai Kos Dehseh [Member] | Athabasca oil [Member] | |||||||||||||
Divestments [Line Items] | |||||||||||||
Number of instruments or interests issued or issuable | shares | 100 | 100 | |||||||||||
BM-S-8 license [member] | Exploration & Production (E&P) International [member] | |||||||||||||
Divestments [Line Items] | |||||||||||||
Proportion of ownership interest divested | 39.50% | ||||||||||||
Total consideration | $ 1,493 | ||||||||||||
Proceeds from divesture/sale | $ 1,016 | ||||||||||||
BM-S-8 license [member] | Exploration & Production (E&P) International [member] | ExxonMobil [Member] | |||||||||||||
Divestments [Line Items] | |||||||||||||
Proportion of ownership interest divested | 36.50% | ||||||||||||
BM-S-8 license [member] | Exploration & Production (E&P) International [member] | Galp [Member] | |||||||||||||
Divestments [Line Items] | |||||||||||||
Proportion of ownership interest divested | 3.00% | ||||||||||||
BM-S-8 license [member] | E&P International and the MMP [Member] | |||||||||||||
Divestments [Line Items] | |||||||||||||
Proceeds from divesture/sale | $ 269 | ||||||||||||
BM-S-8 license [member] | E&P International and the MMP [Member] | ExxonMobil [Member] | |||||||||||||
Divestments [Line Items] | |||||||||||||
Proportion of ownership interest divested | 3.50% | ||||||||||||
BM-S-8 license [member] | E&P International and the MMP [Member] | Galp [Member] | |||||||||||||
Divestments [Line Items] | |||||||||||||
Proportion of ownership interest divested | 3.00% | ||||||||||||
Azeri-Chirag-Deepwater Gunashli agreement [Member] | Exploration & Production Norway (E&P) [member] | Before reduction in interest | |||||||||||||
Divestments [Line Items] | |||||||||||||
Proportion of voting rights held in joint operation | 8.56% | ||||||||||||
Azeri-Chirag-Deepwater Gunashli agreement [Member] | Exploration & Production Norway (E&P) [member] | After reduction in interest [Member] | |||||||||||||
Divestments [Line Items] | |||||||||||||
Proportion of voting rights held in joint operation | 7.27% | ||||||||||||
Azeri-Chirag-Deepwater Gunashli agreement [Member] | Exploration & Production Norway (E&P) [member] | State Oil Fund of the Republic of Azerbaijan [Member] | |||||||||||||
Divestments [Line Items] | |||||||||||||
Noncurrent Payable for purchase of production sharing agreement | $ 3,600 | ||||||||||||
Azeri-Chirag-Deepwater Gunashli agreement [Member] | Exploration & Production (E&P) International [member] | |||||||||||||
Divestments [Line Items] | |||||||||||||
Description of production sharing agreement terms | Azeri-Chirag-Deepwater Gunashli (ACG) production sharing agreement was extended by 25 years. | ||||||||||||
Noncurrent Payable for purchase of production sharing agreement | $ 349 | ||||||||||||
Payable period | over a period of 8 years | ||||||||||||
King Lear discovery on the NCS shelf [Member] | Exploration & Production Norway (E&P) [member] | |||||||||||||
Divestments [Line Items] | |||||||||||||
Proportion of ownership interest divested | 77.80% | ||||||||||||
Total consideration | $ 250 | ||||||||||||
Tommeliten discovery on the NCS [Member] | Exploration & Production Norway (E&P) [member] | |||||||||||||
Divestments [Line Items] | |||||||||||||
Total consideration | $ 220 |
Financial risk management narra
Financial risk management narrative (Details) $ in Millions | Nov. 13, 2019 | Dec. 31, 2019USD ($)Core_Banks | Jan. 01, 2019USD ($) | Dec. 31, 2018USD ($) |
Disclosure of offsetting of financial assets [line items] | ||||
Credit facility maturity date | November 2049 | |||
Lease Liabilities | $ 4,339 | $ 4,660 | $ 432 | |
Statoil's Captive Insurance Company [Member] | ||||
Disclosure of offsetting of financial assets [line items] | ||||
Cash held as collateral | 791 | 1,261 | ||
SDFI [Member] | ||||
Disclosure of offsetting of financial assets [line items] | ||||
Cash held as collateral | 0 | 146 | ||
Liquidity risk [member] | ||||
Disclosure of offsetting of financial assets [line items] | ||||
Commercial Papers Programme | 5,000 | |||
Revolving credit facility | $ 5,000 | |||
Number of banks | Core_Banks | 21 | |||
Credit facility maturity date | maturing in 2022 | |||
Description of strategy for managing liquidity risk | Equinor raises debt in all major capital markets (US, Europe and Asia) for long-term funding purposes. The policy is to have a maturity profile with repayments not exceeding 5% of capital employed in any year for the nearest five years. | |||
Maximum Percentage Of Repayment Of Long Term Funding | 5.00% | |||
Maturity Profile Of Debt Funding Repayment | 5 years | |||
Non-current liabilities weighted average maturity | 9 years | |||
Credit risk [member] | ||||
Disclosure of offsetting of financial assets [line items] | ||||
Cash held as collateral | $ 585 | 213 | ||
Liabilities not offsetting under netting arrangements | 603 | 655 | ||
Financial instruments offset under netting arrangements | $ 2,187 | 119 | ||
Trade and other receivables [member] | Credit risk [member] | ||||
Disclosure of offsetting of financial assets [line items] | ||||
Percentage of overdue trade and other receivables for 30 days and more | 2.00% | |||
Financial instruments offset under netting arrangements | $ 1,309 | $ 557 |
Financial risk management - Und
Financial risk management - Undiscounted contractual cash flows (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 |
Disclosure of maturity analysis for derivative financial liabilities [line items] | ||
Non-derivative financial liabilities | $ 43,012 | $ 42,562 |
Lease liabilities | 4,607 | 502 |
Derivative financial liabilities | 1,835 | 2,488 |
Year 1 [member] | ||
Disclosure of maturity analysis for derivative financial liabilities [line items] | ||
Non-derivative financial liabilities | 13,388 | 11,958 |
Lease liabilities | 1,210 | 61 |
Derivative financial liabilities | 204 | 271 |
2021 [member] | ||
Disclosure of maturity analysis for derivative financial liabilities [line items] | ||
Non-derivative financial liabilities | 4,370 | 5,504 |
Lease liabilities | 1,483 | 120 |
Derivative financial liabilities | 606 | 677 |
2023 [member] | ||
Disclosure of maturity analysis for derivative financial liabilities [line items] | ||
Non-derivative financial liabilities | 6,238 | 4,919 |
Lease liabilities | 673 | 123 |
Derivative financial liabilities | 175 | 203 |
Year 6 to 10 [member] | ||
Disclosure of maturity analysis for derivative financial liabilities [line items] | ||
Non-derivative financial liabilities | 8,449 | 10,611 |
Lease liabilities | 892 | 150 |
Derivative financial liabilities | 479 | 611 |
After 10 years [member] | ||
Disclosure of maturity analysis for derivative financial liabilities [line items] | ||
Non-derivative financial liabilities | 10,567 | 9,570 |
Lease liabilities | 349 | 48 |
Derivative financial liabilities | $ 370 | $ 725 |
Financial risk management - Cre
Financial risk management - Credit risk exposure and grading (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Disclosure of internal credit grades [line items] | ||
Description of internal credit ratings process | Prior to entering into transactions with new counterparties, Equinor’s credit policy requires all counterparties to be formally identified and assigned internal credit ratings. The internal credit ratings reflect Equinor’s assessment of the counterparties' credit risk and are based on a quantitative and qualitative analysis of recent financial statements and other relevant business. All counterparties are re-assessed regularly. | |
Non-current financial receivable [Member] | ||
Disclosure of internal credit grades [line items] | ||
Financial assets subject to credit exposure | $ 1,057 | $ 854 |
Trade and other receivables [member] | ||
Disclosure of internal credit grades [line items] | ||
Financial assets subject to credit exposure | 7,374 | 8,488 |
Non-current derivative financial instruments [Member] | ||
Disclosure of internal credit grades [line items] | ||
Financial assets subject to credit exposure | 1,365 | 1,032 |
Current derivative financial instrument [Member] | ||
Disclosure of internal credit grades [line items] | ||
Financial assets subject to credit exposure | 578 | 318 |
Investment grade, rated A or above [Member] | Non-current financial receivable [Member] | ||
Disclosure of internal credit grades [line items] | ||
Financial assets subject to credit exposure | 682 | 460 |
Investment grade, rated A or above [Member] | Trade and other receivables [member] | ||
Disclosure of internal credit grades [line items] | ||
Financial assets subject to credit exposure | 2,089 | 1,811 |
Investment grade, rated A or above [Member] | Non-current derivative financial instruments [Member] | ||
Disclosure of internal credit grades [line items] | ||
Financial assets subject to credit exposure | 962 | 682 |
Investment grade, rated A or above [Member] | Current derivative financial instrument [Member] | ||
Disclosure of internal credit grades [line items] | ||
Financial assets subject to credit exposure | 201 | 100 |
Other investment grade [Member] | Non-current financial receivable [Member] | ||
Disclosure of internal credit grades [line items] | ||
Financial assets subject to credit exposure | 80 | 150 |
Other investment grade [Member] | Trade and other receivables [member] | ||
Disclosure of internal credit grades [line items] | ||
Financial assets subject to credit exposure | 4,778 | 5,412 |
Other investment grade [Member] | Non-current derivative financial instruments [Member] | ||
Disclosure of internal credit grades [line items] | ||
Financial assets subject to credit exposure | 403 | 350 |
Other investment grade [Member] | Current derivative financial instrument [Member] | ||
Disclosure of internal credit grades [line items] | ||
Financial assets subject to credit exposure | 368 | 183 |
Non-investment grade or not rated [Member] | Non-current financial receivable [Member] | ||
Disclosure of internal credit grades [line items] | ||
Financial assets subject to credit exposure | 296 | 244 |
Non-investment grade or not rated [Member] | Trade and other receivables [member] | ||
Disclosure of internal credit grades [line items] | ||
Financial assets subject to credit exposure | 508 | 1,265 |
Non-investment grade or not rated [Member] | Non-current derivative financial instruments [Member] | ||
Disclosure of internal credit grades [line items] | ||
Financial assets subject to credit exposure | 0 | 0 |
Non-investment grade or not rated [Member] | Current derivative financial instrument [Member] | ||
Disclosure of internal credit grades [line items] | ||
Financial assets subject to credit exposure | $ 9 | $ 35 |
Financial risk management - Cap
Financial risk management - Captial Management (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 |
Capital management | ||
Net interest-bearing debt adjusted, including lease liabilities (ND1) | $ 17,219 | $ 0 |
Net interest-bearing debt adjusted (ND2) | 12,880 | 12,246 |
Capital employed adjusted, including lease liabilities (CE1) | 58,378 | 0 |
Capital employed adjusted (CE2) | $ 54,039 | $ 55,235 |
Net debt to capital employed adjusted, including lease liabilities (ND1/CE1) | 29.50% | 0.00% |
Net debt to capital employed adjusted (ND)/(CE) | 23.80% | 22.20% |
Remuneration (Details)
Remuneration (Details) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019USD ($)Employees | Dec. 31, 2018USD ($)Employees | Dec. 31, 2017USD ($)Employees | |
Renumeration [abstract] | |||
Salaries | $ 2,766 | $ 2,863 | $ 2,671 |
Pension costs | 446 | 463 | 469 |
Payroll tax | 413 | 409 | 387 |
Other compensations and social costs | 330 | 318 | 290 |
Total payroll costs | $ 3,955 | $ 4,052 | $ 3,818 |
Average number of employees | Employees | 21,400 | 20,700 | 20,700 |
Part time employees as percentage of total employees | 4.00% | 3.00% | 3.00% |
Remuneration to members of the BoD and the CEC [abstract] | |||
Current employee benefits | $ 10,958 | $ 12,471 | $ 11,067 |
Post-employment benefits | 661 | 667 | 636 |
Other non-current benefits | 18 | 21 | 25 |
Share-based payment benefits | 147 | 197 | 175 |
Total compensation expense | 11,782 | 13,356 | 11,902 |
Loans to the members of the BoD or the CEC | 0 | $ 0 | $ 0 |
Compensation cost yet to be expensed | 158 | ||
2019 programme [member] | |||
Disclosure of terms and conditions of share-based payment arrangement [line items] | |||
Estimated compensation expense | 74 | ||
2018 programme [member] | |||
Disclosure of terms and conditions of share-based payment arrangement [line items] | |||
Estimated compensation expense | 73 | ||
2017 programme [member] | |||
Disclosure of terms and conditions of share-based payment arrangement [line items] | |||
Estimated compensation expense | 72 | ||
2016 programme [member] | |||
Disclosure of terms and conditions of share-based payment arrangement [line items] | |||
Estimated compensation expense | $ 62 |
Other expenses (Details)
Other expenses (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Auditor's remuneration [abstract] | |||
Research and development expenditures | $ 300 | $ 315 | $ 307 |
Disclosure of operating segments [line items] | |||
Total | 10.3 | 8.1 | 7 |
KPMG [Member] | |||
Disclosure of operating segments [line items] | |||
Audit fee | 2.8 | 7.1 | 6.1 |
Audit related fee | 1.2 | 1 | 0.9 |
Tax fee | 0 | 0 | 0 |
Other service fee | 0 | 0 | 0 |
Ernst and Young [Member] | |||
Disclosure of operating segments [line items] | |||
Audit fee | 4.7 | 0 | 0 |
Audit related fee | 0.5 | 0 | 0 |
Tax fee | 0.2 | 0 | 0 |
Other service fee | 0.9 | 0 | 0 |
Statoil operated licences [Member] | |||
Disclosure of operating segments [line items] | |||
The audit fees and audit related fees | $ 0.5 | $ 0.9 | $ 0.8 |
Financial items (Details)
Financial items (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Finance Income Expense [Abstract] | |||
Foreign exchange gains (losses) derivative financial instruments | $ 132 | $ 149 | $ (920) |
Other foreign exchange gains (losses) | 92 | (315) | 1,046 |
Net foreign exchange gains (losses) | 224 | (166) | 126 |
Dividends received | 75 | 150 | 63 |
Gains (losses) financial investments | 245 | (72) | 108 |
Interest income on other financial assets | 124 | 45 | 64 |
Interest income non-current financial receivables | 21 | 27 | 24 |
Interest income current financial assets and other financial items | 280 | 132 | 228 |
Interest income and other financial items | 746 | 283 | 487 |
Gains (losses) derivative financial instruments | 473 | (341) | (61) |
Interest expense bonds and bank loans and net interest on related derivatives | (987) | (922) | (1,004) |
Interest expense lease liabilities | (126) | (23) | (26) |
Capitalised borrowing costs | 480 | 552 | 454 |
Accretion expense asset retirement obligations | (456) | (461) | (413) |
Interest expense current financial liabilities and other finance expense | (360) | (185) | 86 |
Interest and other finance expenses | (1,450) | (1,040) | (903) |
Net financial items | (7) | (1,263) | (351) |
Interest expense from the financial liabilities at amortised cost category | 861 | 868 | 1,084 |
Net interest expense, fair value through profit or loss category | 129 | 55 | |
Net interest income, fair value through profit or loss category | 80 | ||
Income from release of a provision | 319 | ||
Fair value gain (loss) from the trading instruments held | 457 | (357) | (77) |
Net foreign exchange gain | $ 427 | ||
Net foreign exchange loss | $ 74 | $ 422 |
Income taxes - Significant comp
Income taxes - Significant components of income tax expense (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Major components of tax (expense) income [abstract] | |||
Current income tax expense in respect of current year | $ (7,892) | $ (10,724) | $ (7,680) |
Prior period adjustments | 69 | (49) | (124) |
Current income tax expense | (7,822) | (10,773) | (7,805) |
Origination and reversal of temporary differences | 410 | (1,359) | (904) |
Recognition of previously unrecognised deferred tax assets | 0 | 923 | 0 |
Change in tax regulations | (6) | (28) | (14) |
Prior period adjustments | (23) | (99) | (100) |
Deferred tax expense | 381 | (563) | (1,017) |
Income tax expense | $ (7,441) | $ (11,335) | $ (8,822) |
Income taxes - Reconciliation o
Income taxes - Reconciliation of statutory tax rate to effective tax rate (Details) - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Reconciliation of accounting profit multiplied by applicable tax rates [abstract] | ||||
Income/(loss) before tax | $ 9,292 | $ 18,874 | $ 13,420 | |
Calculated income tax at statutory rate | (2,284) | (5,197) | (3,827) | |
Calculated Norwegian Petroleum tax | (5,499) | (8,189) | (5,945) | |
Tax effect uplift | 632 | 736 | 784 | |
Tax effect of permanent differences regarding divestments | 380 | 400 | (85) | |
Tax effect of permanent differences caused by functional currency different from tax currency | 8 | 116 | (229) | |
Tax effect of other permanent differences | 395 | 337 | 291 | |
Tax effect of dispute with Angolan Ministry of Finance | 0 | 0 | 496 | |
Recognition of previously unrecognised deferred tax assets | 0 | 923 | 0 | |
Change in unrecognised deferred tax assets | (974) | 72 | (169) | |
Change in tax regulations | (6) | (28) | (14) | |
Prior period adjustments | 47 | (148) | (224) | |
Other items including currency effects | (139) | (357) | 100 | |
Income tax expense | $ (7,441) | $ (11,335) | $ (8,822) | |
Effective tax rate | 80.10% | 60.10% | 65.70% | |
Statutory tax rate | 24.60% | 27.50% | 28.50% | |
Unrecognised uplift credits | $ 1,678 | $ 1,780 | ||
Uplift rate, for investments subject to transitional rules | 7.50% | |||
Uplift rate | 5.20% | 5.30% | 5.40% | 5.50% |
Norway [member] | ||||
Reconciliation of accounting profit multiplied by applicable tax rates [abstract] | ||||
Statutory tax rate | 22.00% | 23.00% | 24.00% | |
Petroleum tax rate | 56.00% | 55.00% | 54.00% | |
Development and Production International [Member] | ||||
Reconciliation of accounting profit multiplied by applicable tax rates [abstract] | ||||
Recognition of previously unrecognised deferred tax assets | $ 923 |
Income taxes - Deferred tax ass
Income taxes - Deferred tax assets and liabilities (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 |
Deferred tax assets and liabilities [abstract] | ||||
Deferred tax assets | $ 19,291 | $ 16,205 | ||
Deferred tax liabilities | (24,820) | (21,573) | ||
Net asset (liability) | (5,530) | (5,367) | $ (5,213) | $ (4,231) |
Tax losses carried forward [member] | ||||
Deferred tax assets and liabilities [abstract] | ||||
Deferred tax assets | 5,173 | 5,761 | ||
Deferred tax liabilities | 0 | 0 | ||
Net asset (liability) | 5,173 | 5,761 | ||
Property, plant and equipment and intangible assets [Member] | ||||
Deferred tax assets and liabilities [abstract] | ||||
Deferred tax assets | 369 | 351 | ||
Deferred tax liabilities | (24,115) | (20,987) | ||
Net asset (liability) | (23,746) | (20,636) | ||
Asset retirement obligation [member] | ||||
Deferred tax assets and liabilities [abstract] | ||||
Deferred tax assets | 9,397 | 8,118 | ||
Deferred tax liabilities | 0 | 0 | ||
Net asset (liability) | 9,397 | 8,118 | ||
Lease liabilities [member] | ||||
Deferred tax assets and liabilities [abstract] | ||||
Deferred tax assets | 1,898 | 0 | ||
Deferred tax liabilities | 0 | 0 | ||
Net asset (liability) | 1,898 | 0 | ||
Pensions [member] | ||||
Deferred tax assets and liabilities [abstract] | ||||
Deferred tax assets | 733 | 785 | ||
Deferred tax liabilities | (13) | (14) | ||
Net asset (liability) | 720 | 771 | ||
Derivatives [member] | ||||
Deferred tax assets and liabilities [abstract] | ||||
Deferred tax assets | 108 | 95 | ||
Deferred tax liabilities | (119) | (96) | ||
Net asset (liability) | (11) | (1) | ||
Other [Member] | ||||
Deferred tax assets and liabilities [abstract] | ||||
Deferred tax assets | 1,612 | 1,095 | ||
Deferred tax liabilities | (573) | (476) | ||
Net asset (liability) | $ 1,040 | $ 620 |
Income taxes - Changes in Defer
Income taxes - Changes in Deferred tax assets and liabilities (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Changes in net deferred tax liability during the year [abstract] | |||
Net deferred tax liability beginning balance | $ 5,367 | $ 5,213 | $ 4,231 |
Charged (credited) to the Consolidated statement of income | (381) | 563 | 1,017 |
Charged (credited) to Other comprehensive income | 98 | (22) | 38 |
Translation differences and other | 446 | (386) | (73) |
Net deferred tax liability ending balance | 5,530 | 5,367 | $ 5,213 |
Net deferred tax assets and liabilities [abstract] | |||
Deferred tax assets | 3,881 | 3,304 | |
Deferred tax liabilities | 9,410 | 8,671 | |
Deferred tax assets recognized in entities which have suffered a loss in either the current or preceding period | $ 995 | $ 1,868 |
Income taxes - Unrecognised def
Income taxes - Unrecognised deferred tax assets (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Unrecognised deferred tax assets [line items] | ||
Deductible temporary differences, basis | $ 2,550 | $ 2,439 |
Tax losses carried forward, basis | 18,259 | 14,802 |
Total, unrecognised deferred tax assets, basis | 20,809 | 17,241 |
Deductible temporary differences, unrecognised deferred tax asset | 1,138 | 1,123 |
Tax losses carried forward, unrecognised deferred tax asset | 4,366 | 3,940 |
Total unrecognised deferred tax assets | $ 5,504 | 5,062 |
Percentage of unrecognised tax losses that can be carried forward indefinitely | 11.00% | |
Remaining unrecognised tax losses expiry date | The majority of the remaining part of the unrecognised tax losses expire after 2030. | |
United States [member] | ||
Unrecognised deferred tax assets [line items] | ||
Total unrecognised deferred tax assets | $ 3,788 | 3,480 |
Angola [member] | ||
Unrecognised deferred tax assets [line items] | ||
Total unrecognised deferred tax assets | 833 | 884 |
Ireland [member] | ||
Unrecognised deferred tax assets [line items] | ||
Total unrecognised deferred tax assets | $ 191 | $ 109 |
Property, plant and equipment_2
Property, plant and equipment (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Disclosure of detailed information about property, plant and equipment [line items] | ||
Property plant and equipment beginning | $ 65,262 | |
Property plant and equipment ending | 69,953 | $ 65,262 |
Assets transferred to Property, plant and equipment from Intangible assets | 213 | 161 |
Cost [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Property plant and equipment beginning | 194,916 | 188,656 |
Additions through business combinations | 2,093 | 3,968 |
Additions and transfers | 12,330 | 10,144 |
Disposals at cost | (5,020) | (884) |
Assets reclassified to held for sale | 0 | |
Effect of changes in foreign exchange | (888) | (6,967) |
Property plant and equipment ending | 207,422 | 194,916 |
Cost [member] | Implemenation of IFRS 16 Leases [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Property plant and equipment beginning | 3,992 | |
Property plant and equipment ending | 3,992 | |
Cost [member] | IFRS 16 [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Property plant and equipment beginning | 198,908 | |
Property plant and equipment ending | 198,908 | |
Accumulated depreciation, amortisation and impairment [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Property plant and equipment beginning | (129,654) | (125,019) |
Depreciation | (9,750) | (9,841) |
Impairment losses | (3,350) | (794) |
Reversal of impairment losses | 120 | 1,398 |
Transfers | (40) | (961) |
Accumulated depreciation and impairment disposed assets | 4,576 | 980 |
Accumulated depreciation and impairment assets classified as HFS | 0 | |
Effect of changes in foreign exchange | 628 | 4,583 |
Property plant and equipment ending | 137,469 | (129,654) |
Accumulated depreciation, amortisation and impairment [member] | Implemenation of IFRS 16 Leases [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Property plant and equipment beginning | 0 | |
Property plant and equipment ending | 0 | |
Accumulated depreciation, amortisation and impairment [member] | IFRS 16 [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Property plant and equipment beginning | (129,654) | |
Property plant and equipment ending | (129,654) | |
Machinery, equipment and transportation equipment [Member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Property plant and equipment beginning | 794 | |
Property plant and equipment ending | $ 423 | 794 |
Machinery, equipment and transportation equipment [Member] | Maximum [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Estimated useful lives (years) | 20 years | |
Machinery, equipment and transportation equipment [Member] | Minimum [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Estimated useful lives (years) | 3 years | |
Machinery, equipment and transportation equipment [Member] | Cost [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Property plant and equipment beginning | $ 3,596 | 3,470 |
Additions through business combinations | 1 | 76 |
Additions and transfers | 44 | 90 |
Disposals at cost | (7) | (12) |
Assets reclassified to held for sale | 0 | |
Effect of changes in foreign exchange | (2) | (28) |
Property plant and equipment ending | 2,818 | 3,596 |
Machinery, equipment and transportation equipment [Member] | Cost [member] | Implemenation of IFRS 16 Leases [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Property plant and equipment beginning | (813) | |
Property plant and equipment ending | (813) | |
Machinery, equipment and transportation equipment [Member] | Cost [member] | IFRS 16 [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Property plant and equipment beginning | 2,783 | |
Property plant and equipment ending | 2,783 | |
Machinery, equipment and transportation equipment [Member] | Accumulated depreciation, amortisation and impairment [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Property plant and equipment beginning | (2,802) | (2,853) |
Depreciation | (120) | (137) |
Impairment losses | (6) | 0 |
Reversal of impairment losses | 0 | 155 |
Transfers | 13 | 0 |
Accumulated depreciation and impairment disposed assets | 7 | 12 |
Accumulated depreciation and impairment assets classified as HFS | 0 | |
Effect of changes in foreign exchange | 1 | 21 |
Property plant and equipment ending | 2,395 | (2,802) |
Machinery, equipment and transportation equipment [Member] | Accumulated depreciation, amortisation and impairment [member] | Implemenation of IFRS 16 Leases [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Property plant and equipment beginning | 511 | |
Property plant and equipment ending | 511 | |
Machinery, equipment and transportation equipment [Member] | Accumulated depreciation, amortisation and impairment [member] | IFRS 16 [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Property plant and equipment beginning | (2,291) | |
Property plant and equipment ending | (2,291) | |
Production plants and oil and gas assets [Member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Property plant and equipment beginning | 47,177 | |
Property plant and equipment ending | 53,736 | 47,177 |
Production plants and oil and gas assets [Member] | Cost [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Property plant and equipment beginning | 166,766 | 157,533 |
Additions through business combinations | 1,706 | 2,473 |
Additions and transfers | 16,023 | 13,017 |
Disposals at cost | (4,911) | (505) |
Assets reclassified to held for sale | 0 | |
Effect of changes in foreign exchange | (337) | (5,752) |
Property plant and equipment ending | 179,063 | 166,766 |
Production plants and oil and gas assets [Member] | Cost [member] | Implemenation of IFRS 16 Leases [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Property plant and equipment beginning | (184) | |
Property plant and equipment ending | (184) | |
Production plants and oil and gas assets [Member] | Cost [member] | IFRS 16 [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Property plant and equipment beginning | 166,582 | |
Property plant and equipment ending | 166,582 | |
Production plants and oil and gas assets [Member] | Accumulated depreciation, amortisation and impairment [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Property plant and equipment beginning | (119,589) | (113,781) |
Depreciation | (8,555) | (9,249) |
Impairment losses | (2,430) | (762) |
Reversal of impairment losses | 120 | 1,087 |
Transfers | (134) | (1,799) |
Accumulated depreciation and impairment disposed assets | 4,540 | 602 |
Accumulated depreciation and impairment assets classified as HFS | 0 | |
Effect of changes in foreign exchange | 616 | 4,312 |
Property plant and equipment ending | 125,327 | (119,589) |
Production plants and oil and gas assets [Member] | Accumulated depreciation, amortisation and impairment [member] | Implemenation of IFRS 16 Leases [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Property plant and equipment beginning | 106 | |
Property plant and equipment ending | 106 | |
Production plants and oil and gas assets [Member] | Accumulated depreciation, amortisation and impairment [member] | IFRS 16 [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Property plant and equipment beginning | (119,483) | |
Property plant and equipment ending | (119,483) | |
Refining and manufacturing plants [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Property plant and equipment beginning | 2,048 | |
Property plant and equipment ending | $ 1,870 | 2,048 |
Refining and manufacturing plants [member] | Maximum [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Estimated useful lives (years) | 20 years | |
Refining and manufacturing plants [member] | Minimum [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Estimated useful lives (years) | 15 years | |
Refining and manufacturing plants [member] | Cost [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Property plant and equipment beginning | $ 8,660 | 8,646 |
Additions through business combinations | 5 | 0 |
Additions and transfers | 300 | 328 |
Disposals at cost | 0 | 0 |
Assets reclassified to held for sale | 0 | |
Effect of changes in foreign exchange | (44) | (314) |
Property plant and equipment ending | 8,920 | 8,660 |
Refining and manufacturing plants [member] | Cost [member] | Implemenation of IFRS 16 Leases [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Property plant and equipment beginning | 0 | |
Property plant and equipment ending | 0 | |
Refining and manufacturing plants [member] | Cost [member] | IFRS 16 [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Property plant and equipment beginning | 8,660 | |
Property plant and equipment ending | 8,660 | |
Refining and manufacturing plants [member] | Accumulated depreciation, amortisation and impairment [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Property plant and equipment beginning | (6,613) | (6,200) |
Depreciation | (298) | (426) |
Impairment losses | (178) | 0 |
Reversal of impairment losses | 0 | 0 |
Transfers | 0 | (229) |
Accumulated depreciation and impairment disposed assets | 0 | 0 |
Accumulated depreciation and impairment assets classified as HFS | 0 | |
Effect of changes in foreign exchange | 38 | 242 |
Property plant and equipment ending | 7,051 | (6,613) |
Refining and manufacturing plants [member] | Accumulated depreciation, amortisation and impairment [member] | Implemenation of IFRS 16 Leases [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Property plant and equipment beginning | 0 | |
Property plant and equipment ending | 0 | |
Refining and manufacturing plants [member] | Accumulated depreciation, amortisation and impairment [member] | IFRS 16 [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Property plant and equipment beginning | (6,613) | |
Property plant and equipment ending | (6,613) | |
Buildings and land [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Property plant and equipment beginning | 467 | |
Property plant and equipment ending | $ 434 | 467 |
Buildings and land [member] | Maximum [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Estimated useful lives (years) | 33 years | |
Buildings and land [member] | Minimum [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Estimated useful lives (years) | 20 years | |
Buildings and land [member] | Cost [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Property plant and equipment beginning | $ 932 | 866 |
Additions through business combinations | 0 | 48 |
Additions and transfers | (16) | 32 |
Disposals at cost | (7) | (1) |
Assets reclassified to held for sale | 0 | |
Effect of changes in foreign exchange | 0 | (13) |
Property plant and equipment ending | 909 | 932 |
Buildings and land [member] | Cost [member] | Implemenation of IFRS 16 Leases [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Property plant and equipment beginning | 0 | |
Property plant and equipment ending | 0 | |
Buildings and land [member] | Cost [member] | IFRS 16 [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Property plant and equipment beginning | 932 | |
Property plant and equipment ending | 932 | |
Buildings and land [member] | Accumulated depreciation, amortisation and impairment [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Property plant and equipment beginning | (465) | (439) |
Depreciation | (25) | (29) |
Impairment losses | (3) | 0 |
Reversal of impairment losses | 0 | 0 |
Transfers | 13 | (1) |
Accumulated depreciation and impairment disposed assets | 5 | 0 |
Accumulated depreciation and impairment assets classified as HFS | 0 | |
Effect of changes in foreign exchange | 0 | 4 |
Property plant and equipment ending | 475 | (465) |
Buildings and land [member] | Accumulated depreciation, amortisation and impairment [member] | Implemenation of IFRS 16 Leases [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Property plant and equipment beginning | 0 | |
Property plant and equipment ending | 0 | |
Buildings and land [member] | Accumulated depreciation, amortisation and impairment [member] | IFRS 16 [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Property plant and equipment beginning | (465) | |
Property plant and equipment ending | (465) | |
Assets under development [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Property plant and equipment beginning | 14,776 | |
Property plant and equipment ending | 9,479 | 14,776 |
Assets under development [member] | Cost [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Property plant and equipment beginning | 14,961 | 18,140 |
Additions through business combinations | 381 | 1,370 |
Additions and transfers | (4,448) | (3,322) |
Disposals at cost | (59) | (366) |
Assets reclassified to held for sale | 0 | |
Effect of changes in foreign exchange | (464) | (861) |
Property plant and equipment ending | 10,371 | 14,961 |
Assets under development [member] | Cost [member] | Implemenation of IFRS 16 Leases [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Property plant and equipment beginning | 0 | |
Property plant and equipment ending | 0 | |
Assets under development [member] | Cost [member] | IFRS 16 [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Property plant and equipment beginning | 14,961 | |
Property plant and equipment ending | 14,961 | |
Assets under development [member] | Accumulated depreciation, amortisation and impairment [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Property plant and equipment beginning | (185) | (1,746) |
Depreciation | 0 | 0 |
Impairment losses | (707) | (32) |
Reversal of impairment losses | 0 | 156 |
Transfers | 26 | 1,067 |
Accumulated depreciation and impairment disposed assets | 0 | 366 |
Accumulated depreciation and impairment assets classified as HFS | 0 | |
Effect of changes in foreign exchange | (26) | 5 |
Property plant and equipment ending | 892 | (185) |
Assets under development [member] | Accumulated depreciation, amortisation and impairment [member] | Implemenation of IFRS 16 Leases [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Property plant and equipment beginning | 0 | |
Property plant and equipment ending | 0 | |
Assets under development [member] | Accumulated depreciation, amortisation and impairment [member] | IFRS 16 [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Property plant and equipment beginning | (185) | |
Property plant and equipment ending | (185) | |
Right of use assets [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Property plant and equipment ending | $ 4,011 | |
Right of use assets [member] | Maximum [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Estimated useful lives (years) | 19 years | |
Right of use assets [member] | Minimum [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Estimated useful lives (years) | 1 year | |
Right of use assets [member] | Cost [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Property plant and equipment beginning | $ 0 | |
Additions through business combinations | 0 | |
Additions and transfers | 426 | |
Disposals at cost | (35) | |
Effect of changes in foreign exchange | (41) | |
Property plant and equipment ending | 5,339 | 0 |
Right of use assets [member] | Cost [member] | Implemenation of IFRS 16 Leases [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Property plant and equipment beginning | 4,989 | |
Property plant and equipment ending | 4,989 | |
Right of use assets [member] | Cost [member] | IFRS 16 [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Property plant and equipment beginning | 4,989 | |
Property plant and equipment ending | 4,989 | |
Right of use assets [member] | Accumulated depreciation, amortisation and impairment [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Property plant and equipment beginning | 0 | |
Depreciation | (752) | |
Impairment losses | 26 | |
Reversal of impairment losses | 0 | |
Transfers | 42 | |
Accumulated depreciation and impairment disposed assets | 24 | |
Effect of changes in foreign exchange | (1) | |
Property plant and equipment ending | 1,329 | 0 |
Right of use assets [member] | Accumulated depreciation, amortisation and impairment [member] | Implemenation of IFRS 16 Leases [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Property plant and equipment beginning | (617) | |
Property plant and equipment ending | (617) | |
Right of use assets [member] | Accumulated depreciation, amortisation and impairment [member] | IFRS 16 [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Property plant and equipment beginning | $ (617) | |
Property plant and equipment ending | $ (617) |
Property, plant and equipment -
Property, plant and equipment -Impairments (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Disclosure of impairment loss and reversal of impairment loss [line items] | ||
Total net impairment loss/ (reversal) recognized | $ 4,093 | $ (315) |
The total net impairment losses recognised under IAS 36 | 4,043 | |
Acquisition costs related to oil and gas prospects [member] | ||
Disclosure of impairment loss and reversal of impairment loss [line items] | ||
Total net impairment loss/ (reversal) recognized | 49 | 52 |
Goodwill [member] | ||
Disclosure of impairment loss and reversal of impairment loss [line items] | ||
Total net impairment loss/ (reversal) recognized | 164 | |
Other intangible assets [member] | ||
Disclosure of impairment loss and reversal of impairment loss [line items] | ||
Total net impairment loss/ (reversal) recognized | 41 | |
Producing and development assets [Member] | ||
Disclosure of impairment loss and reversal of impairment loss [line items] | ||
Total net impairment loss/ (reversal) recognized | 3,838 | (367) |
Property Plant And Equipment [member] | ||
Disclosure of impairment loss and reversal of impairment loss [line items] | ||
Total net impairment loss/ (reversal) recognized | 3,230 | (604) |
Property Plant And Equipment [member] | Acquisition costs related to oil and gas prospects [member] | ||
Disclosure of impairment loss and reversal of impairment loss [line items] | ||
Total net impairment loss/ (reversal) recognized | 0 | 0 |
Property Plant And Equipment [member] | Goodwill [member] | ||
Disclosure of impairment loss and reversal of impairment loss [line items] | ||
Total net impairment loss/ (reversal) recognized | 0 | |
Property Plant And Equipment [member] | Other intangible assets [member] | ||
Disclosure of impairment loss and reversal of impairment loss [line items] | ||
Total net impairment loss/ (reversal) recognized | 0 | |
Property Plant And Equipment [member] | Producing and development assets [Member] | ||
Disclosure of impairment loss and reversal of impairment loss [line items] | ||
Total net impairment loss/ (reversal) recognized | 3,230 | (604) |
Intangible assets [member] | ||
Disclosure of impairment loss and reversal of impairment loss [line items] | ||
Total net impairment loss/ (reversal) recognized | 863 | 289 |
Intangible assets [member] | Acquisition costs related to oil and gas prospects [member] | ||
Disclosure of impairment loss and reversal of impairment loss [line items] | ||
Total net impairment loss/ (reversal) recognized | 49 | 52 |
Intangible assets [member] | Goodwill [member] | ||
Disclosure of impairment loss and reversal of impairment loss [line items] | ||
Total net impairment loss/ (reversal) recognized | 164 | |
Intangible assets [member] | Other intangible assets [member] | ||
Disclosure of impairment loss and reversal of impairment loss [line items] | ||
Total net impairment loss/ (reversal) recognized | 41 | |
Intangible assets [member] | Producing and development assets [Member] | ||
Disclosure of impairment loss and reversal of impairment loss [line items] | ||
Total net impairment loss/ (reversal) recognized | $ 608 | $ 237 |
Property, plant and equipment_3
Property, plant and equipment -impairment of carrying amount of impaired asset (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Disclosure of information for impairment loss recognised or reversed for individual asset or cash-generating unit [line items] | ||
Base discount rate for VIU calculations, net of tax | 6.00% | |
Carrying amount after impairment | $ 13,704 | $ 13,813 |
Net impairement loss (Reversal) | 3,838 | (367) |
Exploration & Production Norway (E&P) [member] | ||
Disclosure of information for impairment loss recognised or reversed for individual asset or cash-generating unit [line items] | ||
Net impairement loss (Reversal) | $ 604 | |
Exploration & Production Norway (E&P) [member] | High range value [member] | ||
Disclosure of information for impairment loss recognised or reversed for individual asset or cash-generating unit [line items] | ||
Derived pretax Discount rate range | 25.00% | |
Exploration & Production Norway (E&P) [member] | Low range value [member] | ||
Disclosure of information for impairment loss recognised or reversed for individual asset or cash-generating unit [line items] | ||
Derived pretax Discount rate range | 15.00% | |
Exploration Production International And Marketing Midstream and Processing [Member] | High range value [member] | ||
Disclosure of information for impairment loss recognised or reversed for individual asset or cash-generating unit [line items] | ||
Derived pretax Discount rate range | 9.00% | |
Exploration Production International And Marketing Midstream and Processing [Member] | Low range value [member] | ||
Disclosure of information for impairment loss recognised or reversed for individual asset or cash-generating unit [line items] | ||
Derived pretax Discount rate range | 4.00% | |
VIU [Member] | Right of use assets [member] | ||
Disclosure of information for impairment loss recognised or reversed for individual asset or cash-generating unit [line items] | ||
Carrying amount after impairment | $ 0 | 0 |
Net impairement loss (Reversal) | 26 | 0 |
VIU [Member] | North Africa [Member] | ||
Disclosure of information for impairment loss recognised or reversed for individual asset or cash-generating unit [line items] | ||
Carrying amount after impairment | 0 | 451 |
Net impairement loss (Reversal) | 0 | (126) |
VIU [Member] | Europe and Asia [Member] | ||
Disclosure of information for impairment loss recognised or reversed for individual asset or cash-generating unit [line items] | ||
Carrying amount after impairment | 645 | 0 |
Net impairement loss (Reversal) | (18) | 0 |
VIU [Member] | North America, offshore Gulf of Mexico [Member] | Conventional assets [Member] | ||
Disclosure of information for impairment loss recognised or reversed for individual asset or cash-generating unit [line items] | ||
Carrying amount after impairment | 1,079 | 3,989 |
Net impairement loss (Reversal) | 292 | (246) |
VIU [Member] | North America [member] | Unconventional assets [Member] | ||
Disclosure of information for impairment loss recognised or reversed for individual asset or cash-generating unit [line items] | ||
Carrying amount after impairment | 7,509 | 5,771 |
Net impairement loss (Reversal) | 1,631 | 762 |
VIU [Member] | Exploration & Production Norway (E&P) [member] | ||
Disclosure of information for impairment loss recognised or reversed for individual asset or cash-generating unit [line items] | ||
Carrying amount after impairment | 4,406 | 1,966 |
Net impairement loss (Reversal) | 1,119 | (201) |
VIU [Member] | Marketing, Midstream and Processing (MMP) [Member] | ||
Disclosure of information for impairment loss recognised or reversed for individual asset or cash-generating unit [line items] | ||
Carrying amount after impairment | 65 | 403 |
Net impairement loss (Reversal) | 178 | (155) |
FVLCOD [Member] | Right of use assets [member] | ||
Disclosure of information for impairment loss recognised or reversed for individual asset or cash-generating unit [line items] | ||
Carrying amount after impairment | 0 | 0 |
Net impairement loss (Reversal) | 0 | 0 |
FVLCOD [Member] | North Africa [Member] | ||
Disclosure of information for impairment loss recognised or reversed for individual asset or cash-generating unit [line items] | ||
Carrying amount after impairment | 0 | 0 |
Net impairement loss (Reversal) | 0 | 0 |
FVLCOD [Member] | Europe and Asia [Member] | ||
Disclosure of information for impairment loss recognised or reversed for individual asset or cash-generating unit [line items] | ||
Carrying amount after impairment | 0 | 0 |
Net impairement loss (Reversal) | 0 | 0 |
FVLCOD [Member] | North America, offshore Gulf of Mexico [Member] | Conventional assets [Member] | ||
Disclosure of information for impairment loss recognised or reversed for individual asset or cash-generating unit [line items] | ||
Carrying amount after impairment | 0 | 0 |
Net impairement loss (Reversal) | 0 | 0 |
FVLCOD [Member] | North America [member] | Unconventional assets [Member] | ||
Disclosure of information for impairment loss recognised or reversed for individual asset or cash-generating unit [line items] | ||
Carrying amount after impairment | 0 | 0 |
Net impairement loss (Reversal) | 610 | 0 |
FVLCOD [Member] | Exploration & Production Norway (E&P) [member] | ||
Disclosure of information for impairment loss recognised or reversed for individual asset or cash-generating unit [line items] | ||
Carrying amount after impairment | 0 | 1,232 |
Net impairement loss (Reversal) | 0 | (402) |
FVLCOD [Member] | Marketing, Midstream and Processing (MMP) [Member] | ||
Disclosure of information for impairment loss recognised or reversed for individual asset or cash-generating unit [line items] | ||
Carrying amount after impairment | 0 | 0 |
Net impairement loss (Reversal) | $ 0 | $ 0 |
Property, plant and equipment_4
Property, plant and equipment -impairment (narrative) (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Disclosure of information for impairment loss recognised or reversed for individual asset or cash-generating unit [line items] | ||
Total net impairment loss/ (reversal) recognized | $ 4,093,000,000 | $ (315,000,000) |
Net impairment loss | 4,043,000,000 | |
Increased refinery margin forecast [member] | ||
Disclosure of information for impairment loss recognised or reversed for individual asset or cash-generating unit [line items] | ||
Impairment reversals | 155,000,000 | |
North America, offshore Gulf of Mexico [Member] | Conventional assets [Member] | ||
Disclosure of information for impairment loss recognised or reversed for individual asset or cash-generating unit [line items] | ||
Impairment reversals | 246,000,000 | |
Net impairment loss | 292,000,000 | |
North America [member] | Unconventional assets [Member] | ||
Disclosure of information for impairment loss recognised or reversed for individual asset or cash-generating unit [line items] | ||
Net impairment loss | 2,241,000,000 | 762,000,000 |
North America [member] | Unconventional assets [Member] | Exploration and evaluation assets [member] | ||
Disclosure of information for impairment loss recognised or reversed for individual asset or cash-generating unit [line items] | ||
Net impairment loss | 608,000,000 | 237,000,000 |
North Africa [Member] | ||
Disclosure of information for impairment loss recognised or reversed for individual asset or cash-generating unit [line items] | ||
Total net impairment loss/ (reversal) recognized | 0 | |
Impairment reversals | 126,000,000 | |
Exploration & Production Norway (E&P) [member] | ||
Disclosure of information for impairment loss recognised or reversed for individual asset or cash-generating unit [line items] | ||
Impairment reversals | $ 604,000,000 | |
Net impairment loss | 1,119,000,000 | |
Marketing, Midstream and Processing (MMP) [Member] | ||
Disclosure of information for impairment loss recognised or reversed for individual asset or cash-generating unit [line items] | ||
Impairment reversals | 178,000,000 | |
Net impairment loss | $ 178,000,000 |
Property, plant and equipment_5
Property, plant and equipment -price assumptions used for impairment calculations (Details) $ in Billions | 12 Months Ended | |
Dec. 31, 2019USD ($)$ / bbl$ / MMBTU | Dec. 31, 2018$ / bbl$ / MMBTU | |
Price Assumptions Used For Impairment Calculations [Line Items] | ||
Description of changes in methods and assumptions used in preparing sensitivity analysis | This illustrative impairment sensitivity, based on a simplified method, assumes no changes to input factors other than prices; however, a price reduction of 30% is likely to result in changes in business plans as well as other factors used when estimating an asset’s recoverable amount. | |
Estimated impairment loss due to decline in commodity prices | $ | $ 15 | |
Percentage of estimated decline in commodity prices | 30.00% | |
Brent Blend [Member] | 2020 [member] | ||
Price Assumptions Used For Impairment Calculations [Line Items] | ||
Estimated crude oil or Gas price per unit | $ / bbl | 59 | 68 |
Brent Blend [Member] | 2025-2029 [Member] | ||
Price Assumptions Used For Impairment Calculations [Line Items] | ||
Estimated crude oil or Gas price per unit | $ / bbl | 77 | 78 |
Brent Blend [Member] | 2030 [member] | ||
Price Assumptions Used For Impairment Calculations [Line Items] | ||
Estimated crude oil or Gas price per unit | $ / bbl | 80 | 82 |
NBP Natural Gas Price [Member] | 2020 [member] | ||
Price Assumptions Used For Impairment Calculations [Line Items] | ||
Estimated crude oil or Gas price per unit | 4.2 | (7.7) |
NBP Natural Gas Price [Member] | 2025-2029 [Member] | ||
Price Assumptions Used For Impairment Calculations [Line Items] | ||
Estimated crude oil or Gas price per unit | 7 | (8.2) |
NBP Natural Gas Price [Member] | 2030 [member] | ||
Price Assumptions Used For Impairment Calculations [Line Items] | ||
Estimated crude oil or Gas price per unit | 7.5 | (8.2) |
Henry Hub Natural Gas Price [Member] | 2020 [member] | ||
Price Assumptions Used For Impairment Calculations [Line Items] | ||
Estimated crude oil or Gas price per unit | 2.4 | (3.2) |
Henry Hub Natural Gas Price [Member] | 2025-2029 [Member] | ||
Price Assumptions Used For Impairment Calculations [Line Items] | ||
Estimated crude oil or Gas price per unit | 3.1 | (4.1) |
Henry Hub Natural Gas Price [Member] | 2030 [member] | ||
Price Assumptions Used For Impairment Calculations [Line Items] | ||
Estimated crude oil or Gas price per unit | 3.6 | (4.1) |
Intangible assets (Details)
Intangible assets (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Disclosure of reconciliation of changes in intangible assets and goodwill [line items] | |||
Intangibles beginning | $ 9,672 | ||
Expensed exploration expenditures previously capitalised | (777) | $ (357) | $ 8 |
Intangibles ending | $ 10,738 | 9,672 | |
Minimum [member] | |||
Disclosure of reconciliation of changes in intangible assets and goodwill [line items] | |||
Intangible assets with finite useful lives | 10 years | ||
Maximum [member] | |||
Disclosure of reconciliation of changes in intangible assets and goodwill [line items] | |||
Intangible assets with finite useful lives | 20 years | ||
Cost [member] | |||
Disclosure of reconciliation of changes in intangible assets and goodwill [line items] | |||
Intangibles beginning | $ 9,901 | 8,836 | |
Additions through business combinations | 1,080 | 773 | |
Additions | 1,571 | 1,302 | |
Disposals at cost | (367) | (364) | |
Increase (decrease) through transfers, intangible assets and goodwill | (213) | (161) | |
Assets reclassified to held for sale | 0 | 0 | |
Expensed exploration expenditures previously capitalised | (777) | (357) | |
Impairment of goodwill | (164) | ||
Effect of changes in foreign exchange | 3 | (128) | |
Intangibles ending | 11,033 | 9,901 | 8,836 |
Accumulated depreciation, amortisation and impairment [member] | |||
Disclosure of reconciliation of changes in intangible assets and goodwill [line items] | |||
Intangibles beginning | (229) | (215) | |
Amortisation and impairments for the year | (60) | (13) | |
Amortisation and impairment losses disposed intangible assets | (6) | (2) | |
Effect of changes in foreign exchange | 1 | 1 | |
Intangibles ending | (295) | (229) | (215) |
Exploration expenses [Member] | |||
Disclosure of reconciliation of changes in intangible assets and goodwill [line items] | |||
Intangibles beginning | 2,685 | ||
Intangibles ending | 3,014 | 2,685 | |
Impairments, intangible assets | 49 | 52 | |
Exploration expenses [Member] | Cost [member] | |||
Disclosure of reconciliation of changes in intangible assets and goodwill [line items] | |||
Intangibles beginning | 2,685 | 2,715 | |
Additions through business combinations | 0 | 0 | |
Additions | 515 | 392 | |
Disposals at cost | (7) | (272) | |
Increase (decrease) through transfers, intangible assets and goodwill | (71) | (13) | |
Assets reclassified to held for sale | 0 | 0 | |
Expensed exploration expenditures previously capitalised | (120) | (68) | |
Impairment of goodwill | 0 | ||
Effect of changes in foreign exchange | 11 | (70) | |
Intangibles ending | 3,014 | 2,685 | 2,715 |
Acquisition costs related to oil and gas prospects [member] | |||
Disclosure of reconciliation of changes in intangible assets and goodwill [line items] | |||
Intangibles beginning | 5,854 | ||
Intangibles ending | 5,599 | 5,854 | |
Acquisition costs related to oil and gas prospects [member] | Cost [member] | |||
Disclosure of reconciliation of changes in intangible assets and goodwill [line items] | |||
Intangibles beginning | 5,854 | 5,363 | |
Additions through business combinations | 0 | 116 | |
Additions | 900 | 917 | |
Disposals at cost | (361) | (89) | |
Increase (decrease) through transfers, intangible assets and goodwill | (143) | (148) | |
Assets reclassified to held for sale | 0 | 0 | |
Expensed exploration expenditures previously capitalised | (657) | (289) | |
Impairment of goodwill | 0 | ||
Effect of changes in foreign exchange | 5 | (17) | |
Intangibles ending | 5,599 | 5,854 | 5,363 |
Goodwill [member] | |||
Disclosure of reconciliation of changes in intangible assets and goodwill [line items] | |||
Intangibles beginning | 565 | ||
Intangibles ending | 1,458 | 565 | |
Goodwill [member] | Cost [member] | |||
Disclosure of reconciliation of changes in intangible assets and goodwill [line items] | |||
Intangibles beginning | 565 | 339 | |
Additions through business combinations | 1,070 | 265 | |
Additions | 0 | 0 | |
Disposals at cost | 0 | 0 | |
Increase (decrease) through transfers, intangible assets and goodwill | 0 | 0 | |
Assets reclassified to held for sale | 0 | 0 | |
Expensed exploration expenditures previously capitalised | 0 | 0 | |
Impairment of goodwill | (164) | ||
Effect of changes in foreign exchange | (12) | (39) | |
Intangibles ending | 1,458 | 565 | 339 |
Goodwill [member] | Accumulated depreciation, amortisation and impairment [member] | |||
Disclosure of reconciliation of changes in intangible assets and goodwill [line items] | |||
Intangibles beginning | 0 | 0 | |
Amortisation and impairments for the year | 0 | 0 | |
Amortisation and impairment losses disposed intangible assets | 0 | 0 | |
Effect of changes in foreign exchange | 0 | 0 | |
Intangibles ending | 0 | 0 | 0 |
Other intangible assets [member] | |||
Disclosure of reconciliation of changes in intangible assets and goodwill [line items] | |||
Intangibles beginning | 568 | ||
Intangibles ending | 667 | 568 | |
Impairments, intangible assets | 41 | ||
Other intangible assets [member] | Cost [member] | |||
Disclosure of reconciliation of changes in intangible assets and goodwill [line items] | |||
Intangibles beginning | 797 | 419 | |
Additions through business combinations | 10 | 392 | |
Additions | 155 | (7) | |
Disposals at cost | 0 | (4) | |
Increase (decrease) through transfers, intangible assets and goodwill | 0 | 0 | |
Assets reclassified to held for sale | 0 | 0 | |
Expensed exploration expenditures previously capitalised | 0 | 0 | |
Impairment of goodwill | 0 | ||
Effect of changes in foreign exchange | (1) | (2) | |
Intangibles ending | 962 | 797 | 419 |
Other intangible assets [member] | Accumulated depreciation, amortisation and impairment [member] | |||
Disclosure of reconciliation of changes in intangible assets and goodwill [line items] | |||
Intangibles beginning | (229) | (215) | |
Amortisation and impairments for the year | (60) | (13) | |
Amortisation and impairment losses disposed intangible assets | (6) | (2) | |
Effect of changes in foreign exchange | 1 | 1 | |
Intangibles ending | (295) | (229) | $ (215) |
Signature bonuses and acquisition costs [Member] | North America [member] | Unconventional assets [Member] | |||
Disclosure of reconciliation of changes in intangible assets and goodwill [line items] | |||
Impairments, intangible assets | $ 608 | $ 237 |
Intangible assets - Exploration
Intangible assets - Exploration expenditures (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Disclosure of detailed information about intangible assets [line items] | |||
Intangible exploration and evaluation assets | $ 3,014 | $ 2,685 | |
Exploration expenditures | 1,584 | 1,438 | $ 1,234 |
Expensed exploration expenditures previously capitalised | 777 | 357 | (8) |
Capitalised exploration | (507) | (390) | (167) |
Exploration expenses | 1,854 | 1,405 | $ 1,059 |
2019 [member] | |||
Disclosure of detailed information about intangible assets [line items] | |||
Intangible exploration and evaluation assets | 1,274 | 392 | |
Between one and five years [member] | |||
Disclosure of detailed information about intangible assets [line items] | |||
Intangible exploration and evaluation assets | 1,056 | 1,406 | |
More than five years [member] | |||
Disclosure of detailed information about intangible assets [line items] | |||
Intangible exploration and evaluation assets | $ 684 | $ 887 |
Equity accounted investment - c
Equity accounted investment - continuity (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Disclosure of associates [line items] | |||
Net investment beginning | $ 2,863 | ||
Net income/(loss) from equity accounted investments | 164 | $ 291 | $ 188 |
Acqusitions and increase in paid in capital | 188 | ||
Dividends and other distributions | (273) | ||
Other comprehensive income / (loss) | (10) | ||
Divestments, derecognition and decrease in paid in capital | (1,444) | ||
Net investment ending | 1,487 | 2,863 | |
Included in equity accounted investments [member] | |||
Disclosure of associates [line items] | |||
Net investment ending | 1,441 | ||
Other long-term receivable in equity accounted investments [member] | |||
Disclosure of associates [line items] | |||
Net investment ending | 46 | ||
Lundin Petroleum AB [Member] | |||
Disclosure of associates [line items] | |||
Net investment beginning | 1,100 | ||
Net income/(loss) from equity accounted investments | 15 | ||
Acqusitions and increase in paid in capital | 0 | ||
Dividends and other distributions | (51) | ||
Other comprehensive income / (loss) | (13) | ||
Divestments, derecognition and decrease in paid in capital | (1,051) | ||
Net investment ending | 0 | 1,100 | |
Lundin Petroleum AB [Member] | Included in equity accounted investments [member] | |||
Disclosure of associates [line items] | |||
Net investment ending | 0 | ||
Lundin Petroleum AB [Member] | Other long-term receivable in equity accounted investments [member] | |||
Disclosure of associates [line items] | |||
Net investment ending | 0 | ||
Other equity accounted investments [Member] | |||
Disclosure of associates [line items] | |||
Net investment beginning | 1,763 | ||
Net income/(loss) from equity accounted investments | 149 | ||
Acqusitions and increase in paid in capital | 188 | ||
Dividends and other distributions | (223) | ||
Other comprehensive income / (loss) | 3 | ||
Divestments, derecognition and decrease in paid in capital | (393) | ||
Net investment ending | 1,487 | $ 1,763 | |
Other equity accounted investments [Member] | Included in equity accounted investments [member] | |||
Disclosure of associates [line items] | |||
Net investment ending | 1,441 | ||
Other equity accounted investments [Member] | Other long-term receivable in equity accounted investments [member] | |||
Disclosure of associates [line items] | |||
Net investment ending | $ 46 |
Equity accounted investments -
Equity accounted investments - summary of financial information (Details) - Lundin Petroleum AB [Member] | 12 Months Ended |
Dec. 31, 2019 | |
Disclosure of associates [line items] | |
Proportion of voting rights held in associate | 4.90% |
Proportion of ownership interest divested | 16.00% |
Financial investments and non_3
Financial investments and non-current prepayments (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 |
Disclosure of financial assets [line items] | ||
Financial investments | $ 3,600 | $ 2,455 |
Prepayments and financial receivables | 1,214 | 1,033 |
Current Financial Assets | 7,426 | 7,041 |
Bond Investment [Member] | ||
Disclosure of financial assets [line items] | ||
Financial investments | 1,629 | 1,261 |
Listed equity securities [member] | ||
Disclosure of financial assets [line items] | ||
Financial investments | 1,261 | 530 |
Non-listed equity securities [member] | ||
Disclosure of financial assets [line items] | ||
Financial investments | 710 | 664 |
Financial receivables interest bearing [Member] | ||
Disclosure of financial assets [line items] | ||
Prepayments and financial receivables | 413 | 345 |
Prepayments and other non-interest bearing receivables [Member] | ||
Disclosure of financial assets [line items] | ||
Prepayments and financial receivables | 800 | 688 |
Time deposits [member] | ||
Disclosure of financial assets [line items] | ||
Current Financial Assets | 4,158 | 4,129 |
Interest bearing securities [Member] | ||
Disclosure of financial assets [line items] | ||
Current Financial Assets | 3,268 | 2,912 |
Investment portfolios [Member] | ||
Disclosure of financial assets [line items] | ||
Financial investments | $ 377 | |
Current Financial Assets | $ 896 |
Inventories (Details)
Inventories (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Classes of current inventories [abstract] | ||
Crude oil | $ 2,137 | $ 1,173 |
Petroleum products | 572 | 345 |
Natural gas | 277 | 274 |
Other | 377 | 351 |
Inventories | 3,363 | 2,144 |
Inventory write-down | $ 147 | $ 164 |
Trade and other receivables (De
Trade and other receivables (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Jan. 01, 2019 | Dec. 31, 2018 |
Trade and other receivables [abstract] | |||
Trade receivables from contracts with customers | $ 5,624 | $ 6,267 | |
Other current receivables | 1,189 | 1,800 | |
Joint venture receivables | 429 | 390 | |
Equity accounted investments and other related party receivables | 132 | 31 | |
Total financial trade and other receivables | 7,374 | 8,488 | |
Non-financial trade and other receivables | 859 | 510 | |
Trade and other receivables | $ 8,233 | $ 9,043 | $ 8,998 |
Cash and cash equivalents (Deta
Cash and cash equivalents (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 |
Cash and cash equivalents [abstract] | ||||
Cash at bank available | $ 1,666 | $ 1,140 | ||
Time deposits | 604 | 2,068 | ||
Money Market Funds | 700 | 2,255 | ||
Interest bearing securities | 1,656 | 1,590 | ||
Restricted cash, including margin deposits | 552 | 501 | ||
Cash and cash equivalents | 5,177 | 7,556 | $ 4,390 | $ 5,090 |
Collateral deposits related to trading activities | $ 414 | $ 365 |
Shareholders' equity and divi_3
Shareholders' equity and dividends - narrative (Details) | 3 Months Ended | 12 Months Ended | |||||
Dec. 31, 2019NOK (kr)$ / sharesshares | Dec. 31, 2019USD ($)$ / shares | Dec. 31, 2018NOK (kr)$ / sharesshares | Feb. 04, 2020USD ($) | Dec. 31, 2019USD ($)$ / sharesshares | Sep. 30, 2019USD ($) | Dec. 31, 2018USD ($)$ / sharesshares | |
Total number of shares issued | shares | 3,338,661,219 | 3,338,661,219 | 3,338,661,219 | 3,338,661,219 | |||
Dividends declared per share | $ / shares | $ 0.27 | ||||||
Increase (decrease) through treasury share transactions, equity | $ (500,000,000) | ||||||
United States Dollar (USD) [Member] | |||||||
Share capital | $ 1,184,547,766 | $ 1,184,547,766 | |||||
Dividends declared per share | $ / shares | $ 1.04 | $ 0.92 | |||||
Norwegian kroner (NOK) [Member] | |||||||
Share capital | kr | $ 8,346,653,047.5 | $ 8,346,653,047.5 | |||||
Nominal value per share | $ / shares | $ 2.5 | $ 2.5 | |||||
Share buyback programme [Member] | |||||||
Treasury shares purchased | $ 442,000,000 | ||||||
Number of shares outstanding | shares | 23,578,410 | 0 | 23,578,410 | 0 | |||
Treasury Shares | $ 5,000,000,000 | ||||||
Share buyback programme [Member] | Share-based Payment Arrangement, Tranche One [Member] | |||||||
Increase (decrease) through treasury share transactions, equity | $ (500,000,000) | ||||||
Treasury Shares | $ 1,500,000,000 | ||||||
Agreement to buy treasury shares | $ 500,000,000 | ||||||
Share buyback programme [Member] | Share-based Payment Arrangement, Tranche One [Member] | Norwegian State [Member] | |||||||
Agreement to buy treasury shares | $ 1,000,000,000 |
Shareholders' equity and divi_4
Shareholders' equity and dividends - dividends schedule (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 3 Months Ended | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2019 | Dec. 31, 2018 | |
Dividends decared [abstract] | |||
Dividends declared | $ 3,453 | $ 3,453 | $ 3,064 |
Dividend per share | $ 0.27 | ||
Dividends paid in cash | 3,342 | 2,672 | |
Scrip dividends | $ 0 | $ 338 | |
Number of shares issued - scrip | 0 | 0 | 15.5 |
Sum dividends settled | $ 3,342 | $ 3,010 | |
United States Dollar (USD) [Member] | |||
Dividends decared [abstract] | |||
Dividend per share | $ 1.04 | $ 0.92 | |
Dividends paid, ordinary shares per share | 1.01 | 0.9101 | |
Norwegian kroner (NOK) [Member] | |||
Dividends decared [abstract] | |||
Dividends paid, ordinary shares per share | $ 8.9664 | $ 7.4907 |
Shareholders' equity and divi_5
Shareholders' equity and dividends - share buyback and treasury shares (Details) | 12 Months Ended | |
Dec. 31, 2019shares | Dec. 31, 2018shares | |
Employees share saving plan [Member] | ||
Share saving plan at 1 January | 10,352,671 | 11,243,234 |
Purchase | 3,403,469 | 2,740,657 |
Allocated to employees | (3,681,428) | (3,631,220) |
Share saving plan at 31 December | 10,074,712 | 10,352,671 |
Share buyback programme [Member] | ||
Share buy-back programme at 1 January | 0 | |
Purchase | 23,578,410 | |
Cancellation | 0 | |
Share buy-back programme at 31 December | 23,578,410 | 0 |
Finance debt - Non-current fina
Finance debt - Non-current finance debt (Details) kr in Millions, $ in Millions | Dec. 31, 2019SEK (kr) | Dec. 31, 2019USD ($) | Nov. 13, 2019USD ($) | Jan. 01, 2019USD ($) | Dec. 31, 2018SEK (kr) | Dec. 31, 2018USD ($) |
Disclosure of financial liabilities [line items] | ||||||
Weighted average interest rates | 3.25% | |||||
Bonds | $ 1,000 | |||||
Non-current bonds and bank loans | $ 23,758 | $ 24,212 | ||||
Less current portion | 2,004 | 1,322 | ||||
Total | 21,754 | 22,889 | ||||
Lease Liabilities | 4,339 | $ 4,660 | 432 | |||
Less current portion | 1,148 | 57 | ||||
Non-current finance debt | 24,945 | $ 26,423 | 23,264 | |||
Fair value based on level 2 inputs [member] | ||||||
Disclosure of financial liabilities [line items] | ||||||
Non-current bonds and bank loans | 27,175 | 26,140 | ||||
Less current portion | 2,036 | 1,321 | ||||
Total | 25,139 | 24,819 | ||||
Non-current finance debt | 25,139 | 24,819 | ||||
Unsecured Bonds [Member] | ||||||
Disclosure of financial liabilities [line items] | ||||||
Bonds | 23,666 | 24,121 | ||||
Unsecured Bonds [Member] | United States Dollar (USD) [Member] | ||||||
Disclosure of financial liabilities [line items] | ||||||
Bonds | 13,308 | 13,088 | ||||
Unsecured Bonds [Member] | Euro (EUR) [Member] | ||||||
Disclosure of financial liabilities [line items] | ||||||
Bonds | 8,201 | 8,928 | ||||
Unsecured Bonds [Member] | Great Britain Pound (GBP) [Member] | ||||||
Disclosure of financial liabilities [line items] | ||||||
Bonds | 1,815 | 1,760 | ||||
Unsecured Bonds [Member] | Norwegian kroner (NOK) [Member] | ||||||
Disclosure of financial liabilities [line items] | ||||||
Bonds | 342 | 345 | ||||
Unsecured Bonds [Member] | Fair value based on level 2 inputs [member] | ||||||
Disclosure of financial liabilities [line items] | ||||||
Bonds | 27,053 | 26,021 | ||||
Unsecured Bonds [Member] | Fair value based on level 2 inputs [member] | United States Dollar (USD) [Member] | ||||||
Disclosure of financial liabilities [line items] | ||||||
Bonds | 14,907 | 13,657 | ||||
Unsecured Bonds [Member] | Fair value based on level 2 inputs [member] | Euro (EUR) [Member] | ||||||
Disclosure of financial liabilities [line items] | ||||||
Bonds | 8,992 | 9,444 | ||||
Unsecured Bonds [Member] | Fair value based on level 2 inputs [member] | Great Britain Pound (GBP) [Member] | ||||||
Disclosure of financial liabilities [line items] | ||||||
Bonds | 2,765 | 2,532 | ||||
Unsecured Bonds [Member] | Fair value based on level 2 inputs [member] | Norwegian kroner (NOK) [Member] | ||||||
Disclosure of financial liabilities [line items] | ||||||
Bonds | $ 389 | $ 388 | ||||
Unsecured Bonds [Member] | Weighted average [member] | United States Dollar (USD) [Member] | ||||||
Disclosure of financial liabilities [line items] | ||||||
Weighted average interest rates | 4.14% | 4.14% | 4.14% | 4.14% | ||
Unsecured Bonds [Member] | Weighted average [member] | Euro (EUR) [Member] | ||||||
Disclosure of financial liabilities [line items] | ||||||
Weighted average interest rates | 2.25% | 2.25% | 2.10% | 2.10% | ||
Unsecured Bonds [Member] | Weighted average [member] | Great Britain Pound (GBP) [Member] | ||||||
Disclosure of financial liabilities [line items] | ||||||
Weighted average interest rates | 6.08% | 6.08% | 6.08% | 6.08% | ||
Unsecured Bonds [Member] | Weighted average [member] | Norwegian kroner (NOK) [Member] | ||||||
Disclosure of financial liabilities [line items] | ||||||
Weighted average interest rates | 4.18% | 4.18% | 4.18% | 4.18% | ||
Unsecured loans [Member] | ||||||
Disclosure of financial liabilities [line items] | ||||||
Loans | kr | kr 92 | kr 91 | ||||
Unsecured loans [Member] | Japanese yen (JPY) [Member] | ||||||
Disclosure of financial liabilities [line items] | ||||||
Loans | $ 92 | $ 91 | ||||
Unsecured loans [Member] | Fair value based on level 2 inputs [member] | ||||||
Disclosure of financial liabilities [line items] | ||||||
Loans | kr | kr 123 | kr 119 | ||||
Unsecured loans [Member] | Fair value based on level 2 inputs [member] | Japanese yen (JPY) [Member] | ||||||
Disclosure of financial liabilities [line items] | ||||||
Loans | $ 123 | $ 119 | ||||
Unsecured loans [Member] | Weighted average [member] | Japanese yen (JPY) [Member] | ||||||
Disclosure of financial liabilities [line items] | ||||||
Weighted average interest rates | 4.30% | 4.30% | 4.30% | 4.30% | ||
Unsecured bond, 37 bond agreement [member] | ||||||
Disclosure of financial liabilities [line items] | ||||||
Bonds | $ 23,024 |
Finance debt - Bonds (Details)
Finance debt - Bonds (Details) - USD ($) $ in Millions | Nov. 13, 2019 | Dec. 31, 2019 | Dec. 31, 2018 |
Disclosure of financial liabilities [line items] | |||
Bonds | $ 1,000 | ||
Interest rate in % | 3.25% | ||
Maturity date | November 2049 | ||
Bonds not swapped | $ 954 | ||
Unsecured Bonds [Member] | |||
Disclosure of financial liabilities [line items] | |||
Bonds | 23,666 | $ 24,121 | |
Unsecured Bonds [Member] | United States Dollar (USD) [Member] | |||
Disclosure of financial liabilities [line items] | |||
Bonds | 13,308 | $ 13,088 | |
Unsecured Bonds [Member] | All other currencies [Member] | |||
Disclosure of financial liabilities [line items] | |||
Bonds swapped | 9,404 | ||
Unsecured bonds, 37 Bond agreements [Member] | |||
Disclosure of financial liabilities [line items] | |||
Bonds | $ 23,024 |
Finance debt - Non-current and
Finance debt - Non-current and current finance debt maturity profile (Details) - USD ($) $ in Millions | Nov. 13, 2019 | Dec. 31, 2019 | Dec. 31, 2018 | Jan. 01, 2019 |
Non-current finance debt maturity profile [abstract] | ||||
Total repayment of non-current finance debt | $ 24,945 | $ 23,264 | $ 26,423 | |
Weighted average maturity (years) | November 2049 | |||
Weighted average annual interest rate (%) | 3.25% | |||
Current finance debt [abstract] | ||||
Collateral liabilities | 585 | 213 | ||
Non-current finance debt due within one year | 3,152 | 1,380 | ||
Other including US Commercial paper programme and bank overdraft | 350 | 870 | ||
Total current finance debt | 4,087 | 2,463 | $ 3,532 | |
Commerical paper program issuance | $ 340 | $ 842 | ||
Weighted average [member] | ||||
Non-current finance debt maturity profile [abstract] | ||||
Weighted average maturity (years) | 9 years | 9 years | ||
Weighted average [member] | Interest Rate Non Current Debt [Member] | ||||
Non-current finance debt maturity profile [abstract] | ||||
Weighted average annual interest rate (%) | 3.53% | 3.67% | ||
Weighted average [member] | Ineterest Rate Current Debt [Member] | ||||
Non-current finance debt maturity profile [abstract] | ||||
Weighted average annual interest rate (%) | 2.39% | 1.62% | ||
Year 2 and 3 [member] | ||||
Non-current finance debt maturity profile [abstract] | ||||
Total repayment of non-current finance debt | $ 4,156 | $ 4,003 | ||
Year 4 and 5 [member] | ||||
Non-current finance debt maturity profile [abstract] | ||||
Total repayment of non-current finance debt | 5,680 | 3,736 | ||
After 5 years [member] | ||||
Non-current finance debt maturity profile [abstract] | ||||
Total repayment of non-current finance debt | $ 15,109 | $ 15,525 |
Finance debt - Reconciliation o
Finance debt - Reconciliation of liabilities arising from financing activities (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Disclosure of reconciliation of liabilities arising from financing activities [line items] | |||
Liabilities arising from financing activities, beginning balance | $ 25,725 | $ 28,564 | |
Transfer to current portion | 0 | 0 | |
Effects of exchange rate changes | (101) | (555) | |
Divdend declared | 3,453 | 3,064 | |
Scrip dividends | 0 | (338) | |
Cash Flows From Used In Financing Activities | (5,497) | (5,024) | $ (5,822) |
Other changes | 4,988 | 15 | |
Liabilities arising from financing activities, ending balance | 28,569 | 25,725 | 28,564 |
Non-current finance debt [member] | |||
Disclosure of reconciliation of liabilities arising from financing activities [line items] | |||
Liabilities arising from financing activities, beginning balance | 23,264 | 24,183 | |
Transfer to current portion | (3,152) | (1,380) | |
Effects of exchange rate changes | (108) | (556) | |
Cash Flows From Used In Financing Activities | 984 | 998 | |
Other changes | 3,957 | 20 | |
Liabilities arising from financing activities, ending balance | 24,945 | 23,264 | 24,183 |
Current finance debt [member] | |||
Disclosure of reconciliation of liabilities arising from financing activities [line items] | |||
Liabilities arising from financing activities, beginning balance | 2,463 | 4,091 | |
Transfer to current portion | 3,152 | 1,380 | |
Effects of exchange rate changes | 0 | 2 | |
Cash Flows From Used In Financing Activities | (2,585) | (2,949) | |
Other changes | 1,057 | (61) | |
Liabilities arising from financing activities, ending balance | 4,087 | 2,463 | 4,091 |
Financial receivable collaterals [Member] | |||
Disclosure of reconciliation of liabilities arising from financing activities [line items] | |||
Liabilities arising from financing activities, beginning balance | (591) | (272) | |
Cash Flows From Used In Financing Activities | (32) | (331) | |
Other changes | (11) | 11 | |
Liabilities arising from financing activities, ending balance | (634) | (591) | (272) |
Additional paid in capital share based payment/treasury shares [Member] | |||
Disclosure of reconciliation of liabilities arising from financing activities [line items] | |||
Liabilities arising from financing activities, beginning balance | (196) | (191) | |
Cash Flows From Used In Financing Activities | (514) | (64) | |
Other changes | 2 | 59 | |
Liabilities arising from financing activities, ending balance | (708) | (196) | (191) |
Non-controling interest [member] | |||
Disclosure of reconciliation of liabilities arising from financing activities [line items] | |||
Liabilities arising from financing activities, beginning balance | 19 | 24 | |
Cash Flows From Used In Financing Activities | (7) | (7) | |
Other changes | 8 | 2 | |
Liabilities arising from financing activities, ending balance | 20 | 19 | 24 |
Dividend payable [Member] | |||
Disclosure of reconciliation of liabilities arising from financing activities [line items] | |||
Liabilities arising from financing activities, beginning balance | 766 | 729 | |
Effects of exchange rate changes | 7 | (1) | |
Divdend declared | 3,453 | 3,064 | |
Scrip dividends | 0 | (338) | |
Cash Flows From Used In Financing Activities | (3,342) | (2,672) | |
Other changes | (25) | (16) | |
Liabilities arising from financing activities, ending balance | $ 859 | $ 766 | $ 729 |
Pensions - Net pension cost (De
Pensions - Net pension cost (Details) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019USD ($)yr | Dec. 31, 2018USD ($) | Dec. 31, 2017USD ($) | |
Disclosure of net defined benefit liability (asset) [abstract] | |||
Description of type of plan | The main pension plans for Equinor ASA and its most significant subsidiaries are defined contribution plans, in which the pension costs are recognised in the Consolidated statement of income in line with payments of annual pension premiums. The pension contribution plans in Equinor ASA also includes certain unfunded elements (notional contribution plans), for which the annual notional contributions are recognised as pension liabilities. | ||
Description of nature of benefits provided by plan | Equinor's defined benefit plans are generally based on a minimum of 30 years of service and 66% of the final salary level, including an assumed benefit from the Norwegian National Insurance Scheme. | ||
Minimum number of years of service for defined benefit plans | 30 years | ||
Defined benefit plan, percentage of final salary level requirement | 66.00% | ||
Maximum age of employees for early retirement premium | yr | 62 | ||
Description of early retirement plan premium calculation | Equinor is a member of a Norwegian national agreement-based early retirement plan (“AFP”), and the premium is calculated based on the employees' income, but limited to 7.1 times the basic amount in the National Insurance scheme (7.1 G). | ||
Description of discount rate for defined benefit plan | the discount rate for the defined benefit plans in Norway was established on the basis of seven years' mortgage covered bonds interest rate extrapolated on a yield curve which matches the duration of Equinor's payment portfolio for earned benefits, which was calculated to be 15.8 years | ||
Duration of Equinor's payment portfolio for earned benefits | 15.8 years | ||
Current service cost | $ 206 | $ 214 | $ 242 |
Losses (gains) from curtailment, settlement or plan amendment | 3 | 20 | 15 |
Actuarial (gains) losses related to termination benefits | 0 | 0 | (1) |
Notional contributions | 56 | 55 | 51 |
Defined benefit plans | 265 | 289 | 308 |
Defined contribution plans | 182 | 173 | 162 |
Total net pension cost | 446 | 463 | $ 469 |
Interest cost and changes in fair value of notional assets | 260 | 167 | |
Interest income from defined benefit plans | $ 142 | $ 127 |
Pensions - Net pension liabilit
Pensions - Net pension liability (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Disclosure of net defined benefit liability (asset) [line items] | |||
Current service cost | $ 206 | $ 214 | $ 242 |
Losses (gains) from curtailment, settlement or plan amendment | 3 | 20 | 15 |
Changes in notional contribution liability | 56 | 55 | 51 |
Net pension liability | (2,774) | (2,990) | |
Asset recognised as non-current pension assets (funded plan) | 1,093 | 831 | |
Liability recognised as non-current pension liabilities (unfunded plans) | (3,867) | (3,820) | |
Actual return on assets | 527 | 1 | |
Funded Plan [Member] | |||
Disclosure of net defined benefit liability (asset) [line items] | |||
Defined benefit obligations, beginning balance | 4,359 | ||
Defined benefit obligations, ending balance | 4,496 | 4,359 | |
Unfunded Plan [Member] | |||
Disclosure of net defined benefit liability (asset) [line items] | |||
Defined benefit obligations, beginning balance | 3,817 | ||
Defined benefit obligations, ending balance | 3,867 | 3,817 | |
Defined benefit obligations [member] | |||
Disclosure of net defined benefit liability (asset) [line items] | |||
Defined benefit obligations, beginning balance | 8,176 | 8,286 | |
Current service cost | 206 | 214 | |
Interest cost | 263 | 182 | |
Actuarial (gains) losses - Financial assumptions | (23) | 174 | |
Actuarial (gains) losses - Experience | 6 | (27) | |
Benefits paid | (236) | (219) | |
Losses (gains) from curtailment, settlement or plan amendment | 0 | (1) | |
Paid-up policies | (14) | (18) | |
Foreign currency translation | (71) | (469) | |
Changes in notional contribution liability | 56 | 55 | |
Defined benefit obligations, ending balance | 8,363 | 8,176 | 8,286 |
Defined benefit plan assets [member] | |||
Disclosure of net defined benefit liability (asset) [line items] | |||
Fair value of plan assets, beginning balance | 5,187 | 5,687 | |
Interest income | 143 | 136 | |
Return on plan assets (excluding interest income) | 384 | (135) | |
Company contributions | 127 | 49 | |
Benefits paid | (195) | (217) | |
Paid-up policies and personal insurance | (13) | (18) | |
Foreign currency translation | (44) | (315) | |
Fair value of plan assets, ending balance | $ 5,589 | $ 5,187 | $ 5,687 |
Pensions - Actuarial losses and
Pensions - Actuarial losses and gains (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Actuarial losses and gains recognised directly in Other comprehensive income | |||
Net actuarial (losses) gains recognised in OCI during the year | $ 401 | $ (282) | $ 331 |
Actuarial (losses) gains related to currency effects on net obligation and foreign exchange translation | 27 | 172 | (158) |
Tax effects of actuarial (losses) gains recognised in OCI | (98) | 22 | (38) |
Items that will not be reclassified to the Consolidated statement of income | 329 | (88) | 134 |
Cumulative actuarial (losses) gains recognised directly in OCI net of tax | $ (812) | $ (1,141) | $ (1,053) |
Pensions - Actuarial assumption
Pensions - Actuarial assumptions (Details) | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Disclosure of sensitivity analysis for actuarial assumptions [line items] | ||
Weighted-average duration of the defined benefit obligation | 15 years 9 months 18 days | 15 years 10 months 24 days |
Description of Expected attrition | Expected attrition at 31 December 2019 was 0.3% and 3.3% for employees between 50-59 years and 60-67 years, and 0.2% and 3.2% in 2018. The attrition rate for the age group 60-67 years represent employees with immediate withdrawal of vested pension, thus remaining in the scheme. | |
Employee age group (50-59 years) [Member] | ||
Disclosure of sensitivity analysis for actuarial assumptions [line items] | ||
Expected attrition rate of employees | 0.30% | 0.20% |
Employee age group (60-67 years) [Member] | ||
Disclosure of sensitivity analysis for actuarial assumptions [line items] | ||
Expected attrition rate of employees | 3.30% | 3.20% |
Discount rate [member] | ||
Disclosure of sensitivity analysis for actuarial assumptions [line items] | ||
Assumptions used to determine benefit costs | 2.75% | 2.50% |
Percentage Actuarial Assumption To Determine Defined Benefit Obligations | 2.25% | 2.75% |
Rate of compensation increase [member] | ||
Disclosure of sensitivity analysis for actuarial assumptions [line items] | ||
Assumptions used to determine benefit costs | 2.75% | 2.25% |
Percentage Actuarial Assumption To Determine Defined Benefit Obligations | 2.25% | 2.75% |
Expected rate of pension increase [member] | ||
Disclosure of sensitivity analysis for actuarial assumptions [line items] | ||
Assumptions used to determine benefit costs | 2.00% | 1.75% |
Percentage Actuarial Assumption To Determine Defined Benefit Obligations | 1.50% | 2.00% |
Expected increase of social security base amount (G-amount) [member] | ||
Disclosure of sensitivity analysis for actuarial assumptions [line items] | ||
Assumptions used to determine benefit costs | 2.75% | 2.25% |
Percentage Actuarial Assumption To Determine Defined Benefit Obligations | 2.25% | 2.75% |
Pensions - Sensitivity analysis
Pensions - Sensitivity analysis (Details) $ in Millions | 12 Months Ended |
Dec. 31, 2019USD ($)yr | |
Discount rate [member] | Low range value [member] | |
Disclosure of sensitivity analysis for actuarial assumptions [line items] | |
Defined benefit obligation, change due to decrease in assumption | $ 675 |
Service cost 2020, decrease | $ 24 |
Percentage of reasonably possible decrease in actuarial assumption | (0.50%) |
Discount rate [member] | High range value [member] | |
Disclosure of sensitivity analysis for actuarial assumptions [line items] | |
Defined benefit obligation, change due to increase in assumption | $ (596) |
Service cost 2020, increase | $ (21) |
Percentage of reasonably possible increase in actuarial assumption | 0.50% |
Expected rate of compensation [member] | Low range value [member] | |
Disclosure of sensitivity analysis for actuarial assumptions [line items] | |
Defined benefit obligation, change due to decrease in assumption | $ (202) |
Service cost 2020, decrease | $ (10) |
Percentage of reasonably possible decrease in actuarial assumption | (0.50%) |
Expected rate of compensation [member] | High range value [member] | |
Disclosure of sensitivity analysis for actuarial assumptions [line items] | |
Defined benefit obligation, change due to increase in assumption | $ 213 |
Service cost 2020, increase | $ 11 |
Percentage of reasonably possible increase in actuarial assumption | 0.50% |
Expected rate of pension increase [member] | Low range value [member] | |
Disclosure of sensitivity analysis for actuarial assumptions [line items] | |
Defined benefit obligation, change due to decrease in assumption | $ (471) |
Service cost 2020, decrease | $ (14) |
Percentage of reasonably possible decrease in actuarial assumption | (0.50%) |
Expected rate of pension increase [member] | High range value [member] | |
Disclosure of sensitivity analysis for actuarial assumptions [line items] | |
Defined benefit obligation, change due to increase in assumption | $ 518 |
Service cost 2020, increase | $ 15 |
Percentage of reasonably possible increase in actuarial assumption | 0.50% |
Mortality assumption [member] | Low range value [member] | |
Disclosure of sensitivity analysis for actuarial assumptions [line items] | |
Defined benefit obligation, change due to decrease in assumption | $ (325) |
Service cost 2020, decrease | $ (8) |
Increase (decrease) in mortality age assumption | yr | (1) |
Mortality assumption [member] | High range value [member] | |
Disclosure of sensitivity analysis for actuarial assumptions [line items] | |
Defined benefit obligation, change due to increase in assumption | $ 298 |
Service cost 2020, increase | $ 7 |
Increase (decrease) in mortality age assumption | yr | 1 |
Pensions - assets, portfolio we
Pensions - assets, portfolio weighting (Details) | Dec. 31, 2019 | Dec. 31, 2018 |
Disclosure of financial assets [line items] | ||
Pension assets on investment classes, percentage | 100.00% | 100.00% |
Equity securities [member] | ||
Disclosure of financial assets [line items] | ||
Pension assets on investment classes, percentage | 32.30% | 36.50% |
Equity securities [member] | Low range value [member] | ||
Disclosure of financial assets [line items] | ||
Target porfolio weight | 27.00% | |
Equity securities [member] | High range value [member] | ||
Disclosure of financial assets [line items] | ||
Target porfolio weight | 38.00% | |
Equity securities [member] | Level 1 [member] | ||
Disclosure of financial assets [line items] | ||
Percentange of pension assets measured at fair value | 92.00% | 92.00% |
Equity securities [member] | Level 2 [member] | ||
Disclosure of financial assets [line items] | ||
Percentange of pension assets measured at fair value | 8.00% | 8.00% |
Bonds [Member] | ||
Disclosure of financial assets [line items] | ||
Pension assets on investment classes, percentage | 46.40% | 44.90% |
Bonds [Member] | Low range value [member] | ||
Disclosure of financial assets [line items] | ||
Target porfolio weight | 40.00% | |
Bonds [Member] | High range value [member] | ||
Disclosure of financial assets [line items] | ||
Target porfolio weight | 53.00% | |
Bonds [Member] | Level 1 [member] | ||
Disclosure of financial assets [line items] | ||
Percentange of pension assets measured at fair value | 6.00% | 31.00% |
Bonds [Member] | Level 2 [member] | ||
Disclosure of financial assets [line items] | ||
Percentange of pension assets measured at fair value | 94.00% | 69.00% |
Money market instruments [Member] | ||
Disclosure of financial assets [line items] | ||
Pension assets on investment classes, percentage | 14.50% | 12.30% |
Money market instruments [Member] | Low range value [member] | ||
Disclosure of financial assets [line items] | ||
Target porfolio weight | 0.00% | |
Money market instruments [Member] | High range value [member] | ||
Disclosure of financial assets [line items] | ||
Target porfolio weight | 29.00% | |
Money market instruments [Member] | Level 1 [member] | ||
Disclosure of financial assets [line items] | ||
Percentange of pension assets measured at fair value | 55.00% | |
Money market instruments [Member] | Level 2 [member] | ||
Disclosure of financial assets [line items] | ||
Percentange of pension assets measured at fair value | 100.00% | 45.00% |
Real estate [Member] | ||
Disclosure of financial assets [line items] | ||
Pension assets on investment classes, percentage | 6.30% | 6.30% |
Real estate [Member] | Low range value [member] | ||
Disclosure of financial assets [line items] | ||
Target porfolio weight | 5.00% | |
Real estate [Member] | High range value [member] | ||
Disclosure of financial assets [line items] | ||
Target porfolio weight | 10.00% | |
Other assets [Member] | ||
Disclosure of financial assets [line items] | ||
Pension assets on investment classes, percentage | 0.50% | 0.00% |
Provisions and other liabilit_3
Provisions and other liabilities (Details) $ in Millions | 12 Months Ended |
Dec. 31, 2019USD ($) | |
Disclosure of other provisions and other liabilities [line items] | |
Non-current portion - beginning period | $ 15,952 |
Current portion, reported as trade, other payables and provisions, beginning | 224 |
Provisions and other liabilities at the beginning period | 16,175 |
New or increased provisions and other liabilities | 1,692 |
Change in estimates | (253) |
Amounts charged against provisions and other liabilities | (485) |
Effects of change in the discount rate | 1,828 |
Reduction due to divestments | (175) |
Accretion expenses | 456 |
Reclassification and transfer | 21 |
Currency translation | (96) |
Provisions and other liabilities at ending period | 19,163 |
Current portion, reported as trade, other payables and provisions, ending | 1,211 |
Non-current portion - ending period | 17,951 |
Asset retirement obligations [Member] | |
Disclosure of other provisions and other liabilities [line items] | |
Non-current portion - beginning period | 12,544 |
Current portion, reported as trade, other payables and provisions, beginning | 65 |
Provisions and other liabilities at the beginning period | 12,609 |
New or increased provisions and other liabilities | 563 |
Change in estimates | (115) |
Amounts charged against provisions and other liabilities | (218) |
Effects of change in the discount rate | 1,779 |
Reduction due to divestments | (175) |
Accretion expenses | 456 |
Reclassification and transfer | (92) |
Currency translation | (88) |
Provisions and other liabilities at ending period | 14,719 |
Current portion, reported as trade, other payables and provisions, ending | 104 |
Non-current portion - ending period | 14,616 |
Claims and litigations [Member] | |
Disclosure of other provisions and other liabilities [line items] | |
Non-current portion - beginning period | 905 |
Current portion, reported as trade, other payables and provisions, beginning | 56 |
Provisions and other liabilities at the beginning period | 961 |
New or increased provisions and other liabilities | (2) |
Change in estimates | 5 |
Amounts charged against provisions and other liabilities | 0 |
Effects of change in the discount rate | 0 |
Reduction due to divestments | 0 |
Accretion expenses | 0 |
Reclassification and transfer | 0 |
Currency translation | 0 |
Provisions and other liabilities at ending period | 965 |
Current portion, reported as trade, other payables and provisions, ending | 910 |
Non-current portion - ending period | 54 |
Other provisions [Member] | |
Disclosure of other provisions and other liabilities [line items] | |
Non-current portion - beginning period | 2,503 |
Current portion, reported as trade, other payables and provisions, beginning | 103 |
Provisions and other liabilities at the beginning period | 2,606 |
New or increased provisions and other liabilities | 1,130 |
Change in estimates | (143) |
Amounts charged against provisions and other liabilities | (268) |
Effects of change in the discount rate | 49 |
Reduction due to divestments | 0 |
Accretion expenses | 0 |
Reclassification and transfer | 113 |
Currency translation | (9) |
Provisions and other liabilities at ending period | 3,479 |
Current portion, reported as trade, other payables and provisions, ending | 197 |
Non-current portion - ending period | $ 3,282 |
Provisions and other liabilit_4
Provisions and other liabilities - Expected timing of cash outflows (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 |
Disclosure of other provisions and other liabilities [line items] | ||
Total provision | $ 19,163 | $ 16,175 |
2020 - 2024 [member] | ||
Disclosure of other provisions and other liabilities [line items] | ||
Total provision | 4,529 | |
2025-2029 [Member] | ||
Disclosure of other provisions and other liabilities [line items] | ||
Total provision | 1,904 | |
2030 - 2034 [Member] | ||
Disclosure of other provisions and other liabilities [line items] | ||
Total provision | 3,686 | |
2035 - 2039 [Member] | ||
Disclosure of other provisions and other liabilities [line items] | ||
Total provision | 3,875 | |
Thereafter [Member] | ||
Disclosure of other provisions and other liabilities [line items] | ||
Total provision | 5,168 | |
Asset retirement obligations [Member] | ||
Disclosure of other provisions and other liabilities [line items] | ||
Total provision | 14,719 | $ 12,609 |
Asset retirement obligations [Member] | 2020 - 2024 [member] | ||
Disclosure of other provisions and other liabilities [line items] | ||
Total provision | 1,410 | |
Asset retirement obligations [Member] | 2025-2029 [Member] | ||
Disclosure of other provisions and other liabilities [line items] | ||
Total provision | 1,247 | |
Asset retirement obligations [Member] | 2030 - 2034 [Member] | ||
Disclosure of other provisions and other liabilities [line items] | ||
Total provision | 3,605 | |
Asset retirement obligations [Member] | 2035 - 2039 [Member] | ||
Disclosure of other provisions and other liabilities [line items] | ||
Total provision | 3,719 | |
Asset retirement obligations [Member] | Thereafter [Member] | ||
Disclosure of other provisions and other liabilities [line items] | ||
Total provision | 4,738 | |
Other provisions, including claims and litigations [Member] | ||
Disclosure of other provisions and other liabilities [line items] | ||
Total provision | 4,443 | |
Other provisions, including claims and litigations [Member] | 2020 - 2024 [member] | ||
Disclosure of other provisions and other liabilities [line items] | ||
Total provision | 3,119 | |
Other provisions, including claims and litigations [Member] | 2025-2029 [Member] | ||
Disclosure of other provisions and other liabilities [line items] | ||
Total provision | 657 | |
Other provisions, including claims and litigations [Member] | 2030 - 2034 [Member] | ||
Disclosure of other provisions and other liabilities [line items] | ||
Total provision | 81 | |
Other provisions, including claims and litigations [Member] | 2035 - 2039 [Member] | ||
Disclosure of other provisions and other liabilities [line items] | ||
Total provision | 156 | |
Other provisions, including claims and litigations [Member] | Thereafter [Member] | ||
Disclosure of other provisions and other liabilities [line items] | ||
Total provision | $ 430 |
Trade, other payables and pro_3
Trade, other payables and provisions (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Jan. 01, 2019 | Dec. 31, 2018 |
Disclosure of transactions between related parties [line items] | |||
Trade payables | $ 3,047 | $ 2,532 | |
Non-trade payables and accrued expenses | 2,405 | 2,604 | |
Total financial trade and other payables | 9,027 | 8,115 | |
Current portion of provisions and other non-financial payables | 1,423 | 255 | |
Trade, other payables and provisions | 10,450 | $ 8,335 | 8,369 |
Joint ventures [member] | |||
Disclosure of transactions between related parties [line items] | |||
Related party payables | 2,628 | 2,254 | |
Related parties [member] | |||
Disclosure of transactions between related parties [line items] | |||
Related party payables | $ 947 | $ 725 |
Leases - Information related to
Leases - Information related to lease payments and lease liabilities (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Lease liabilities [abstract] | |||
Liabilities arising from financing activities, beginning balance | $ 25,725 | $ 28,564 | |
Lease interest | 126 | 23 | $ 26 |
Currency | (101) | (555) | |
Other | 4,988 | 15 | |
Liabilities arising from financing activities, ending balance | 28,569 | 25,725 | $ 28,564 |
Current leases, presented within current Finance debt | 1,148 | 57 | |
Lease liabilities, presented within non-current Finance debt | 3,191 | ||
Lease liabilities [member] | |||
Lease liabilities [abstract] | |||
Liabilities arising from financing activities, beginning balance | 4,660 | ||
New leases, Including remeasurements and cancelations | 861 | ||
Gross lease payments | (1,280) | ||
Lease interest | 144 | ||
Lease down-payments | (1,136) | ||
Currency | (47) | ||
Liabilities arising from financing activities, ending balance | $ 4,339 | $ 4,660 |
Leases - Lease payments not inc
Leases - Lease payments not included in lease liability (Details) $ in Millions | 12 Months Ended |
Dec. 31, 2019USD ($) | |
Disclosure of quantitative information about leases for lessee [abstract] | |
Short term lease expense | $ 435 |
Variable lease payments | 0 |
Lease revenue | 264 |
Prepayments related to finance subleases | 34 |
Total finance sublease receivables | $ 54 |
Leases - Information related _2
Leases - Information related to Right of use assets (Details) $ in Millions | 12 Months Ended |
Dec. 31, 2019USD ($) | |
Disclosure of quantitative information about right-of-use assets [line items] | |
Right of use Assets | $ 4,372 |
Additions including remeasurements | 855 |
Depreciation | (1,174) |
Currency | (42) |
Other | 0 |
Right of use Assets | 4,011 |
Drilling Rigs [Member] | |
Disclosure of quantitative information about right-of-use assets [line items] | |
Right of use Assets | 1,212 |
Additions including remeasurements | 160 |
Depreciation | (398) |
Currency | (23) |
Other | 0 |
Right of use Assets | 951 |
Vessels [Member] | |
Disclosure of quantitative information about right-of-use assets [line items] | |
Right of use Assets | 1,302 |
Additions including remeasurements | 439 |
Depreciation | (413) |
Currency | (8) |
Other | 0 |
Right of use Assets | 1,320 |
Land and buildings [member] | |
Disclosure of quantitative information about right-of-use assets [line items] | |
Right of use Assets | 1,537 |
Additions including remeasurements | 59 |
Depreciation | (225) |
Currency | (6) |
Other | 0 |
Right of use Assets | 1,365 |
Storage facilities [Member] | |
Disclosure of quantitative information about right-of-use assets [line items] | |
Right of use Assets | 72 |
Additions including remeasurements | 141 |
Depreciation | (57) |
Currency | 0 |
Other | 0 |
Right of use Assets | 156 |
Other [Member] | |
Disclosure of quantitative information about right-of-use assets [line items] | |
Right of use Assets | 249 |
Additions including remeasurements | 56 |
Depreciation | (81) |
Currency | (5) |
Other | 0 |
Right of use Assets | 219 |
Assets under development [Member] | |
Disclosure of quantitative information about right-of-use assets [line items] | |
Depreciation | $ (375) |
Implementation of IFRS16 Leas_2
Implementation of IFRS16 Leases - Impact of IFRS 16 on consolidated balance sheet (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Jan. 01, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
Asset [abstract] | ||||
Property, plant and equipment | $ 69,953 | $ 69,254 | $ 65,262 | |
Prepayments and financial receivables | 1,214 | 1,085 | 1,033 | |
Total non-current assets | 93,285 | 86,452 | $ 83,911 | |
Trade and other receivables | 8,233 | 9,043 | 8,998 | |
Total current assets | 24,778 | 26,056 | ||
Assets | 118,063 | 112,508 | ||
Liabilities [abstract] | ||||
Non-current finance debt | 24,945 | 26,423 | 23,264 | |
Provisions | 17,951 | 15,847 | 15,952 | |
Total non-current liabilities | 57,346 | 52,914 | ||
Trade, other payables and provisions | 10,450 | 8,335 | 8,369 | |
Current finance debt | 4,087 | 3,532 | 2,463 | |
Total current liabilities | 19,557 | 16,605 | ||
Total liabilities | 76,904 | 69,519 | ||
Right of use Assets | 4,011 | 4,400 | 4,372 | |
Lease Liabilities | 4,339 | 4,660 | $ 432 | |
IFRS 16 Adjustments [member] | ||||
Asset [abstract] | ||||
Property, plant and equipment | 3,992 | |||
Prepayments and financial receivables | 52 | |||
Total non-current assets | 3,738 | 4,044 | ||
Trade and other receivables | 45 | |||
Total current assets | 29 | 45 | ||
Assets | 3,767 | 4,089 | ||
Liabilities [abstract] | ||||
Non-current finance debt | 3,159 | |||
Provisions | (105) | |||
Total non-current liabilities | 2,781 | 3,054 | ||
Trade, other payables and provisions | (34) | |||
Current finance debt | 1,069 | |||
Total current liabilities | $ 1,061 | 1,035 | ||
Total liabilities | 4,089 | |||
Right of use Assets | 4,000 | |||
Lease Liabilities | $ 4,200 |
Implementation of IFRS16 Leas_3
Implementation of IFRS16 Leases - maturity profile, based on undiscounted cash flows (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 |
Disclosure of maturity analysis for non-derivative financial liabilities [line items] | ||
Non-derivative financial liabilities, undiscounted cash flows | $ 43,012 | $ 42,562 |
Lease liabilities [member] | ||
Disclosure of maturity analysis for non-derivative financial liabilities [line items] | ||
Non-derivative financial liabilities, undiscounted cash flows | 5,267 | |
2019 [member] | Lease liabilities [member] | ||
Disclosure of maturity analysis for non-derivative financial liabilities [line items] | ||
Non-derivative financial liabilities, undiscounted cash flows | 1,133 | |
2020-2021 [member] | Lease liabilities [member] | ||
Disclosure of maturity analysis for non-derivative financial liabilities [line items] | ||
Non-derivative financial liabilities, undiscounted cash flows | 1,655 | |
2022-2023 [member] | Lease liabilities [member] | ||
Disclosure of maturity analysis for non-derivative financial liabilities [line items] | ||
Non-derivative financial liabilities, undiscounted cash flows | 921 | |
2024-2028 [Member] | Lease liabilities [member] | ||
Disclosure of maturity analysis for non-derivative financial liabilities [line items] | ||
Non-derivative financial liabilities, undiscounted cash flows | 1,086 | |
After 2028 [member] | ||
Disclosure of maturity analysis for non-derivative financial liabilities [line items] | ||
Non-derivative financial liabilities, undiscounted cash flows | 10,567 | $ 9,570 |
After 2028 [member] | Lease liabilities [member] | ||
Disclosure of maturity analysis for non-derivative financial liabilities [line items] | ||
Non-derivative financial liabilities, undiscounted cash flows | $ 472 |
Implementation of IFRS16 Leas_4
Implementation of IFRS16 Leases - impact of IFSRS 16 on consoidated balance sheet 2 (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Jan. 01, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 |
Disclosure of expected impact of initial application of new standards or interpretations [line items] | |||||
Noncurrent Assets | $ 93,285 | $ 86,452 | $ 83,911 | ||
Current Assets | 24,778 | 26,056 | |||
Total assets | 118,063 | 112,508 | |||
Total equity | 41,159 | 42,990 | $ 39,885 | $ 35,099 | |
Total non-current liabilities | 57,346 | 52,914 | |||
Total current liabilities | 19,557 | 16,605 | |||
Total equity and liabilities | 118,063 | $ 112,508 | |||
weighted average incremental borrowing rate used when calculating lease liabilities | 3.10% | ||||
Previously stated [member] | |||||
Disclosure of expected impact of initial application of new standards or interpretations [line items] | |||||
Noncurrent Assets | 89,546 | ||||
Current Assets | 24,750 | ||||
Total assets | 114,296 | ||||
Total equity | 41,235 | ||||
Total non-current liabilities | 54,565 | ||||
Total current liabilities | 18,496 | ||||
Total equity and liabilities | 114,296 | ||||
IFRS 16 Adjustments [member] | |||||
Disclosure of expected impact of initial application of new standards or interpretations [line items] | |||||
Noncurrent Assets | 3,738 | $ 4,044 | |||
Current Assets | 29 | 45 | |||
Total assets | 3,767 | 4,089 | |||
Total equity | (76) | ||||
Total non-current liabilities | 2,781 | 3,054 | |||
Total current liabilities | 1,061 | $ 1,035 | |||
Total equity and liabilities | $ 3,767 |
Implementation of IFRS16 Leas_5
Implementation of IFRS16 Leases - consolidated statement of income under IFRS 16 (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Disclosure of expected impact of initial application of new standards or interpretations [line items] | |||
Total revenues and other income | $ 64,357 | $ 79,593 | $ 61,187 |
Purchases (net of inventory variation) | (29,532) | (38,516) | (28,212) |
Operating expenses | (9,660) | (9,528) | (8,763) |
Selling, general and administrative expenses | (809) | (758) | (738) |
Depreciation, amortisation and net impairment losses | (13,204) | (9,249) | (8,644) |
Exploration expenses | (1,854) | (1,405) | (1,059) |
Net operating income/(loss) | 9,299 | 20,137 | 13,771 |
Finance Income Cost | (7) | (1,263) | (351) |
Income / (loss) before tax | 9,292 | 18,874 | 13,420 |
Income tax | (7,441) | (11,335) | (8,822) |
Net income/(loss) | 1,851 | $ 7,538 | $ 4,598 |
IAS 17 [member] | |||
Disclosure of expected impact of initial application of new standards or interpretations [line items] | |||
Total revenues and other income | 64,127 | ||
Purchases (net of inventory variation) | (29,532) | ||
Operating expenses | (10,179) | ||
Selling, general and administrative expenses | (825) | ||
Depreciation, amortisation and net impairment losses | (12,476) | ||
Exploration expenses | (1,854) | ||
Net operating income/(loss) | 9,261 | ||
Finance Income Cost | 87 | ||
Income / (loss) before tax | 9,348 | ||
Income tax | (7,421) | ||
Net income/(loss) | 1,927 | ||
IFRS 16 Adjustments [member] | |||
Disclosure of expected impact of initial application of new standards or interpretations [line items] | |||
Total revenues and other income | 230 | ||
Purchases (net of inventory variation) | 0 | ||
Operating expenses | 519 | ||
Selling, general and administrative expenses | 16 | ||
Depreciation, amortisation and net impairment losses | (728) | ||
Exploration expenses | 0 | ||
Net operating income/(loss) | 38 | ||
Finance Income Cost | (94) | ||
Income / (loss) before tax | (56) | ||
Income tax | (20) | ||
Net income/(loss) | $ (76) |
Implementation of IFRS16 Leas_6
Implementation of IFRS16 Leases - impact of IFRS 16 on cash flows (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Disclosure of expected impact of initial application of new standards or interpretations [line items] | |||
Cash flows provided by (used in) operating activities | $ 13,749 | $ 19,694 | $ 14,802 |
Cash flows provided by (used in) investing activities | (10,594) | (11,212) | (10,117) |
Cash flows provided by (used in) financing activities | (5,497) | (5,024) | (5,822) |
Net increase (decrease) in cash and cash equivalents | (2,341) | $ 3,458 | $ (1,137) |
IAS 17 [member] | |||
Disclosure of expected impact of initial application of new standards or interpretations [line items] | |||
Cash flows provided by (used in) operating activities | 13,062 | ||
Cash flows provided by (used in) investing activities | (11,003) | ||
Cash flows provided by (used in) financing activities | (4,400) | ||
Net increase (decrease) in cash and cash equivalents | (2,341) | ||
Difference [member] | |||
Disclosure of expected impact of initial application of new standards or interpretations [line items] | |||
Cash flows provided by (used in) operating activities | 687 | ||
Cash flows provided by (used in) investing activities | 409 | ||
Cash flows provided by (used in) financing activities | (1,096) | ||
Net increase (decrease) in cash and cash equivalents | $ 0 |
Implementation of IFRS16 Leas_7
Implementation of IFRS16 Leases - reconciliation of IFRS 16 lease liabilities to IAS 17 operating lease (Details) $ in Millions | Dec. 31, 2018USD ($) |
Disclosure of expected impact of initial application of new standards or interpretations [line items] | |
Total future minimum lease payments | $ 8,253 |
Operating leases [member] | |
Disclosure of expected impact of initial application of new standards or interpretations [line items] | |
Total future minimum lease payments | 8,253 |
Operating leases [member] | 2019 [member] | |
Disclosure of expected impact of initial application of new standards or interpretations [line items] | |
Total future minimum lease payments | 2,001 |
Operating leases [member] | 2020 [member] | |
Disclosure of expected impact of initial application of new standards or interpretations [line items] | |
Total future minimum lease payments | 1,406 |
Operating leases [member] | 2021 [member] | |
Disclosure of expected impact of initial application of new standards or interpretations [line items] | |
Total future minimum lease payments | 1,114 |
Operating leases [member] | 2022 [member] | |
Disclosure of expected impact of initial application of new standards or interpretations [line items] | |
Total future minimum lease payments | 960 |
Operating leases [member] | 2023 [member] | |
Disclosure of expected impact of initial application of new standards or interpretations [line items] | |
Total future minimum lease payments | 832 |
Operating leases [member] | 2024-2028 [Member] | |
Disclosure of expected impact of initial application of new standards or interpretations [line items] | |
Total future minimum lease payments | 1,527 |
Operating leases [member] | 2029-2033 [Member] | |
Disclosure of expected impact of initial application of new standards or interpretations [line items] | |
Total future minimum lease payments | 376 |
Operating leases [member] | Thereafter [Member] | |
Disclosure of expected impact of initial application of new standards or interpretations [line items] | |
Total future minimum lease payments | 39 |
Rigs [Member] | Operating leases [member] | |
Disclosure of expected impact of initial application of new standards or interpretations [line items] | |
Total future minimum lease payments | 2,597 |
Rigs [Member] | Operating leases [member] | 2019 [member] | |
Disclosure of expected impact of initial application of new standards or interpretations [line items] | |
Total future minimum lease payments | 998 |
Rigs [Member] | Operating leases [member] | 2020 [member] | |
Disclosure of expected impact of initial application of new standards or interpretations [line items] | |
Total future minimum lease payments | 523 |
Rigs [Member] | Operating leases [member] | 2021 [member] | |
Disclosure of expected impact of initial application of new standards or interpretations [line items] | |
Total future minimum lease payments | 349 |
Rigs [Member] | Operating leases [member] | 2022 [member] | |
Disclosure of expected impact of initial application of new standards or interpretations [line items] | |
Total future minimum lease payments | 372 |
Rigs [Member] | Operating leases [member] | 2023 [member] | |
Disclosure of expected impact of initial application of new standards or interpretations [line items] | |
Total future minimum lease payments | 280 |
Rigs [Member] | Operating leases [member] | 2024-2028 [Member] | |
Disclosure of expected impact of initial application of new standards or interpretations [line items] | |
Total future minimum lease payments | 75 |
Rigs [Member] | Operating leases [member] | 2029-2033 [Member] | |
Disclosure of expected impact of initial application of new standards or interpretations [line items] | |
Total future minimum lease payments | 0 |
Rigs [Member] | Operating leases [member] | Thereafter [Member] | |
Disclosure of expected impact of initial application of new standards or interpretations [line items] | |
Total future minimum lease payments | 0 |
Vessels [Member] | Operating leases [member] | |
Disclosure of expected impact of initial application of new standards or interpretations [line items] | |
Total future minimum lease payments | 3,414 |
Vessels [Member] | Operating leases [member] | 2019 [member] | |
Disclosure of expected impact of initial application of new standards or interpretations [line items] | |
Total future minimum lease payments | 662 |
Vessels [Member] | Operating leases [member] | 2020 [member] | |
Disclosure of expected impact of initial application of new standards or interpretations [line items] | |
Total future minimum lease payments | 599 |
Vessels [Member] | Operating leases [member] | 2021 [member] | |
Disclosure of expected impact of initial application of new standards or interpretations [line items] | |
Total future minimum lease payments | 534 |
Vessels [Member] | Operating leases [member] | 2022 [member] | |
Disclosure of expected impact of initial application of new standards or interpretations [line items] | |
Total future minimum lease payments | 384 |
Vessels [Member] | Operating leases [member] | 2023 [member] | |
Disclosure of expected impact of initial application of new standards or interpretations [line items] | |
Total future minimum lease payments | 316 |
Vessels [Member] | Operating leases [member] | 2024-2028 [Member] | |
Disclosure of expected impact of initial application of new standards or interpretations [line items] | |
Total future minimum lease payments | 789 |
Vessels [Member] | Operating leases [member] | 2029-2033 [Member] | |
Disclosure of expected impact of initial application of new standards or interpretations [line items] | |
Total future minimum lease payments | 131 |
Vessels [Member] | Operating leases [member] | Thereafter [Member] | |
Disclosure of expected impact of initial application of new standards or interpretations [line items] | |
Total future minimum lease payments | 0 |
Land and buildings [member] | Operating leases [member] | |
Disclosure of expected impact of initial application of new standards or interpretations [line items] | |
Total future minimum lease payments | 1,558 |
Land and buildings [member] | Operating leases [member] | 2019 [member] | |
Disclosure of expected impact of initial application of new standards or interpretations [line items] | |
Total future minimum lease payments | 143 |
Land and buildings [member] | Operating leases [member] | 2020 [member] | |
Disclosure of expected impact of initial application of new standards or interpretations [line items] | |
Total future minimum lease payments | 141 |
Land and buildings [member] | Operating leases [member] | 2021 [member] | |
Disclosure of expected impact of initial application of new standards or interpretations [line items] | |
Total future minimum lease payments | 140 |
Land and buildings [member] | Operating leases [member] | 2022 [member] | |
Disclosure of expected impact of initial application of new standards or interpretations [line items] | |
Total future minimum lease payments | 136 |
Land and buildings [member] | Operating leases [member] | 2023 [member] | |
Disclosure of expected impact of initial application of new standards or interpretations [line items] | |
Total future minimum lease payments | 198 |
Land and buildings [member] | Operating leases [member] | 2024-2028 [Member] | |
Disclosure of expected impact of initial application of new standards or interpretations [line items] | |
Total future minimum lease payments | 544 |
Land and buildings [member] | Operating leases [member] | 2029-2033 [Member] | |
Disclosure of expected impact of initial application of new standards or interpretations [line items] | |
Total future minimum lease payments | 223 |
Land and buildings [member] | Operating leases [member] | Thereafter [Member] | |
Disclosure of expected impact of initial application of new standards or interpretations [line items] | |
Total future minimum lease payments | 32 |
Storage [Member] | Operating leases [member] | |
Disclosure of expected impact of initial application of new standards or interpretations [line items] | |
Total future minimum lease payments | 322 |
Storage [Member] | Operating leases [member] | 2019 [member] | |
Disclosure of expected impact of initial application of new standards or interpretations [line items] | |
Total future minimum lease payments | 83 |
Storage [Member] | Operating leases [member] | 2020 [member] | |
Disclosure of expected impact of initial application of new standards or interpretations [line items] | |
Total future minimum lease payments | 60 |
Storage [Member] | Operating leases [member] | 2021 [member] | |
Disclosure of expected impact of initial application of new standards or interpretations [line items] | |
Total future minimum lease payments | 41 |
Storage [Member] | Operating leases [member] | 2022 [member] | |
Disclosure of expected impact of initial application of new standards or interpretations [line items] | |
Total future minimum lease payments | 40 |
Storage [Member] | Operating leases [member] | 2023 [member] | |
Disclosure of expected impact of initial application of new standards or interpretations [line items] | |
Total future minimum lease payments | 25 |
Storage [Member] | Operating leases [member] | 2024-2028 [Member] | |
Disclosure of expected impact of initial application of new standards or interpretations [line items] | |
Total future minimum lease payments | 68 |
Storage [Member] | Operating leases [member] | 2029-2033 [Member] | |
Disclosure of expected impact of initial application of new standards or interpretations [line items] | |
Total future minimum lease payments | 6 |
Storage [Member] | Operating leases [member] | Thereafter [Member] | |
Disclosure of expected impact of initial application of new standards or interpretations [line items] | |
Total future minimum lease payments | 0 |
Other [Member] | Operating leases [member] | |
Disclosure of expected impact of initial application of new standards or interpretations [line items] | |
Total future minimum lease payments | 363 |
Other [Member] | Operating leases [member] | 2019 [member] | |
Disclosure of expected impact of initial application of new standards or interpretations [line items] | |
Total future minimum lease payments | 113 |
Other [Member] | Operating leases [member] | 2020 [member] | |
Disclosure of expected impact of initial application of new standards or interpretations [line items] | |
Total future minimum lease payments | 84 |
Other [Member] | Operating leases [member] | 2021 [member] | |
Disclosure of expected impact of initial application of new standards or interpretations [line items] | |
Total future minimum lease payments | 50 |
Other [Member] | Operating leases [member] | 2022 [member] | |
Disclosure of expected impact of initial application of new standards or interpretations [line items] | |
Total future minimum lease payments | 28 |
Other [Member] | Operating leases [member] | 2023 [member] | |
Disclosure of expected impact of initial application of new standards or interpretations [line items] | |
Total future minimum lease payments | 13 |
Other [Member] | Operating leases [member] | 2024-2028 [Member] | |
Disclosure of expected impact of initial application of new standards or interpretations [line items] | |
Total future minimum lease payments | 50 |
Other [Member] | Operating leases [member] | 2029-2033 [Member] | |
Disclosure of expected impact of initial application of new standards or interpretations [line items] | |
Total future minimum lease payments | 17 |
Other [Member] | Operating leases [member] | Thereafter [Member] | |
Disclosure of expected impact of initial application of new standards or interpretations [line items] | |
Total future minimum lease payments | $ 7 |
Implementation of IFRS16 Leas_8
Implementation of IFRS16 Leases - reconciliation between operating lease commitments (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Jan. 01, 2019 | Dec. 31, 2018 | |
Lease liabilities [abstract] | |||
Operating lease commitments (IAS 17) per 31.12.2018 | $ 8,253 | ||
Short term leases and leases expiring during 2019 | (666) | ||
Non-lease components | (1,469) | ||
Commitments related to leases not yet commenced | (2,116) | ||
Leases reported gross vs net | 711 | ||
Effect of discounting | (485) | ||
Finance leases (IAS 17) included in the balance sheet at 31 December 2018 | 432 | ||
Lease liability to be reported under IFRS 16 per 1.1.2019 | $ 4,339 | $ 4,660 | $ 432 |
Additions to right-of-use assets | $ 855 |
Other commitments, contingent_3
Other commitments, contingent liabilities and contingent assets (Details) | 1 Months Ended | 12 Months Ended | ||||
Jan. 31, 2020USD ($) | Dec. 31, 2019USD ($)Wells | Jun. 30, 2019USD ($) | Jan. 01, 2019USD ($) | Dec. 31, 2018USD ($) | Feb. 28, 2018USD ($) | |
Disclosure of other provisions and other liabilities [line items] | ||||||
Contractual commitments | $ 5,205,000,000 | |||||
Trade, other payables and provisions | 10,450,000,000 | $ 8,335,000,000 | $ 8,369,000,000 | |||
Wells committed to drill [member] | ||||||
Disclosure of other provisions and other liabilities [line items] | ||||||
Contractual commitments | $ 663,000,000 | |||||
Number of wells, committed to drill | Wells | 38 | |||||
Average ownership interest in wells committed to drill | 44.00% | |||||
Various long term agreements [Member] | ||||||
Disclosure of other provisions and other liabilities [line items] | ||||||
Provisions, net of tax | $ 3,009,000,000 | |||||
Various long term agreements [Member] | Maximum [member] | ||||||
Disclosure of other provisions and other liabilities [line items] | ||||||
Contract Term | 2044 | |||||
Long-term charter agreement with Teekay [Member] | ||||||
Disclosure of other provisions and other liabilities [line items] | ||||||
Provisions, net of tax | $ 300,000,000 | |||||
Agbami redetermination [member] | ||||||
Disclosure of other provisions and other liabilities [line items] | ||||||
Trade, other payables and provisions | 853,000,000 | |||||
Guarantees [member] | ||||||
Disclosure of other provisions and other liabilities [line items] | ||||||
Estimated exposure | 1,200,000,000 | |||||
Gas price review clauses [member] | ||||||
Disclosure of other provisions and other liabilities [line items] | ||||||
Estimated exposure | $ 1,300,000,000 | |||||
Tax contingent liability [member] | ||||||
Disclosure of other provisions and other liabilities [line items] | ||||||
Estimated exposure | 180,000,000 | $ 500,000,000 | ||||
Provisions, net of tax | 0 | |||||
Federal Government of Nigeria disputes [Member] | ||||||
Disclosure of other provisions and other liabilities [line items] | ||||||
Provisions, net of tax | 0 | |||||
Contract for the drilling rig COSL Innovator [Member] | ||||||
Disclosure of other provisions and other liabilities [line items] | ||||||
Effect of dispute resolution recongised in income | $ 57,500,000 | |||||
Dispute with Brazilian tax authorities [Member] | Portion of Peregrino field, divestiture [Member] | ||||||
Disclosure of other provisions and other liabilities [line items] | ||||||
Estimated exposure | $ 0 | |||||
Proportion of ownership interest divested | 40.00% | |||||
ICMS indirect tax [Member] | ||||||
Disclosure of other provisions and other liabilities [line items] | ||||||
Estimated exposure | $ 700,000,000 | |||||
Indirect tax rate | 20.00% |
Other commitments, contingent_4
Other commitments, contingent liabilities and contingent assets - long-term commitments (Details) $ in Millions | Dec. 31, 2019USD ($) |
Disclosure of maturity analysis for non-derivative financial liabilities [line items] | |
Contractual and other long term commitments | $ 13,470 |
2020 [member] | |
Disclosure of maturity analysis for non-derivative financial liabilities [line items] | |
Contractual and other long term commitments | 2,165 |
2021 [member] | |
Disclosure of maturity analysis for non-derivative financial liabilities [line items] | |
Contractual and other long term commitments | 2,082 |
2022 [member] | |
Disclosure of maturity analysis for non-derivative financial liabilities [line items] | |
Contractual and other long term commitments | 1,845 |
2023 [member] | |
Disclosure of maturity analysis for non-derivative financial liabilities [line items] | |
Contractual and other long term commitments | 1,581 |
2024 [member] | |
Disclosure of maturity analysis for non-derivative financial liabilities [line items] | |
Contractual and other long term commitments | 1,279 |
Thereafter [member] | |
Disclosure of maturity analysis for non-derivative financial liabilities [line items] | |
Contractual and other long term commitments | $ 4,518 |
Related parties - narrative (De
Related parties - narrative (Details) - USD ($) $ in Millions | Aug. 05, 2019 | Aug. 05, 2019 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
Disclosure of transactions between related parties [line items] | |||||
Amounts payable, related party transactions | $ 0 | $ 0 | $ 0 | ||
Lundin Petroleum AB [Member] | |||||
Disclosure of transactions between related parties [line items] | |||||
Purchases of of goods with related party | $ 107 | ||||
Revenue from sale of goods, related party transactions | 296 | ||||
Lundin Petroleum AB [Member] | Maximum (%) [member] | |||||
Disclosure of transactions between related parties [line items] | |||||
Proportion of ownership interest in associate | 20.10% | ||||
Lundin Petroleum AB [Member] | Minimum (%) [member] | |||||
Disclosure of transactions between related parties [line items] | |||||
Proportion of ownership interest in associate | 4.90% | ||||
Equinor ASA [member] | |||||
Disclosure of transactions between related parties [line items] | |||||
Ownership interests held by shareholder | 67.00% | ||||
Equinor ASA [member] | Lease liabilities [member] | |||||
Disclosure of transactions between related parties [line items] | |||||
Amounts payable, related party transactions | $ 372 | ||||
Related Party Lease Contract Term | The lease contracts extend to the years 2034 and 2037 | ||||
Equinor ASA [member] | Gassco AS [member] | |||||
Disclosure of transactions between related parties [line items] | |||||
Settlement of liabilities by entity on behalf of related party, related party transactions | $ 1,396 | 1,351 | 1,155 | ||
Equinor ASA [member] | Lundin Petroleum AB [Member] | |||||
Disclosure of transactions between related parties [line items] | |||||
Purchases of of goods with related party | 879 | 176 | |||
Norwegian State [member] | Oil and gas assets [member] | |||||
Disclosure of transactions between related parties [line items] | |||||
Purchases of of goods with related party | 7,505 | 8,604 | 7,352 | ||
Norwegian State [member] | Tjeldbergodden [member] | |||||
Disclosure of transactions between related parties [line items] | |||||
Purchases of of goods with related party | $ 36 | $ 49 | $ 39 | ||
Folketrygdfondet [member] | |||||
Disclosure of transactions between related parties [line items] | |||||
Ownership interests held by shareholder | 3.40% |
Financial instruments - Classes
Financial instruments - Classes of financial assets instruments (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Jan. 01, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 |
Asset [abstract] | |||||
Noncurrent Derivative Financial Assets | $ 1,365 | $ 1,032 | |||
Non-current financial investments | 3,600 | 2,455 | |||
Prepayments and financial receivables | 1,214 | $ 1,085 | 1,033 | ||
Trade and other receivables | 8,233 | $ 9,043 | 8,998 | ||
Current Derivative Financial Assets | 578 | 318 | |||
Current financial investments | 7,426 | 7,041 | |||
Cash and cash equivalents | 5,177 | 7,556 | $ 4,390 | $ 5,090 | |
Total | 27,593 | 28,433 | |||
Non-financial assets [member] | |||||
Asset [abstract] | |||||
Noncurrent Derivative Financial Assets | 0 | 0 | |||
Non-current financial investments | 0 | 0 | |||
Prepayments and financial receivables | 157 | 179 | |||
Trade and other receivables | 859 | 510 | |||
Current Derivative Financial Assets | 0 | 0 | |||
Current financial investments | 0 | 0 | |||
Cash and cash equivalents | 0 | 0 | |||
Total | 1,016 | 689 | |||
Amortised cost [member] | |||||
Asset [abstract] | |||||
Noncurrent Derivative Financial Assets | 0 | 0 | |||
Non-current financial investments | 167 | 90 | |||
Prepayments and financial receivables | 1,057 | 854 | |||
Trade and other receivables | 7,374 | 8,488 | |||
Current Derivative Financial Assets | 0 | 0 | |||
Current financial investments | 7,050 | 6,145 | |||
Cash and cash equivalents | 4,478 | 5,301 | |||
Total | 20,125 | 20,878 | |||
Financial assets at fair value through profit or loss, category [member] | |||||
Asset [abstract] | |||||
Noncurrent Derivative Financial Assets | 1,365 | 1,032 | |||
Non-current financial investments | 3,433 | 2,365 | |||
Prepayments and financial receivables | 0 | 0 | |||
Trade and other receivables | 0 | 0 | |||
Current Derivative Financial Assets | 578 | 318 | |||
Current financial investments | 377 | 896 | |||
Cash and cash equivalents | 700 | 2,255 | |||
Total | $ 6,452 | $ 6,866 |
Financial instruments - Class_2
Financial instruments - Classes of financial liabilities instruments (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Jan. 01, 2019 | Dec. 31, 2018 |
Liabilities [abstract] | |||
Non-current finance debt | $ 24,945 | $ 26,423 | $ 23,264 |
Non-current derivative financial instruments | 1,173 | 1,207 | |
Trade and other payables | 10,450 | 8,335 | 8,369 |
Current finance debt | 4,087 | $ 3,532 | 2,463 |
Dividend payable | 859 | 766 | |
Current Derivative Financial Liabilities | 462 | 352 | |
Total | 41,976 | 36,422 | |
Non-financial liabilities [member] | |||
Liabilities [abstract] | |||
Non-current finance debt | 3,191 | 0 | |
Non-current derivative financial instruments | 0 | 0 | |
Trade and other payables | 1,423 | 255 | |
Current finance debt | 1,148 | 0 | |
Dividend payable | 0 | 0 | |
Current Derivative Financial Liabilities | 0 | 0 | |
Total | 5,762 | 255 | |
Amortised cost [member] | |||
Liabilities [abstract] | |||
Non-current finance debt | 21,754 | 23,264 | |
Non-current derivative financial instruments | 0 | 0 | |
Trade and other payables | 9,027 | 8,115 | |
Current finance debt | 2,939 | 2,463 | |
Dividend payable | 859 | 766 | |
Current Derivative Financial Liabilities | 0 | 0 | |
Total | 34,580 | 34,608 | |
Financial liabilities at fair value through profit or loss, category [member] | |||
Liabilities [abstract] | |||
Non-current finance debt | 0 | 0 | |
Non-current derivative financial instruments | 1,173 | 1,207 | |
Trade and other payables | 0 | 0 | |
Current finance debt | 0 | 0 | |
Dividend payable | 0 | 0 | |
Current Derivative Financial Liabilities | 462 | 352 | |
Total | $ 1,635 | $ 1,559 |
Financial instruments - Fair va
Financial instruments - Fair value heirarchy (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 |
Disclosure of fair value measurement [line items] | ||
Non-current derivative financial instruments - assets | $ 1,365 | $ 1,032 |
Current financial investments | 7,426 | 7,041 |
Current derivative financial instruments - assets | 578 | 318 |
Non-current derivative financial instruments - liabilities | (1,173) | (1,207) |
Current derivative financial instruments liabilities | (462) | (352) |
Fair value [member] | ||
Disclosure of fair value measurement [line items] | ||
Non-current financial investments | 3,433 | 2,365 |
Non-current derivative financial instruments - assets | 1,365 | 1,032 |
Current financial investments | 377 | 896 |
Current derivative financial instruments - assets | 578 | 318 |
Cash equivalents | 700 | 2,255 |
Non-current derivative financial instruments - liabilities | (1,173) | (1,207) |
Current derivative financial instruments liabilities | (462) | (352) |
Net fair value | 4,817 | 5,307 |
Level 1 [member] | ||
Disclosure of fair value measurement [line items] | ||
Non-current financial investments | 1,456 | 1,088 |
Non-current derivative financial instruments - assets | 7 | 0 |
Current financial investments | 0 | 365 |
Current derivative financial instruments - assets | 86 | 0 |
Cash equivalents | 0 | 0 |
Non-current derivative financial instruments - liabilities | (6) | 0 |
Current derivative financial instruments liabilities | (70) | 0 |
Net fair value | 1,473 | 1,453 |
Level 2 [member] | ||
Disclosure of fair value measurement [line items] | ||
Non-current financial investments | 1,700 | 1,027 |
Non-current derivative financial instruments - assets | 1,139 | 806 |
Current financial investments | 377 | 531 |
Current derivative financial instruments - assets | 461 | 274 |
Cash equivalents | 700 | 2,255 |
Non-current derivative financial instruments - liabilities | (1,148) | (1,172) |
Current derivative financial instruments liabilities | (394) | (351) |
Net fair value | 2,835 | 3,370 |
Level 3 [member] | ||
Disclosure of fair value measurement [line items] | ||
Non-current financial investments | 277 | 250 |
Non-current derivative financial instruments - assets | 219 | 227 |
Current financial investments | 0 | 0 |
Current derivative financial instruments - assets | 33 | 44 |
Cash equivalents | 0 | 0 |
Non-current derivative financial instruments - liabilities | (19) | (35) |
Current derivative financial instruments liabilities | 0 | (1) |
Net fair value | $ 510 | $ 485 |
Financial instruments - Reconci
Financial instruments - Reconciliation of changes in fair value (Details) - Level 3 [member] - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Disclosure of fair value measurement [line items] | ||
Opening balance | $ 485 | $ 713 |
Total gains and losses recognised in statement of income, assets | 4 | (122) |
Puchases, assets | 78 | 35 |
Settlement, assets | (52) | (36) |
Transfer to current portion, assets | (88) | |
Transfer to level 1 | (3) | |
Foreign currency translation differences | (3) | (18) |
Closing balance | 510 | 485 |
Non-current derivative financial instruments liabilities [Member] | ||
Disclosure of fair value measurement [line items] | ||
Opening balance | (35) | 0 |
Total gains and losses recognised in statement of income, liabilities | 16 | (35) |
Puchases, liabilities | 0 | 0 |
Settlement, liabilities | 0 | 0 |
Transfer into level 3 | 0 | |
Foreign currency translation differences | 0 | 0 |
Closing balance | (19) | (35) |
Current derivative financial Instruments, liabilities [Member] | ||
Disclosure of fair value measurement [line items] | ||
Opening balance | (1) | (4) |
Total gains and losses recognised in statement of income, liabilities | 1 | 3 |
Puchases, liabilities | 0 | 0 |
Settlement, liabilities | 0 | 0 |
Transfer into level 3 | 0 | |
Foreign currency translation differences | 0 | 0 |
Closing balance | 0 | (1) |
Non-current financial investments [Member] | ||
Disclosure of fair value measurement [line items] | ||
Opening balance | 250 | 397 |
Total gains and losses recognised in statement of income, assets | (38) | (91) |
Puchases, assets | 78 | 35 |
Settlement, assets | (11) | 0 |
Transfer to current portion, assets | (88) | |
Transfer to level 1 | (3) | |
Foreign currency translation differences | 0 | (3) |
Closing balance | 277 | 250 |
Non-current derivative financial instruments - assets [Member] | ||
Disclosure of fair value measurement [line items] | ||
Opening balance | 227 | 283 |
Total gains and losses recognised in statement of income, assets | (6) | (44) |
Puchases, assets | 0 | 0 |
Settlement, assets | 0 | 0 |
Transfer to current portion, assets | 0 | |
Foreign currency translation differences | (2) | (13) |
Closing balance | 219 | 227 |
Current derivative financial instruments, assets [Member] | ||
Disclosure of fair value measurement [line items] | ||
Opening balance | 44 | 37 |
Total gains and losses recognised in statement of income, assets | 31 | 46 |
Puchases, assets | 0 | 0 |
Settlement, assets | (42) | (36) |
Transfer to current portion, assets | 0 | |
Foreign currency translation differences | 0 | (3) |
Closing balance | $ 33 | $ 44 |
Financial instruments - Sensiti
Financial instruments - Sensitivity analysis of market risk (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||
Gains (losses) derivative financial instruments | $ 473 | $ (341) | $ (61) |
Commodity price sensitivity [member] | Minimum (%) [member] | |||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||
Percentage of reasonably possible change, market risk | (30.00%) | (30.00%) | |
Commodity price sensitivity [member] | Maximum (%) [member] | |||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||
Percentage of reasonably possible change, market risk | 30.00% | 30.00% | |
Commodity price sensitivity [member] | Crude oil and refined products [member] | Minimum (%) [member] | |||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||
Gains (losses) derivative financial instruments | $ 569 | $ 275 | |
Commodity price sensitivity [member] | Crude oil and refined products [member] | Maximum (%) [member] | |||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||
Gains (losses) derivative financial instruments | (563) | (230) | |
Commodity price sensitivity [member] | Natural gas and electricity [Member] | Minimum (%) [member] | |||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||
Gains (losses) derivative financial instruments | (33) | 1,157 | |
Commodity price sensitivity [member] | Natural gas and electricity [Member] | Maximum (%) [member] | |||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||
Gains (losses) derivative financial instruments | $ 49 | $ (1,156) | |
Equity price risk [member] | Minimum (%) [member] | |||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||
Percentage of reasonably possible change, market risk | (35.00%) | ||
Net gains (losses) | $ (631) | ||
Equity price risk [member] | Maximum (%) [member] | |||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||
Percentage of reasonably possible change, market risk | 35.00% | ||
Net gains (losses) | $ 631 | ||
Currency risk sensitivity [member] | Minimum (%) [member] | |||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||
Percentage of reasonably possible change, market risk | (9.00%) | (9.00%) | |
Currency risk sensitivity [member] | Minimum (%) [member] | United States Dollar (USD) [Member] | |||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||
Foreign exchange gain (loss) | $ (220) | $ (230) | |
Currency risk sensitivity [member] | Minimum (%) [member] | Norwegian kroner (NOK) [Member] | |||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||
Foreign exchange gain (loss) | $ 282 | $ 311 | |
Currency risk sensitivity [member] | Maximum (%) [member] | |||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||
Percentage of reasonably possible change, market risk | 9.00% | 9.00% | |
Currency risk sensitivity [member] | Maximum (%) [member] | United States Dollar (USD) [Member] | |||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||
Foreign exchange gain (loss) | $ 220 | $ 230 | |
Currency risk sensitivity [member] | Maximum (%) [member] | Norwegian kroner (NOK) [Member] | |||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||
Foreign exchange gain (loss) | $ (282) | $ (311) | |
Interest rate sensitivity [member] | Minimum (%) [member] | |||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||
Percentage of reasonably possible change, market risk | (0.60%) | (0.60%) | |
Net gains (losses) | $ 526 | $ 575 | |
Interest rate sensitivity [member] | Maximum (%) [member] | |||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||
Percentage of reasonably possible change, market risk | 0.60% | 0.60% | |
Net gains (losses) | $ (526) | $ (575) |
Financial instruments - Narrati
Financial instruments - Narrative (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Disclosure of significant unobservable inputs used in fair value measurement of assets [line items] | |||
Gains (losses) on change in fair value of derivatives | $ 473 | $ (341) | $ (61) |
Gains (losses) financial investments | 245 | (72) | $ 108 |
Level 3 [member] | |||
Disclosure of significant unobservable inputs used in fair value measurement of assets [line items] | |||
Gains (losses) on change in fair value of derivatives | 25 | ||
Total gains and losses recognised in statement of income, assets | 4 | (122) | |
Portion agreed and settled | 52 | $ 36 | |
Level 3 [member] | Certain earn-out agreements [member] | |||
Disclosure of significant unobservable inputs used in fair value measurement of assets [line items] | |||
Gains (losses) on change in fair value of derivatives | 24 | ||
Portion fully realised | $ 42 |
Subsequent event (Details)
Subsequent event (Details) | Jan. 30, 2020 |
SPM Argentina S.A. [Member] | |
Disclosure of non-adjusting events after reporting period [line items] | |
Percentage of voting equity interests acquired | 50.00% |
Condensed consolidated financ_2
Condensed consolidated financial information related to guaranteed debt securities - Profit loss (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
CONSOLIDATED STATEMENT OF INCOME [Abstract] | |||
Revenues and other income | $ 64,194 | $ 79,301 | $ 60,999 |
Net income/(loss) from equity accounted investments | 164 | 291 | 188 |
Total revenues and other income | 64,357 | 79,593 | 61,187 |
Total operating expenses | (55,058) | (59,456) | (47,416) |
Net operating income/(loss) | 9,299 | 20,137 | 13,771 |
Net financial items | (7) | (1,263) | (351) |
Income / (loss) before tax | 9,292 | 18,874 | 13,420 |
Income tax | (7,441) | (11,335) | (8,822) |
Net income/(loss) | 1,851 | 7,538 | 4,598 |
Other comprehensive income/(loss) | 323 | (1,681) | 1,741 |
Total comprehensive income/(loss) | 2,174 | 5,857 | 6,339 |
Equinor ASA [member] | |||
CONSOLIDATED STATEMENT OF INCOME [Abstract] | |||
Revenues and other income | 42,786 | 51,567 | 39,750 |
Net income/(loss) from equity accounted investments | 538 | 7,832 | 5,051 |
Total revenues and other income | 43,324 | 59,399 | 44,801 |
Total operating expenses | (42,014) | (51,596) | (39,570) |
Net operating income/(loss) | 1,309 | 7,803 | 5,232 |
Net financial items | 545 | (1,300) | 311 |
Income / (loss) before tax | 1,855 | 6,503 | 5,543 |
Income tax | (156) | 219 | (230) |
Net income/(loss) | 1,699 | 6,722 | 5,314 |
Other comprehensive income/(loss) | 467 | (867) | 1,017 |
Total comprehensive income/(loss) | 2,166 | 5,855 | 6,330 |
Equinor Energy AS [member] | |||
CONSOLIDATED STATEMENT OF INCOME [Abstract] | |||
Revenues and other income | 20,694 | 25,365 | 20,579 |
Net income/(loss) from equity accounted investments | (2,941) | 1,065 | (401) |
Total revenues and other income | 17,753 | 26,430 | 20,178 |
Total operating expenses | (10,780) | (10,138) | (9,217) |
Net operating income/(loss) | 6,973 | 16,292 | 10,961 |
Net financial items | (318) | (274) | (378) |
Income / (loss) before tax | 6,654 | 16,018 | 10,583 |
Income tax | (6,822) | (10,719) | (8,094) |
Net income/(loss) | (168) | 5,299 | 2,489 |
Other comprehensive income/(loss) | (15) | (334) | 355 |
Total comprehensive income/(loss) | (183) | 4,965 | 2,843 |
Non-guarantor subsidiaries [Member] | |||
CONSOLIDATED STATEMENT OF INCOME [Abstract] | |||
Revenues and other income | 25,054 | 29,374 | 22,204 |
Net income/(loss) from equity accounted investments | 144 | 262 | 33 |
Total revenues and other income | 25,198 | 29,636 | 22,237 |
Total operating expenses | (26,003) | (24,862) | (20,022) |
Net operating income/(loss) | (805) | 4,774 | 2,216 |
Net financial items | (381) | (505) | 439 |
Income / (loss) before tax | (1,186) | 4,269 | 2,655 |
Income tax | (532) | (786) | (539) |
Net income/(loss) | (1,718) | 3,483 | 2,116 |
Other comprehensive income/(loss) | 165 | (620) | 878 |
Total comprehensive income/(loss) | (1,553) | 2,863 | 2,995 |
Consodolidation Adjustments [Member] | |||
CONSOLIDATED STATEMENT OF INCOME [Abstract] | |||
Revenues and other income | (24,340) | (27,004) | (21,535) |
Net income/(loss) from equity accounted investments | 2,423 | (8,868) | (4,495) |
Total revenues and other income | (21,918) | (35,872) | (26,029) |
Total operating expenses | 23,739 | 27,140 | 21,392 |
Net operating income/(loss) | 1,822 | (8,732) | (4,637) |
Net financial items | 147 | 817 | (724) |
Income / (loss) before tax | 1,969 | (7,916) | (5,361) |
Income tax | 70 | (49) | 40 |
Net income/(loss) | 2,038 | (7,965) | (5,321) |
Other comprehensive income/(loss) | (294) | 140 | (509) |
Total comprehensive income/(loss) | $ 1,744 | $ (7,825) | $ (5,830) |
Condensed consolidated financ_3
Condensed consolidated financial information related to guaranteed debt securities - Balance sheet (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 |
ASSETS | ||||
Property, plant, equipment and intangible assets | $ 80,691 | $ 74,934 | ||
Equity accounted investments | 1,442 | 2,863 | $ 2,551 | |
Other non-current assets | 11,152 | 8,655 | ||
Non-current receivables from subsidiaries | 0 | 0 | ||
Total non-current assets | 93,285 | 86,452 | 83,911 | |
Current receivables from subsidiaries | 0 | 0 | ||
Other current assets | 19,601 | 18,501 | ||
Cash and cash equivalents | 5,177 | 7,556 | 4,390 | $ 5,090 |
Total current assets | 24,778 | 26,056 | ||
Assets classified as held for sale | 0 | 0 | ||
Total assets | 118,063 | 112,508 | ||
EQUITY AND LIABILITIES | ||||
Total equity | 41,159 | 42,990 | 39,885 | 35,099 |
Non-current liabilities to subsidiaries | 0 | 0 | ||
Other non-current liabilities | 57,346 | 52,914 | ||
Total non-current liabilities | 57,346 | 52,914 | ||
Other current liabilities | 19,557 | 16,605 | ||
Current liabilities to subsidiaries | 0 | 0 | ||
Total current liabilities | 19,557 | 16,605 | ||
Liabilities directly associated with the assets classified as held for sale | 0 | 0 | ||
Total liabilities | 76,904 | 69,519 | ||
Total equity and liabilities | 118,063 | 112,508 | ||
Equinor ASA [member] | ||||
ASSETS | ||||
Property, plant, equipment and intangible assets | 1,930 | 502 | ||
Equity accounted investments | 44,131 | 46,828 | ||
Other non-current assets | 4,097 | 2,741 | ||
Non-current receivables from subsidiaries | 23,387 | 25,524 | ||
Total non-current assets | 73,545 | 75,595 | ||
Current receivables from subsidiaries | 5,441 | 2,379 | ||
Other current assets | 14,325 | 13,082 | ||
Cash and cash equivalents | 3,272 | 6,287 | 3,759 | 4,274 |
Total current assets | 23,038 | 21,747 | ||
Assets classified as held for sale | 0 | |||
Total assets | 96,583 | 97,342 | ||
EQUITY AND LIABILITIES | ||||
Total equity | 41,139 | 42,970 | ||
Non-current liabilities to subsidiaries | 22 | 20 | ||
Other non-current liabilities | 28,518 | 28,416 | ||
Total non-current liabilities | 28,540 | 28,436 | ||
Other current liabilities | 8,298 | 6,955 | ||
Current liabilities to subsidiaries | 18,605 | 18,981 | ||
Total current liabilities | 26,903 | 25,936 | ||
Liabilities directly associated with the assets classified as held for sale | 0 | 0 | ||
Total liabilities | 55,443 | 54,372 | ||
Total equity and liabilities | 96,582 | 97,342 | ||
Equinor Energy AS [member] | ||||
ASSETS | ||||
Property, plant, equipment and intangible assets | 37,560 | 33,309 | ||
Equity accounted investments | 22,400 | 23,668 | ||
Other non-current assets | 336 | 381 | ||
Non-current receivables from subsidiaries | 0 | 0 | ||
Total non-current assets | 60,297 | 57,358 | ||
Current receivables from subsidiaries | 6,257 | 6,529 | ||
Other current assets | 857 | 927 | ||
Cash and cash equivalents | 15 | 27 | 27 | 46 |
Total current assets | 7,129 | 7,483 | ||
Assets classified as held for sale | 0 | |||
Total assets | 67,426 | 64,841 | ||
EQUITY AND LIABILITIES | ||||
Total equity | 26,528 | 26,706 | ||
Non-current liabilities to subsidiaries | 11,976 | 13,847 | ||
Other non-current liabilities | 20,395 | 17,033 | ||
Total non-current liabilities | 32,371 | 30,880 | ||
Other current liabilities | 6,039 | 6,511 | ||
Current liabilities to subsidiaries | 2,489 | 744 | ||
Total current liabilities | 8,527 | 7,256 | ||
Liabilities directly associated with the assets classified as held for sale | 0 | 0 | ||
Total liabilities | 40,898 | 38,135 | ||
Total equity and liabilities | 67,426 | 64,841 | ||
Non-guarantor subsidiaries [Member] | ||||
ASSETS | ||||
Property, plant, equipment and intangible assets | 41,311 | 41,140 | ||
Equity accounted investments | 1,377 | 1,697 | ||
Other non-current assets | 6,569 | 5,572 | ||
Non-current receivables from subsidiaries | 24 | 22 | ||
Total non-current assets | 49,281 | 48,432 | ||
Current receivables from subsidiaries | 12,510 | 13,215 | ||
Other current assets | 5,264 | 4,780 | ||
Cash and cash equivalents | 1,890 | 1,242 | 603 | 770 |
Total current assets | 19,665 | 19,237 | ||
Assets classified as held for sale | 0 | |||
Total assets | 68,946 | 67,668 | ||
EQUITY AND LIABILITIES | ||||
Total equity | 40,767 | 42,838 | ||
Non-current liabilities to subsidiaries | 11,413 | 11,679 | ||
Other non-current liabilities | 8,442 | 7,536 | ||
Total non-current liabilities | 19,855 | 19,216 | ||
Other current liabilities | 5,209 | 3,216 | ||
Current liabilities to subsidiaries | 3,114 | 2,398 | ||
Total current liabilities | 8,324 | 5,614 | ||
Liabilities directly associated with the assets classified as held for sale | 0 | 0 | ||
Total liabilities | 28,179 | 24,830 | ||
Total equity and liabilities | 68,946 | 67,668 | ||
Consodolidation Adjustments [Member] | ||||
ASSETS | ||||
Property, plant, equipment and intangible assets | (110) | (17) | ||
Equity accounted investments | (66,467) | (69,330) | ||
Other non-current assets | 150 | (39) | ||
Non-current receivables from subsidiaries | (23,411) | (25,547) | ||
Total non-current assets | (89,838) | (94,933) | ||
Current receivables from subsidiaries | (24,208) | (22,123) | ||
Other current assets | (845) | (288) | ||
Cash and cash equivalents | 0 | 0 | $ 0 | $ 0 |
Total current assets | (25,053) | (22,411) | ||
Assets classified as held for sale | 0 | |||
Total assets | (114,891) | (117,343) | ||
EQUITY AND LIABILITIES | ||||
Total equity | (67,274) | (69,524) | ||
Non-current liabilities to subsidiaries | (23,411) | (25,547) | ||
Other non-current liabilities | (9) | (71) | ||
Total non-current liabilities | (23,420) | (25,618) | ||
Other current liabilities | 11 | (78) | ||
Current liabilities to subsidiaries | (24,208) | (22,123) | ||
Total current liabilities | (24,197) | (22,201) | ||
Liabilities directly associated with the assets classified as held for sale | 0 | 0 | ||
Total liabilities | (47,616) | (47,819) | ||
Total equity and liabilities | $ (114,891) | $ (117,343) |
Condensed consolidated financ_4
Condensed consolidated financial information related to guaranteed debt securities - Cash flow (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Condensed statement of cash flows [abstract] | |||
Cash flows provided by (used in) operating activities | $ 13,749 | $ 19,694 | $ 14,802 |
Cash flows provided by (used in) investing activities | (10,594) | (11,212) | (10,117) |
Cash flows provided by (used in) financing activities | (5,497) | (5,024) | (5,822) |
Net increase (decrease) in cash and cash equivalents | (2,341) | 3,458 | (1,137) |
Effect of exchange rate changes on cash and cash equivalents (net of overdraft) | (38) | (292) | 436 |
Cash and cash equivalents at the beginning of the period (net of overdraft) | 7,556 | 4,390 | 5,090 |
Cash and cash equivalents at the end of the period (net of overdraft) | 5,177 | 7,556 | 4,390 |
Equinor ASA [member] | |||
Condensed statement of cash flows [abstract] | |||
Cash flows provided by (used in) operating activities | 1,728 | 4,565 | 339 |
Cash flows provided by (used in) investing activities | 734 | 1,046 | 3,227 |
Cash flows provided by (used in) financing activities | (5,465) | (2,840) | (4,459) |
Net increase (decrease) in cash and cash equivalents | (3,002) | 2,771 | (892) |
Effect of exchange rate changes on cash and cash equivalents (net of overdraft) | (13) | (243) | 377 |
Cash and cash equivalents at the beginning of the period (net of overdraft) | 6,287 | 3,759 | 4,274 |
Cash and cash equivalents at the end of the period (net of overdraft) | 3,272 | 6,287 | 3,759 |
Equinor Energy AS [member] | |||
Condensed statement of cash flows [abstract] | |||
Cash flows provided by (used in) operating activities | 8,433 | 12,421 | 9,506 |
Cash flows provided by (used in) investing activities | (8,258) | (8,281) | (9,070) |
Cash flows provided by (used in) financing activities | (186) | (4,140) | (478) |
Net increase (decrease) in cash and cash equivalents | (11) | 0 | (42) |
Effect of exchange rate changes on cash and cash equivalents (net of overdraft) | (1) | 0 | 23 |
Cash and cash equivalents at the beginning of the period (net of overdraft) | 27 | 27 | 46 |
Cash and cash equivalents at the end of the period (net of overdraft) | 15 | 27 | 27 |
Non-guarantor subsidiaries [Member] | |||
Condensed statement of cash flows [abstract] | |||
Cash flows provided by (used in) operating activities | 6,389 | 7,224 | 5,242 |
Cash flows provided by (used in) investing activities | (5,418) | (6,649) | (4,718) |
Cash flows provided by (used in) financing activities | (300) | 112 | (727) |
Net increase (decrease) in cash and cash equivalents | 672 | 687 | (203) |
Effect of exchange rate changes on cash and cash equivalents (net of overdraft) | (24) | (49) | 36 |
Cash and cash equivalents at the beginning of the period (net of overdraft) | 1,242 | 603 | 770 |
Cash and cash equivalents at the end of the period (net of overdraft) | 1,890 | 1,242 | 603 |
Consodolidation Adjustments [Member] | |||
Condensed statement of cash flows [abstract] | |||
Cash flows provided by (used in) operating activities | (2,802) | (4,516) | (286) |
Cash flows provided by (used in) investing activities | 2,347 | 2,672 | 444 |
Cash flows provided by (used in) financing activities | 455 | 1,844 | (158) |
Net increase (decrease) in cash and cash equivalents | 0 | 0 | 0 |
Effect of exchange rate changes on cash and cash equivalents (net of overdraft) | 0 | 0 | 0 |
Cash and cash equivalents at the beginning of the period (net of overdraft) | 0 | 0 | 0 |
Cash and cash equivalents at the end of the period (net of overdraft) | $ 0 | $ 0 | $ 0 |