StatoilHydro Reports Strong Third Quarter Earnings

StatoilHydro (OSE:STL, NYSE:STO) had a net income of NOK 10.7 billion in the third quarter of 2007, compared to NOK 8.5 billion in the third quarter of 2006. In the first nine months of 2007, net income was NOK 29.5 billion, compared to NOK 29.1 billion in the first nine months of 2006.

The 26% increase in net income from the third quarter of 2006 to the third quarter of 2007 was mainly due to an increase in net financial items from currency gains, and partly offset by lower downstream results.

As of 1 October, 2007 Statoil ASA's merger with Norsk Hydro's oil and gas operations became effective. Consequently, StatoilHydro ASA's financial statements for the third quarter of 2007 comprise the financial results for only former Statoil group. From the fourth quarter of 2007, StatoilHydro ASA will report the results of the merged company. StatoilHydro will issue pro-forma financial information on 12 November 2007.

"On October 1 we completed the merger between Statoil and Hydro's oil and gas activities," said Helge Lund, StatoilHydro's CEO. "I am very pleased to see that we have established a global, competitive energy company while delivering safe and efficient day to day operations."