National priorities shape NOC strategies

The state of countries’ finances—together with their exposure to market volatility and the pandemic—is determining funding possibilities for state oil companies

With national economies reeling from the global economic slowdown caused by Covid-19 prevention measures, a variety of approaches have been adopted to keep debt at NOCs down to manageable levels. Any discussion of the debt management strategies adopted by NOCs around the world is likely to quickly turn to Norway’s Equinor. While one of the larger listed oil companies, it is still almost 70pc owned by the Norwegian government. Equinor recently announced a dividend cut—probably easier to agree when the state controls more than two-thirds of the company’s equity—and there is a draft proposal going through the Norwegian parliament that would also provide significant tax relief. This is an exampl