Statoil provided a solid set of Q2 results helped by good operational performance and firmer prices. Quarterly earnings were the highest since Q2 2014 beating market expectations and helping to push gearing below 30% for the first time since Q1 2016. Production guidance for 2017 was upgraded to the top end of the company's previous target of 4 5% and the exploration budget was trimmed from US$1.5 billion to US$1.3 billion. Longer term guidance was maintained. Statoil sees its annual capex budget of US$11 billion as sustainable and confirmed its target of 3% production growth to 2020.