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Statoil says cash flow impact of tax change is $86 million in 2013

OSLO: Statoil will see its cash flow for this year lowered by 500 million crowns ($86.28 million) after Norway announced on Sunday it would raise taxes for the country's vast oil and gas sector, the oil firm said on Monday. 

In the future, energy firms would be able to write off only 22 per cent of their investment costs from the special energy tax, down from 30 per cent earlier, increasing the 
financial risk of delays and cost overruns. 

Statoil said the full impact of the tax change would be felt in four to five years, although it did not estimate how much that would reduce cash flow by. 

The company also said the change reduced the predictability of the 
Norwegian frameworkfor oil companies - the main draw for investing in the high-tax country - and made the development of small oilfields less attractive.