Page 9 - NorthAmOil Week 29 2022

NorthAmOil PERFORMANCE NorthAmOil

Halliburton posts improved

second-quarter results

GLOBAL OILFIELD services giant Halliburton America: this market remains strong, steadily
announced its Q2 results this week, with the growing, and all but sold out,” he said.
company’s performance benefiting from market He pointed to the success and potential
dynamics. growth of its artificial lift and speciality chemi-
The company, unencumbered by a $344mn cals offerings. Highlighting work installing elec-
write-down from the closure of its Russian tric submersible pumps (ESPs) in Kuwait and
assets, posted a 41% increase in Q2 adjusted net Oman, and trials in Saudi Arabia, Miller noted Revenues in North
income compared to the first quarter, driven by that there is significant upside in the Middle
higher demand for drilling on the back of buoy- East. “Upon completion of trials at the end of the America were
ant oil prices. year, we expect pre-qualification to participate
Halliburton’s completion and production in Saudi Aramco’s future artificial lift tenders,” 26% higher amid
division reported margins of 17%, the highest he said, noting that “Latin America is another
for eight years, as other services firms battle with successful market for our artificial lift business”. greater demand
supply chain issues. Halliburton also anticipates the growth of its for hydraulic
Adjusted net income for the quarter rose speciality chemicals business in the Middle East
to $442mn, up from $314mn during Q1, with through the ramp-up of output at a new facil- fracturing and
shares up by more than 25% on the year so far. ity in Saudi Arabia and through a contract for
However, a pre-tax charge associated with its drilling fluids, specialty chemicals and hydraulic well servicing.
departure from Russia saw the company’s net fracturing in Oman.
income drop from $263mn to $109mn. The Revenues in North America were 26% higher
company’s CEO, Jeff Miller, said that spending amid greater demand for hydraulic fracturing
by international customers is seen growing at a and well servicing, and Miller said the com-
healthy pace over the next few years, noting that pany will look to maintain this momentum.
underinvestment and politics had resulted in Noting that Q2 had brought “another step up in
issues in energy supply security. both US land rig activity and stages completed”
“We expect to benefit more from this mul- with fracking increasing steadily, he said: “Our
ti-year upcycle than ever before. This aligns strategic priority is to maximise value in North
perfectly with our strategy to deliver profit- America by focusing on cash flow and returns,
able international growth. Turning to North not market share.”™

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