Equity Oil Co. reported net income of $434,922 or $.04 per share for 1988, compared to $2.15 million or $.18 per share in 1987, which included a one-time cumulative deferred tax benefit of $1.30 million, equivalent to $.11 per share.

The company attributed last year's decline in income to an 18 percent drop in the average price received for oil from $18.28 per barrel in 1987 to $15.08 per barrel in 1988.Net income for the fourth quarter was $378,422 or $.03 per share, compared to $2.00 million or $.16 per share in the fourth quarter of 1987. The net income for the 1987 quarter included the one-time cumulative deferred tax benefit.

"Our strong balance sheet coupled with cash flow from operations allowed the company to proceed with its announced program of expanded exploration and continues to provide the company with the solid base to continue this program in 1989," said Fred H. Evans, president.