LONDON/BANGALORE (Reuters) – Oil and gas service companies have fared better than expected in the first half of the year despite a weak market, thanks to deep-pocketed Middle Eastern customers and stringent cost cuts.
However, they warn the second half of the year will likely be much harder as oil companies cut spending even further after a near 30 percent fall in oil prices since the start of July. Prices have more than halved since peaks hit in summer last year.
Aug 13 (Reuters) – Ben Crawford was asleep 12,000 km (7,500
miles) from Google Inc’s Mountain View, California
headquarters this week when the Internet giant unveiled its new
Crawford, chief executive of London-based CentralNIC Group
Plc, woke up in Sydney to learn that the domain powered
by his company – .xyz – would host the website of Google’s new
company, Alphabet Inc.
May 1 (Reuters) – Afren Plc will consider exiting
the Kurdistan region in Iraq and focus on oilfields in Nigeria
as it embarks on a restructuring programme, Chief Executive Alan
The company has floundered under a series of problems over
the past year, including the dismissal of founder and then CEO
Osman Shahenshah, a dry oilfield in Iraqi Kurdistan and a failed
takeover approach by Nigeria’s Seplat Petroleum.
April 29 (Reuters) – Weir Plc said orders from its
oil and gas business fell 23 percent in the first quarter, a
smaller drop than was expected by the market, sending its shares
up as much as 5 percent.
The Scottish industrial engineering firm, which expects the
decline in orders to continue in the second quarter, said it
would cut costs at its oil and gas segment by another 10 million
pounds ($15.35 million).
April 20 (Reuters) – Petrofac Ltd said its loss on
the Laggan-Tormore project in the Shetland Islands would now be
larger than it expected, highlighting the hostile operating
conditions and high costs faced by oil and gas developers in the
The oilfield services provider’s shares fell as much as 14
percent on Monday on the London Stock Exchange.
March 3 (Reuters) – African Minerals said China’s
Shandong, its partner in the Tonkolili iron ore mine in Sierra
Leone, is seeking control of the whole project, after taking on
some of African Minerals’ debt from banks and demanding
immediate repayment last week.
London-listed African Minerals, which owns 75 percent of
Tonkolili, has been battered by costs related to the Ebola
outbreak in West Africa and a rout in iron ore prices over the
Feb 16 (Reuters) – Oil and gas services and engineering
company Hunting Plc said it would cut an unspecified
number of jobs and realign its business units to help counter a
drop in drilling activity.
Hunting’s shares fell as much as 12.6 percent on the London
Stock Exchange on Monday morning.
By Abhiram Nandakumar and Roshni Menon
(Reuters) – Vedanta Resources Plc, hit by weaker commodity prices, said it planned “hundreds of millions of dollars” in capital spending cuts and deferrals, while looking at a “deep restructuring” of its struggling Zambian copper business.
Vedanta spent $1.42 billion on capital projects in year ended June 30, 2014, down from $2.02 billion a year earlier.
Jan 23 (Reuters) – Oil and gas producer EnQuest Plc
said its lenders had agreed to relax terms on its credit
facilities and the company cut its capital spending plan for
2015 as oil prices slump.
The company’s shares jumped as much as 54 percent to 46.25
pence in early trading on the London Stock Exchange on Friday.
Jan 12 (Reuters) – Afren Plc said there were no
proven or probable reserves at its Barda Rash oilfield in Iraqi
Kurdistan, denting its chances of fetching a good price for the
asset to refinance its debt.
Afren shares slumped 28 percent as Monday’s announcement
further shook investor confidence in the company after several
top executives were dismissed in October and as it faces falling
oil prices and the suspension of operations in Iraqi Kurdistan.