Norways New Offshore Oil Giant to Be Named StatoilHydro

Norways New Offshore Oil Giant to Be Named StatoilHydro

A new state-controlled offshore oil giant made up of Norway’s two key petroleum companies should be called StatoilHydro to end an ongoing debate over its name, the company boards recommended Wednesday.

In December, state-controlled Statoil ASA said it was acquiring the oil and gas operations of smaller rival Norsk Hydro ASA in a $30 billion deal largely motivated by ambitions to expand outside Norway. The new company would surpass Royal Dutch Shell PLC as the world’s largest offshore oil producer, the officials said.

In a joint statement, both companies said they will recommend the name StatoilHydro to shareholders, but left it up to the board of the new company to decide whether to adopt another name when the takeover is complete.

“There has been significant debate about the decision to develop a new name,” said Norsk Hydro chairman Jan Reinaas and Statoil chairman Jannik Lindbaek in a joint statement. “The decision enables us to concentrate fully on a successful integration planning process.”

Norsk Hydro ASA will continue to operate under its current name as an aluminum and power company.


Information from: AP via Yahoo news

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