Equinor (OSE: EQNR, NYSE: EQNR) announces changes to the corporate structure and the Corporate Executive Committee (CEC).
“Equinor is growing as a large-scale energy company. We are currently making changes to further strengthen our ability to deliver on our always-safe, high-value, low-carbon strategy. These changes will support better creation value from our world-class oil and gas portfolio, accelerated profitable growth in renewables and the development of low-carbon solutions,” said Anders Opedal, President and CEO of Equinor.
The new corporate structure will consist of six business areas and five central units. The current organizational structure will remain in place until the planned implementation takes effect on June 1, 2021.
Exploration & Production Norway (EPN) and International Exploration-Production (EPI) are established in two new sectors of activity. They will pursue competitive and resilient oil and gas exploration and production, with industry-leading unit costs, recovery rates and carbon efficiency. Equinor is well positioned with world class assets in attractive areas. Two consolidated oil and gas business lines will support a targeted approach to enhance value creation and reduce emissions.
Renewable energies (REN) continues as a business area, renamed New Energy Solutions (NES), aimed at accelerating profitable growth in renewable energy. It will report as a separate segment from Q1 2021.
Equinor sets up Technology, Digital and Innovation (TDI) as a separate business area, while Projects, Drilling and Procurement (PDP) will become a more focused line of business. Technology, digitalization and innovation are fundamental enablers to improve safety, increase value creation, reduce emissions and develop low-carbon solutions. Consolidating units into a new business segment TDI will open up opportunities in both oil and gas, renewable energy and low carbon solutions.
Marketing, Intermediation and Processing (MMP) remains unchanged as a field of activity.
Corporate Center Units:
Corporate finance organization (CFO) will also include units for strategy, mergers and acquisitions and business development.
Safety, Security and Sustainability (SSU) will be created as a new functional area.
Legal and Compliance (LEG), Communication (COM) and People and Organization (PO) will remain functional areas.
The announced changes to the corporate structure will support continuous improvement and reduce the total number of management positions, but do not in themselves lead to layoffs.
Corporate Executive Committee
“The changes within the CEC team reflect a good mix of continuity and renewal, diversity and Equinor and industry experience. With this new team and a highly capable organization, we are ready to move Equinor forward together,” says Opedal.
The Equinor Executive Committee will be as follows from June 1, 2021:
- Chairman and Chief Executive Officer (CEO) Anders Opedal.
- Chief Financial Officer (CFO), Executive Vice President (EVP) Svein Skeie (interim).
- Exploration & Production Norway (EPN), EVP Kjetil Hove.
- Exploration & Production International (EPI), EVP Al Cook.
- Marketing, Midstream & Processing (MMP), EVP Irene Rummelhoff.
- Renewable Energies (REN), EVP Pål Eitrheim.
- Projects, Drilling and Procurement (PDP), EVP Arne Sigve Nylund.
- Technology, Digital and Innovation (TDI), EVP Carri Lockhart.
- Safety, Security and Sustainability (SSU), EVP Jannicke Nilsson.
- Legal & Compliance (LEG), EVP Siv Helen Rygh Torstensen.
- People and Organization (PO), EVP Ana Fonseca Nordang.
The Senior Vice President (SVP) for Communications (COM) will report to the CEO and participate in the CEC as today. Jannik Lindbæk is appointed SVP COM from January 1, 2021.
The Group Executive Committee will be based in Norway.
The organizational structure will remain the same as today with some key adjustments to ensure continuity and security of operations during the transition period from January 1, 2021 to June 1, 2021.
- Kjetil Hove will take office as Senior Vice President Development and Production Norway (DPN) from January 1, 2021.
- Al Cook will step into the role of EVP Development & Production International (DPI), and the existing Development & Production Brazil (DPB) and Global Strategy & Business Development (GSB) teams will become part of DPI from January 1, 2021.
- Arne Sigve Nylund will start as EVP Technology, Projects and Drilling (TPD) from January 1, 2021.
As previously announced, Executive Vice President Margareth Øvrum will retire on December 31, 2020 and Senior Vice President Reidar Gjærum will enter a Senior Advisor role in the Office of the CEO on January 1, 2020. Geir Tungesvik, who held the position Executive Vice President for Technology, Projects and Drilling (TPD) will resume his role as Senior Vice President of Projects (PRD) on January 1, 2021. Tore Løseth will continue in his role as Acting Executive Vice President for exploration until June 1, 2021.
EVP Torgrim Reitan has decided to step down as EVP Development & Production International to take up a new position within Equinor. He has been a CEC member since 2011 as Chief Financial Officer, EVP for Development & Production USA and EVP for Development & Production International. From January 1, 2021, he will assume the role of SVP Finance & Control in the Renewables business area, supporting the ambition to accelerate the profitable growth of renewables.
“I would like to thank Torgrim for his significant contributions as a member of the management team for a decade. It was under his leadership that aggressive steps were taken to improve profitability, improve safety performance, and address internal control issues at the American company. His experience and skills will be a considerable asset in accelerating and realizing our ambitions in the field of renewable energies at Equinor. I would also like to thank Geir for his contribution to the CEC as Acting Executive Vice President of TPD,” says Opedal.
Carri Lockhart is a US citizen and joined Equinor in 2016. She comes from the position of Senior Vice President Portfolio & Partner Operated in Development & Production International, which she has held since August 2018.
Previously, Lockhart served as Senior Vice President of Equinor’s offshore operations in the United States. Lockhart began his career with Marathon Oil as a reservoir engineer in Anchorage, Alaska. Lockhart has held various leadership positions in the upstream organization with experience in offshore, onshore conventional and unconventional assets, field supervision, facility construction and operations, international country management, strategic planning and business development.
Lockhart holds a Bachelor of Science in Petroleum Engineering from the Montana College of Mineral Science and Technology.
Kjetil Hove is a Norwegian citizen and joined Norsk Hydro in 1991. He comes from the position of Senior Vice President Field Life Extension, which he has held since January 2020.
Previously, Hove was Senior Vice President of Operations Technology at Development & Production Norway. Hove began his career with Norsk Hydro in the field of petroleum technology holding various positions in exploration, field development and operations in Norway. Hove has held a variety of leadership positions, including vice president of international business development, country manager for Brazil, and senior vice president of western operations for development and production in Norway.
Hove holds a master’s degree in petroleum engineering from the Norwegian University of Science and Technology (NTNU).
Jannik Lindbaek is a Norwegian citizen and joined Equinor in 2010. He comes from the position of Vice President Corporate Communication Political & Public Affairs Norway, which he has held since August 2019.
Previously, Lindbæk was Equinor’s Vice President for Communications in Brussels, Media Relations and CFO Global Business Services. Prior to joining Equinor, Lindbæk was SVP Corporate Communication at Aker Solutions, PR manager at Microsoft and PR consultant at BWPR and GCI Monsen.
Lindbæk holds an MA in Comparative Politics from the University of Bergen and the London School of Economics.
Peter Hutton, Senior Vice President, Investor Relations,
+44 7881 918792 (mobile)
Bård Glad Pedersen, Vice President, Media Relations,
+47 918 01 791 (mobile)
This information is subject to the disclosure requirements in accordance with section 5-12 of the Norwegian Securities Act.
New Equinor organizational structure