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Det norske oljeselskap ASA: Capital Markets Day 2016

Trondheim, 18 January 2016

Det norske oljeselskap ASA increases reserves and maintains very good
production levels amid low oil prices and challenging macroeconomic
conditions. The company has initiated a comprehensive improvement
program to increase its competitive strength and is positioning
itself for additional growth in the coming years.

«Det norske has reported strong growth over its ten years of
existence. On the average, we have increased reserves by as much as
50 million barrels of oil every year since 2006. At year-end 2015,
certified P50 reserves amounted to 498 million barrels of oil
equivalent», says CEO Karl Johnny Hersvik.

The company has established robust financing and has currently undrawn
credit of USD 1.3 billion. In addition, the company has hedged parts
of it's the oil prices and exchange rate exposure.

To meet the challenges pertaining to lower oil prices, Det norske has
initiated an extensive improvement program. Its overarching goals are
to establish long-term competitive edge and enable sanctioning of
stand-alone devlopments even with oil prices falling below USD 40 per

«Det norske shall utilise its ability to challenge, think differently
and adapt to reduce exploration, development and operating costs to a
minimum, including reduced drilling costs. This is the competitive
advantage we will use to continue growing on the Norwegian shelf»,
says Hersvik.

Det norske plans to invest (CAPEX) between USD 925 and 975 million in
2016. Exploration expenditures for 2016 is expected in the range of
USD 160 to 170 million. Production costs in 2016 (including shipping
& handling) is estimated to USD 8 to 9 per barrel of oil equivalents.
The previous production guidance of 55 to 60 thousand barrels of oil
equivalents in 2016 is reiterated.


Det norske has an ambition to become a leading player within
exploration on the Norwegian shelf by 2020. This entails long-term
reserve replacement and added value for the company by discovering
150 million barrels of oil equivalent (Det norske's share). The
company will employ improved data coverage and technology as a
competitive edge in establishing new core areas and making additional

Through its exploration program for 2016, Det norske will work to
further clarify the resource potential in priority areas such as the
Krafla/Askja area, the Tampen area, and the Loppa High, as well as
the area adjacent to the Ivar Aasen field. Seven exploration wells
have been planned for 2016, of which Rovarkula in PL 626 is operated
by Det norske. The exploration well Uptonia in PL 554B&C is currently
being drilled, operated by Total.


Ivar Aasen is the first major development project operated by Det
norske, with total development costs in the amount of NOK 27.4
billion. The platform's steel jacket was delivered according to
schedule and has been installed on the field. The platform deck,
under construction at SMOE' yard in Singapore, has reached 92.5
percent completion, and the project is on schedule for start-up of
production in the fourth quarter of 2016. The drilling campaign
ongoing on the Ivar Aasen field have been among the most efficient on
the Norwegian shelf.

The company is partner in the largest industrial project in Norwegian
history, the Johan Sverdrup field (11.5733 per cent share). Det
norske reports reserves in the amount of 303 million barrels of oil
equivalent following an independent third-party evaluation and
certification carried out by AGR. According to the operator, the cost
estimates for phase 1 are now being decreased to NOK 108.5 billion,
whereas the anticipated costs for full-field development are reduced
to between NOK 160 billion - 190 billion. The development costs of
the field are expected to decrease further. "Debottlenecking" of the
production facility for phase 1 has also been decided, with the aim
of increasing production capacity beyond the upper end of the PDO
estimate of 315,000 - 380,000 barrels of oil equivalent per day. In
2016, Det norske will establish a new project execution model that
will contribute to reducing the number of engineering hours per tonne
produced platform by 50 per cent and the execution time by 25 per


After the acquisition of Marathon Oil Norge AS in 2014, Det norske
became a fully-fledged exploration, development and operating
company. Considerable production capacity was added through the
ownership of the production vessel Alvheim FPSO, and in 2015, the
company's average daily production amounted to 60,000 barrels of oil
equivalent. A significant part of the upside potential identified in
the Alvheim area in connection with the acquisition is currently
being realised through e.g. continuous IOR work and further
development of the resource basis. The decrease in production from
the Alvheim area has now levelled off, and the company continues to
regard the opportunities for further development of the field as

Please find the capital markets day presentation attached. A live
webcast can be viewed at www.detnor.no from 09:00.

Investor contact: Jonas Gamre, VP Investor Relations, tel.: 47 971 18

Media contact: Rolf Jarle Brøske, SVP Communications, tel.: 47 911 12

About Det norske:
Det norske is a fully-fledged E&P company with exploration,
development and production activities on the Norwegian Continental
Shelf (NCS). We are building one of Europe's largest independent E&P

Det norske is the operator of the producing Alvheim field and for the
Ivar Aasen field development. In addition, the company is partner in
the Johan Sverdrup field. Det norske has an active exploration
programme on the Norwegian shelf and an ambitious strategy for

Det norske's headquarters are located in Trondheim, with branch
offices in Stavanger, Oslo and Harstad. Det norske is listed on Oslo
Børs with ticker `DETNOR'. More about Det norske at

This information is subject to disclosure requirements pursuant to
section 5-12 of the Norwegian Securities Trading Act.


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