Petoro - a driving force on the Norwegian continental shelf

SDFI and Petoro annual report 2013

Report from the board on corporate governance

Petoro’s management of substantial assets on behalf of the Norwegian government calls for good enterprise management which fulfils the expectations of its stakeholders and society at large. The portfolio of the State’s Direct Financial Interest (SDFI) embraces a third of Norway’s oil and gas reserves. Total production is expected to remain at an annual average of roughly one million barrels of oil equivalent per day (boe/d) until 2022.
Petoro’s board of directors complies with the requirements for enterprise management specified in the government’s financial regulations and the standards for good corporate governance. It observes those sections of the Norwegian code of practice for corporate governance (the code) regarded as relevant for Petoro’s business and the parameters determined by the company’s form of organisation and ownership. A report is provided below on the main topics in the code with relevance for Petoro AS. The governance system is tailored to the special character of Petoro. That simplifies the availability of management information and helps to keep attention concentrated on the company’s performance and risk picture at all times. Petoro reports on the follow-up of its corporate social responsibility (CSR) in a separate chapter of this annual report.
Petoro’s principal objective is to create the highest possible financial value from the state’s portfolio on the basis of sound business principles. The board gives weight to good corporate governance in order to ensure that the portfolio is managed in a way which maximises financial value creation, and creates the basis for confidence in the company by the owner, the employees, the oil industry and other stakeholders as well as the rest of the community.

Petoro has a values base which is integrated in its business activities. The purpose of these values is to provide the company and its employees with a shared basis for attitudes and actions in Petoro. 

The company’s values are as follows

•  Vigorous
We seize opportunities for value creation, we establish our own positions, take the initiative and clarify expectations, and we deliver.

•  Responsible
We take an active approach to health, safety and the environment, we care, and we perform in a solid and professional manner with a high level of integrity.

•  Inclusive
We value the expertise and experience of others, and recognise each other’s contribution. We are open and inquiring, and collaborate internally and externally to create results.

•  Bold
We think innovatively, and are adaptable in order to achieve results. We dare to try and learn from our mistakes. We challenge established truths.
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