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Intangible Assets
12 Months Ended
Dec. 31, 2021
Disclosure of intangible assets [abstract]  
Disclosure of intangible assets [text block]
12 Intangible assets
(in USD million)
Exploration
expenses
Acquisition
costs - oil and
gas prospects
Goodwill
Other
Total
Cost at 31 December 2020
2,261
3,932
1,481
831
8,505
Additions through business combinations
0
0
61
55
116
Additions
191
36
0
35
262
Disposals at cost
(22)
1
(3)
(29)
(53)
Transfers
(432)
(1,137)
0
(161)
(1,730)
Expensed exploration expenditures previously capitalised
(19)
(152)
0
0
(171)
Impairment of goodwill
0
0
(1)
0
(1)
Foreign currency translation effects
(21)
(10)
(70)
(10)
(111)
Cost at 31 December 2021
1,958
2,670
1,467
722
6,816
Accumulated depreciation and impairment losses
 
at 31 December 2020
(356)
(356)
Amortisation and impairments for the year
(24)
(24)
Amortisation and impairment losses disposed intangible
 
assets
13
13
Foreign currency translation effects
3
3
Accumulated depreciation and impairment losses
 
at 31 December 2021
(364)
(364)
Carrying amount at 31 December 2021
1,958
2,670
1,467
358
6,452
(in USD million)
Exploration
expenses
Acquisition
costs - oil and
gas prospects
Goodwill
Other
Total
Cost at 31 December 2019
3,014
5,599
1,458
962
11,033
Additions
401
67
0
24
492
Disposals at cost
(7)
0
0
0
(8)
Transfers
(16)
(73)
0
0
(89)
Assets reclassified to held for sale
0
(339)
0
(160)
(499)
Expensed exploration expenditures previously capitalised
(1,169)
(1,337)
0
0
(2,506)
Impairment of goodwill
0
0
(42)
0
(42)
Foreign currency translation effects
38
16
64
6
123
Cost at 31 December 2020
2,261
3,932
1,481
831
8,505
Accumulated depreciation and impairment losses
 
at 31 December 2019
(295)
(295)
Amortisation and impairments for the year
(35)
(35)
Accumulated depreciation and impairment assets
 
classified as held for
sale
(17)
(17)
Amortisation and impairment losses disposed intangible
 
assets
(6)
(6)
Foreign currency translation effects
(3)
(3)
Accumulated depreciation and impairment losses
 
at 31 December 2020
(356)
(356)
Carrying amount at 31 December 2020
2,261
3,932
1,481
475
8,149
The useful lives of intangible assets are assessed to be either finite or indefinite. Intangible assets with
 
finite useful lives are amortized
systematically over their estimated economic lives, ranging between
3
-
20
 
years.
Included in the goodwill of USD
1.467
 
billion technical goodwill relate to business acquisitions in 2019, USD
0.615
 
billion in the
Exploration & Production Norway area and USD
0.435
 
billion the Marketing Midstream & Processing area.
In 2021, Acquisition cost - oil and gas prospects were impacted by net impairment of USD
152
 
million. Impairments of acquisition cost
related to exploration activities of USD
154
 
million were mainly related to dry wells and uncommercial discoveries in South America
and Gulf of Mexico. Net reversal of
2
 
million related to Exploration and production USA – onshore.
In 2020, Acquisition cost - oil and gas prospects were impacted by net impairment of signature
 
bonuses and acquisition costs totaling
USD
680
 
million related to unconventional onshore assets in Exploration & Production USA. Impairment
 
of acquisition costs related to
exploration activities of USD
657
 
million was primarily related to dry wells and uncommercial discoveries in Exploration
 
& Production
International.
See note 11 Property,
 
plant and equipment regarding sensitivities.
In 2020, Equinor decided to impair capitalised well costs of USD
982
 
million related to Equinor’s Block 2 exploration license in
Tanzania.
 
The impairment was presented in the line-item Exploration expenses.
Impairment losses and reversals of impairment losses are presented as Exploration expenses and
 
Depreciation, amortisation and net
impairment losses on the basis of their nature as exploration assets (intangible assets) and
 
other intangible assets, respectively. The
impairment losses and reversal of impairment losses are based on recoverable amount estimates
 
triggered by changes in reserve
estimates, cost estimates and market conditions. See note 11 Property, plant and equipment for more information on the basis for
impairment assessments.
The table below shows the aging of capitalised exploration expenditures.
(in USD million)
2021
2020
Less than one year
234
604
Between one and five years
692
623
More than five years
1,033
1,033
Total capitalised exploration expenditures
1,958
2,261
The table below shows the components of the exploration
 
expenses.
Full year
(in USD million)
2021
2020
2019
Exploration expenditures
1,027
1,371
1,584
Expensed exploration expenditures previously capitalised
171
2,506
777
Capitalised exploration
(194)
(394)
(507)
Exploration expenses
1,004
3,483
1,854