MISC Profit Plunges
Malaysia International Shipping Corporation Berhad (MISC)'s net profit plunged 87.1% to RM 68.2 million (USD 17.36 mln) for the fourth quarter ended December 31, 2017 compared with RM 529.8 million (USD 134.88 mln) in the previous corresponding period. MISC said the oversupply of tonnage and cut in global oil production by OPEC in 2017 will continue to weigh on the petroleum shipping segment in 2018. However, a smaller order book for tankers and robust oil demand projections amidst declining global crude inventory will help improve tanker supply-demand balance.
US Joiner Announces Acquisition of Infinity Marine Offshore
Affiliates of US Joiner ("US Joiner") announced today the acquisition of Infinity Offshore Marine, LLC ("Infinity"). Infinity is a provider of turnkey marine joiner solutions to the offshore oil and gas market. The company's headquarters is in Houston, TX and it has operations in Brazil. This acquisition will enable US Joiner to further establish its position in the offshore oil and gas market segment and provide it a presence in Brazil. US Joiner is an independent domestic provider of turnkey marine joiner and furniture solutions for U.S. Government and commercial customers.
Hedge Funds Hook Shipping Stocks Grappling for Recovery
Emerging recovery for segments of global shipping industry; Nordic American Tanker and Dryships Inc among popular stocks. Shipping stocks may still be in the doldrums in the view of many investors, but hedge funds have bet at least $675 million on signs of renewed buoyancy in the industry. Hedge funds made initial forays into shipping stocks in the third quarter of 2017, but significantly stepped up their bets in the final three months of the year, U.S. Securities and Exchange Commission filings compiled by Symmetric show. "Shipping has been in a terrible trough for a number of years," Chris Walvoord, global head of hedge fund research at investment consultant Aon Hewitt, said. "Hedge funds are starting to see opportunity ...
MOL Posts Highest Profit in Decade in 2017
MOL Group announced its financial results for 2017. MOL increased its EBITDA by 14% comfortably outperforming its 2017 target on the back of a strong financial and operational delivery of all business segments. Organic capex stood at USD 1.04 bln, in line with lowered guidance and slightly higher than in the previous year. MOL continued to generate a massive amount of free cash flow establishing a strong financial framework to cover its ambitious transformational projects. Upstream delivered USD 854 mn EBITDA, a 26% increase in comparison with 2016 arising from higher Brent and gas prices.
Maersk Energy: Uptick in Offshore Oil
COPENHAGEN, Feb 20 (Reuters) - Prospects for the offshore oil drilling market are improving but profits for drillers are still under pressure and rates will not rise before 2019, the head of A.P. Moller-Maersk's energy business said. Oil firms have seen cash flow climb in 2017 a high since a three-year slump in crude prices, lifted by their cost-cutting plans and a crude price recovery. Although this has spurred new investment, it has yet to benefit suppliers, such as Maersk,…
Sonatrach Eyes More Vessels to Boost Asia Gas Sales
Algeria will acquire more vessels to transport gas to Asia as it eyes increased sales in that region, the chief executive of state energy firm Sonatrach said on Monday. "With Russia and the U.S., gas competition is tough," Abdelmoumen Ould Kaddour told reporters during a visit to the Hassi Messaoud oilfield. He gave no details. Kaddour also said Sonatrach's oil drilling in Algeria's southern neighbour Niger, where a Sonatrach unit was awarded a production-sharing deal in 2015, had been "satisfying" so far.
GMG Acquires Fugro’s Trenching, Cable Laying Business
Global Marine Group (GMG) will acquire Fugro’s trenching and cable laying business in exchange for an equity stake of around 24 percent in the combined business valued at $65 million, and a one year secured vendor loan of $ 7.5 million. Fugro said it will realize a gain on this transaction, valued at approximately $73 million. GMG is a supplier of subsea cable installation and maintenance services in the telecoms, offshore renewables, power and oil and gas market segments. The…
Iran Cancels Norwegian FLNG Project
Iran oil minister Bijan Namdar Zangeneh said that the agreement signed with the Norwegian IFLNG company has already been annulled. A report in the Trend said that the deal with Norwegian Hemla was cancelled following the criticism by some Iranian MPs. The report quoted Iran’s oil minister Bijan Namdar Zanganeh saying that the deal is cancelled following the some criticism regarding the contract terms. In October 2017, Iran signed a contract with Norwegian oil and gas company to build the country’s first floating liquefied natural gas (FLNG) unit in the Persian Gulf.
Viatran Restructures Company
Viatran announced that it has restructured the company into divisions serving specific market segments. The new Oil & Gas Segment has been created to focus on product development and customer service in Viatran’s most important market. As part of the restructuring, Douglas Joy has been appointed to the newly created position of Oil & Gas Segment Leader, and Don Seewagen to the position of Sales Channel Manager Americas – Oil & Gas Segment. These two individuals will lead all sales, marketing and new business development efforts for this business unit.
Aker Enters Offshore Floating Wind Market
Norwegian oil and gas specialist Aker Solutions has invested in floating wind power technology company Principle Power, with the aim to brings its offshore oil and gas field engineering experience to the renewable energy market. Aker Solutions has an extensive track record in developing offshore oil and gas fields, with particular capabilities in floating facilities. The partnership will help bring Principle Power's technology - an innovative floating foundation for offshore wind turbines, known as WindFloat - to a broader market.
Kvaerner Invests in New Quay at Stord
Kvaerner said it plans to invest NOK 370 million ($46.8 million) in a new quay at the company's facility at Stord. "The objective for this upgrade will be to make the facility more flexible. We invest now to strengthen our competitiveness, and this extension will position Kvaerner for deliveries of new solutions to both oil and gas projects and other market segments," said Kvaerner president & CEO, Jan Arve Haugan. The investment is subject to approval by Kvaerner's Board of Directors within a short period of time.
Schulte's PRONAV Acquisition Greenlighted
The Hamburg-based Schulte Group said it has received clearance by the German Federal Cartel Office for the acquisition of the LNG specialist PRONAV. With this strategic move, the family-owned ship owner and manager continues to increase its capabilities and capacity in the growing liquefied natural gas (LNG) market. Through the acquisition of PRONAV, the Schulte Group has increased the number of vessels under full management in its third-party management fleet by six additional LNG carriers (LNGC). At present, the Schulte Group provides full management for three LNGC and crew management for 21 LNGC. Five LNGCs with a capacity of 173…
Dry Bulk, Container Markets Strengthened in 2017: Torvald Klaveness
The tanker market remained subdued, while the dry bulk and container markets strengthened during 2017, said Norwegian shipping company Torvald Klaveness. Torvald Klaveness managed to improve its financial results in 2017, but they “were still not at a satisfactory level”, Torvald Klaveness said. Earnings before tax (EBT) for 2017 ended at a loss of USD -2 million. Torvald Klaveness maintained a high solidity and good liquidity in 2017. Stronger markets resulted in improved results for the container segment and the dry bulk segment compared to 2016.
Petrobras to join Oil and Gas Climate Initiative (OGCI)
Petróleo Brasileiro SA (Petrobras) has announced its intention to join the Oil and Gas Climate Initiative (OGCI). The company revealed that its CEO, Pedro Parente, has signed a letter of engagement so that the company can become an effective member of the voluntary initiative, which aims to lead the industry response to climate change. The OGCI is the CEO-led grouping of oil and gas companies that intends to lead the industry’s response to climate change, pooling knowledge and collaborating on action to reduce greenhouse emissions.
Freudenberg acquires Vector Technology Group
Freudenberg Oil & Gas expands its position and expertise in the upstream segment of the oil and gas market with innovator in offshore sealing solutions. Freudenberg Oil & Gas announced that on January 11, 2013, 100% of the shares of Vector Technology Group, a major global supplier of high integrity sealing solutions for the oil and gas industry, were acquired by parent company Freudenberg Group, headquartered in Weinheim, Germany. The shares were acquired from the private equity firm HitecVision headquartered in Stavanger, Norway.
Asia's Soaring Gas Demand Beckons New LNG Projects
Global LNG imports rose by 20 percent in 2017; new demand emerges across South, Southeast Asia. Soaring gas demand from China, India and Southeast Asia is sucking up an LNG supply glut previously expected to last for years, opening opportunity for new production from East Africa to North America that had been deemed part of the overhang. Trade flows in Eikon show global liquefied natural gas (LNG) imports have risen 40 percent since 2015, to almost 40 billion cubic metres (bcm) a month.
SeaBird Exploration Cancels Munin Explorer Charter
Marine seismic survey provider SeaBird Exploration has entered into a settlement agreement with Ordinat Shipping AS, the owners of Munin Explorer, for the termination of the charter party agreement and redelivery of the vessel. The transaction is conditional on the fulfilment of certain preconditions and is expected to be approximately cash neutral to the company in 2018 and 2019. The company is estimating that the transaction will save in excess of $2 million over the term of the contract, including the forgiveness of the $2.4 million charter hire payment due 30 June 2020.
Dumping "Dumb" Ships
BOURBON Corporation, like nearly every other player in the offshore oil and gas sector, is scrambling for its very existance as the dynamics in finding and producing energy from subsea plays have changed dramatically with the 4 year long global energy slump. While offshore activities remain depressed, companies like Bourbon are accelerating its transformation to meet the needs of the new reality in the market. "As the market cycle has bottomed out, BOURBON must focus more than ever on operational excellence, fleet utilization rates, cost reduction program and free cash flow preservation. However, we need to go even further, because market overcapacity is driving prices down sustainably and we believe that tomorrow will look very different from yesterday.
Southern Ocean Bags New Contract
The construction support vessel Southern Ocean, owned by a joint venture between Bourbon Offshore Norway and Oceanteam, has secured a new contract in the APAC region. "CSV Southern Ocean secures a new contract and will start operations by mid of February 2018 for a firm period of 30 days and options to extend with 60 days. The Construction Support Vessel has been assigned to multiple smaller projects within the APAC region," said a statement. The contract is the result of the…
Kolkata Port, Hooghly Pact for Liquid Cargo Terminal
The Kolkata Port Trust (KoPT) has signed a concession agreement with Hooghly Oil & Gas Terminal to establish a liquid cargo handling terminal at Shalukhali in Haldia. The terminal will facilitate the movement of petroleum cargo such as LNG, LPG as well as vegetable oil. It is expected to develop over the next three years. The project will help reduce pre-berthing detention and turnaround time of tankers carrying different liquid cargo, leading to a reduction in logistics costs to trade.
Maritime Shipping Market Brightened: NYK Line
Japan’s Nippon Yusen Kabushiki Kaisha (NYK Line) said that conditions in the maritime shipping market were positive overall during the nine-month period of the fiscal year ending March 31, 2018. In the container shipping market, an upswing in spot freight rates stalled somewhat as the total supply of tonnage remained at similarly high levels as the previous year. Nevertheless, shipping traffic was brisk on the back of robust demand for container shipments. In the dry bulk shipping market…
Anchor Handling Tug Supply Vessel Market Poised for Growth
The global market for anchor handling tug supply vessels is poised for growth from 2016-2020, according to a report by Research and Markets. In the report, which covers the present scenario and the growth prospects market based on total revenue generated from the different geographical regions, analysts forecast the global market for anchor handling tug supply (AHTS) vessels will grow at a compound annual growth rate (CAGR) of 13.88 percent during the period 2016-2020. “One trend which is boosting market growth is the rise in subsea vessel operations,” said an analyst from the research team.
Intellian Introduces v60G Marine VSAT Systems
Intellian has announced a new addition to its range of VSAT communications antennas, the v60G. Designed for recreational, smaller commercial and oil and gas vessels, or for use in space-constrained installations, the v60G, a powerful redesign of the popular v60, provides exceptional performance, enhanced remote monitoring and control, reduced cabling, and unlimited azimuth. The new v60G provides seamless, uninterrupted broadband connectivity for worldwide on-demand communications, is compatible with a comprehensive list of service providers and ensures professional mariners and yacht owners reliable, unlimited connectivity at sea. The three-axis v60G has unlimited azimuth, eliminating cable wrap and the lengthy loss of signal connection as the system unwinds.