Post Tagged with: "Price recovery"

Schlumberger: “Significant Recovery” will not occur Until 2017

Schlumberger: “Significant Recovery” will not occur Until 2017

Thwarted by Oil Market, SLB Posts first Quarterly Loss in More than a Decade Fourth quarter earnings season is officially underway, and, expectedly, Schlumberger (ticker: SLB) opened up the forum with a not-so-pleasant outlook on the oil and gas market. Paal Kibsgaard, Chairman and Chief Executive Officer of the world’s largest oilservice company, essentially echoed all of the problems that have plagued the market throughout the commodity downturn. High volumes, along with an incoming surge from Iranian production and reduced growth from emerging countries like China, have Kibsgaard and fellow SLB management bracing for another difficult year. “For many of our customers, available cash and annual budgets were exhausted well before the halfway point for the fourth quarter, leading to unscheduled and abrupt activity cancellations, creating an operating environment that is increasingly complex to navigate, and where the traditional year-end product and multi-client site mix sales were largely muted,” said[Read More…]

Oil and Gas Industry Sees a More Subdued Recovery: Baird Survey

Oil and Gas Industry Sees a More Subdued Recovery: Baird Survey

Oil prices expected to stay at or below $50 for the next six months Lower for longer is starting to truly set in with the oil and gas industry as buyside investors and the industry see a more muted outlook for oil and gas prices on the horizon. A survey that polled primarily buyside investors and members of the oil and gas industry conducted by Baird Equity Research saw little hope of a full recovery in the next six months. The results of the survey showed that about 75% of the respondents see pricing staying sub-$50 per barrel for the first half of 2016. The respondents expected some modest increases in price following the first six months of the year, with 53% of those polled saying that expect oil prices to reach $50-$60 per barrel over the next year. Their long-term outlook was bleaker however, with an increasing number of[Read More…]