Tag Archives: outlook

With Schlumberger’s earnings call this morning, oilfield earnings season is officially underway. CEO Paal Kibsgaard addressed several of the themes we expect to dominate the conversation this earnings season including US price increases and activity strength and maybe over-exuberance, sluggish international conditions, aggressive frac reactivation, new business models in offshore drilling, …

US tight oil activity continues to recover in a global vacuum. Since the US rig count bottomed in May 2016, international onshore drilling is essentially flat and offshore activity is down 14%. How much longer will this be the case? We share some important charts and describe how the outlook has …

The hardest sell in the entire O&G industry right now is without question a newbuild offshore rig order. Demand for offshore newbuilds is actually negative. Contractors continue to push out delivery dates, in some cases paying up to avoid taking delivery. With little visibility on a recovery, shipyards are being forced to …

The big public frac sand suppliers (companies like Hi-Crush, US Silica, Fairmount Santrol, and Smart Sand) will be closely watched when they report earnings this quarter. Expectations for increased proppant demand are high as the US shale industry gets back to work. But Big Sand won’t be talking about their own …

Halliburton’s strategy for 2017 is shifting, and the company will have a whole different M.O. this year. Jeff Miller, Halliburton President expressed his feelings about the new year this way: “in many ways, 2016 was like a bar room brawl where everyone, and I mean everyone, took a punch. But …

This morning, Schlumberger management hosted a conference call with analysts to discuss 4Q16 results and the 2017 outlook. The company kicked off oilfield service earnings season on a positive note. Following nine consecutive quarters of relentless workforce reductions, cost cutting, and restructuring efforts, Schlumberger is restoring focus on the pursuit …

Two years into the downturn and at oil prices just half of prior highs, the US tight oil industry has begun to stage a recovery. We’ve all seen this new optimism in the tangible data. Rig count, capex, headcount, frac utilization – these are just a few of the US …

For the past six months, Baker Hughes has publicly rethought its involvement in the pressure pumping business. Now a material transaction is possible before year-end. The initiative is part of the big push underway by all of the Big 3 oil service companies to lighten their asset bases. Said another way, the Big 3 …

A quick round-up of three stories flying below the radar that we find important lessons in: i) a leading indicator of Norwegian mature field development just plummeted, ii) H&P just paid an injured rig hand $72mm, and iii) Patterson-UTI is finding it easy to return idle land rigs to work. …

The Barclays investor conference held in New York the week of Labor Day marks the start of the year-end news rush. A hot item at Barclays was a basic truth about the oil market: failing to offset natural declines will push oil prices higher every time. Today’s capex starvation is setting up tomorrow’s feast. There’s …