Schlumberger: Capex oil production ready for sudden rebound

Schlumberger, the world's largest publicly traded oil services group, announced a "global resumption of global activity" in the industry following the rebound in crude prices.

Paal Kibsgaard, the group's chief executive, said the company had "strong confidence" in its outlook, as the oil and gas industry emerged from "the deepest generation decline".

There was a growing need for a significant increase in spending "It is becoming increasingly clear that new projects that should be on-line over the next few years will not be enough to meet growing demand ", he said, referring to Schlumberger. Reported earnings for the second quarter were in line with expectations at 43 cents per share excluding special items, up 23% from the same period in 2017.

North America was the most dynamic region with revenues up 43% per cent over the equivalent period of 2017 to $ 3.1 billion. In the rest of the world, total revenue declined 1% to $ 5.1 billion. However, the company said that this year's trends – with rising incomes worldwide – "confirm that a much wider international recovery is emerging."

million. Kibsgaard said the fundamentals of the oil market continue to evolve favorably. our international business "while the balance of supply and demand for crude oil is narrowing.

He said that despite the intention of Opec d 39; increase its production, the global oil supply was threatened by US sanctions restored on Iran, Venezuela's decline and instability in Libya, while the lack of pipeline capacity in Texas became a He adds: "At the same time, spare production capacities, which are essentially limited to a few OPEC countries, are now reaching their lowest level in more than a decade, while world production is in decline. base continues to accelerate. These developments underline the growing need for significant E & P spending, especially in international markets. "