Oslo  -  Norwegian state-owned energy group Statoil Hydro said Wednesday it "rejected" a potential claim worth billions of kroner from the Norwegian government linked to the construction of a gas terminal.

The Karsto terminal north of Stavanger was built 1997-2000 to pipe gas from the Norwegian Sea.

Three other partners in the project, Norsk Agip, Fortum Petroleum and Total Norge, later claimed they paid too much for the construction work.

Legal cases were however dropped after they accepted stakes in the Mikkel field on the Norwegian continental shelf in 2002 and 2004.

The state now wants the same treatment, according to the stock market statement issued by Statoil Hydro.

The state's claim was worth 4.8 billion kroner (938 million dollars) before tax as of January 2006 but, with adjustments for higher energy prices, was estimated at some 7 billion kroner before tax, Statoil Hydro said.

The writ also outlined a possible settlement worth 1.1 billion kroner and 5-per-cent interest from January 2006.

A Statoil Hydro spokeswoman told Norwegian broadcaster NRK that the case was likely not to heard in court until next year. (dpa)