Pareto repeats its Buy rating on the oil and gas company DNO with a price target of 25 Norwegian kroner.
DNO’s production during the third quarter amounted to 143,000 barrels per day, 7 percent above Pareto’s forecast, driven by stronger production in Kurdistan. Production in the North Sea was in line with expectations and is expected to exceed the company’s raised full-year forecast of 85,000 barrels per day. The realized oil price in the North Sea amounted to USD 99.6 per barrel, a premium of approximately USD 4 to Brent.
Pareto views the update as positive, with strong performance in both regions.
