Page 12 - NorthAmOil Week 43

NorthAmOil
NEWS IN BRIEF
NorthAmOil
Engineering, Procurement, Construction and Installation (iEPCITM) contract by Shell for the Perdido Phase 2 development, located in the Gulf of Mexico.
The contract covers the delivery and installation of subsea equipment, including flexible flowlines, flexible jumpers, steel
flying leads, electrical flying leads, and will utilise compact manifold technology, with the Subsea 2.0 In-Line Compact Manifold.
Arnaud Piéton, President Subsea at TechnipFMC, commented: “We are extremely pleased to have been selected by Shell for
the Perdido Phase 2 development which is incorporating our latest generation of subsea equipment. This award once again confirms our leadership position in complete subsea developments, through early engagement with iFEEDTM (integrated FEED) studies and realizing the full scope through an integrated EPCI (iEPCITM). We are looking forward to further support Shell in unlocking benefits through our integrated offering.” TECHNIPFMC, October 22, 2019
RPC reports third-quarter 2019 financial results
RPC today announced its unaudited results for the third quarter ended September
30, 2019. RPC provides a broad range of specialised oilfield services and equipment primarily to independent and major oilfield companies engaged in the exploration, production and development of oil and gas properties throughout the United States and in selected international markets.
For the quarter ended September 30, 2019, revenues were $293.2mn, a decrease
of 33.4%, compared with $440.0mn in the third quarter of 2018. Revenues decreased due to lower activity levels and slightly lower pricing within most of RPC’s service lines. Operating loss for the third quarter of 2019 was $92.6mn compared to operating profit
of $54.6mn in the same period of the prior year. Adjusted operating loss for the third quarter of 2019 was $21.0mn. Net loss for the third quarter of 2019 was $69.2mn, or $0.33 loss per share, compared to net income of $50.0mn, or $0.23 diluted earnings per share, in the third quarter of 2018. Adjusted net loss for the third quarter of 2019 was $18.0mn, or $0.08 adjusted loss per share. Earnings before interest, taxes, depreciation and amortization (EBITDA) for the third quarter was negative $48.9mn, compared to EBITDA of $97.8mn in the same period of the prior year. Adjusted earnings before interest, taxes, depreciation and amortization (adjusted EBITDA) for the third quarter was $22.8mn.
For the nine months ended September
30, 2019, revenues decreased to $986.4mn compared to $1.34bn in the same period last year. Net loss for the nine-month period was $63.7mn, or $0.30 loss per share, compared to net income of $162.0mn, or $0.75 diluted earnings per share in the same period last year. Adjusted net loss for the nine-month period was $12.5mn, or $0.06 adjusted loss per share.
RPC, October 23, 2019
Patterson-UTI Energy
reportsfinancialresultsfor
the three and nine months
ended September 30, 2019
Patterson-UTI Energy today reported financial results for the three and nine months ended September 30, 2019. The Company reported a net loss of $262mn, or $1.31 per share, for the third quarter of 2019, compared to a net loss of $75.0mn, or $0.34 per share, for the quarter ended September 30, 2018. Excluding charges discussed below, the majority of which were non-cash, the net loss for the third quarter of 2019 would have been $52.9mn, or $0.27 per share. Revenues for the third quarter of 2019 were $598mn, compared to $867mn for the third quarter of 2018.
Andy Hendricks, Patterson-UTI’s chief executive officer, stated: “We exceeded our expectation for cash flow generation during the third quarter. We reduced our capital expenditures and, excluding charges discussed below, Adjusted EBITDA for the third quarter exceeded capital expenditures by $74.9mn. During the third quarter, we also reduced debt by $150mn, repurchased $75mn of our shares, and paid dividends totalling $7.8mn.”
For the nine months ended September 30, 2019, the company reported a net loss
of $340mn, or $1.65 per share, compared
to a net loss of $120mn, or $0.55 per share, for the nine months ended September 30, 2018. Revenues for the nine months ended September 30, 2019, were $2.0bn, compared to $2.5bn for the same period in 2018.
Financial results for the three and nine months ended September 30, 2019, include pre-tax charges totaling $260mn ($209mn after-tax or $1.05 per share). These charges include asset impairment charges of $203mn primarily in our drilling and pressure pumping segments, $17.8mn of goodwill impairment charges at our Current Power and Great Plains Oilfield Rental businesses, $17.0mn primarily related to the write-off
of inventory at MS Directional, $14.6mn related to inventory write-offs and severance at our Warrior Rig Technologies business,
and $8.2mn related to the early repayment of debt. The financial results for the nine months ended September 30, 2019 also include charges in the second quarter, which included a $12.7mn charge to reduce the carrying value on our balance sheet of a deposit placed in 2017 on future sand purchases and $3.6mn of bad debt expense.
PATTERSON-UTI ENERGY, October 24, 2019
ENERGY TRANSITION
VirginiaNaturalGas
raises the bar on lowering
emissions, signs deal for
next generation natural gas
Virginia Natural Gas (VNG) announced today that it aims to be the first natural gas utility in America to provide its customers with natural gas that is 100% sourced, transported and distributed by companies that have pledged to reduce greenhouse gas emissions to less than 1% across the natural gas value chain. And as a down payment on that pledge, it announced a deal to source a large%age of its annual gas consumption from such companies starting this year. Beginning November 1, VNG will begin purchasing one-fifth of its customers’ annual natural gas supply from select wells operated by Southwestern Energy (SWN).
VNG and SWN are founding members of Our Nation’s Energy Future (ONE Future)
A natural gas industry-led organisation, ONE Future is dedicated to voluntarily achieving meaningful reductions in methane emissions across the natural gas supply chain. Members are focused on achieving a science- based average rate of methane emissions
that is equal to 1% or less of total natural
gas production by 2025. VNG’s distribution system and all the interstate transportation pipelines that serve it participate in the
ONE Future program. The purchase of next generation gas reflects VNG’s desire to help move the market in this direction, a first of
its kind from well head to burner tip, and the method by which VNG aspires to source all its gas by 2025.
In addition, the gas from this purchase
is from SWN wells that have been certified through the Independent Energy Standards Corporation TrustwellTM Responsible Gas Program. The programme’s goal is to manage emissions and produce natural gas in a more sustainable way that produces an even cleaner fuel using an independent, third-party rating system for gas wells or entire asset bases. VIRGINIA NATURAL GAS, October 24, 2019
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Week 43 29•October•2019