Odfjell Drilling expects to recover approximately $37 million after Norway’s Supreme Court appeals committee declined to admit an appeal by the Norwegian Tax Authority in a case involving Odfjell Offshore.
The decision leaves the Gulating Court of Appeal’s unanimous ruling of 17 April 2026 in favour of Odfjell Offshore final and legally binding.
Odfjell Offshore paid NOK 307 million in tax and interest on 1 February 2023 for the 2017-2021 financial years. Odfjell Drilling funded that payment under a letter of indemnity dated 1 March 2022.
Following the final outcome of the case, Odfjell Drilling will recover the NOK 307 million together with interest and certain costs. The company estimates the total repayment at approximately $37 million.
Odfjell Technology will also receive a separate tax refund. The company said it paid an additional NOK 137 million in tax for the 2022-2025 financial years because the disputed tax losses were not available for use. That amount will be refunded with interest.
The ruling also allows Odfjell Technology to use an additional NOK 70 million of tax losses in 2026 and subsequent years. Of that amount, NOK 18 million had already been recognised in the first half of 2026.
The NOK 307 million repayment has no cash effect for Odfjell Technology, as the original payment was funded by Odfjell Drilling under the indemnity arrangement.
