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Statoil

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Executive Summary Recommendation: BUY Statoil ASA is a Norwegian energy company that specializes in the extraction and production of oil and natural gas in Norway and internationally. The globally integrated company focuses its business on the exploration, production, transportation, refining, and marketing of petroleum-based products. As the largest supplier of natural gas from the Norwegian Continental Shelf and across Western Europe, boasting a prominent position in the retail gasoline business and strong crude oil sales, Statoil has already captured a 23% market share in Europe, and is poised for further growth. Statoil has shown consistent growth over the past few years through its expanded operations and cost efficiency strategies, as is evident in their performance and activity ratios. Statoil has maintained a strong financial position and continue to generate solid cash flow. Management has demonstrating their ability to achieve strategic initiatives and have outlined plans to enhance profitability and capture a larger international market share in order to increase operating efficiencies. Statoil’s competitive position in the oil and gas industry will allow them to achieve strong growth moving forward, as they continue to build upon their recent successes. Their well-defined business model, growth initiatives, and efficient production processes indicate that they will continue to generate value. We suggest their stock for consideration in the Energy Fund

Company Analysis
Strategy and Growth
The development of Statoil’s Technology and Projects unit in 2004 is indicative of the company’s commitment to increasing operating efficiencies through effective project development and execution of strategies. Statoil’s main plans for growth involve exploiting profitable options on Norwegian Continental Shelf and securing

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