Crude Settles at One-Month High After Modest Inventory Rise

Crude-oil futures settled at a one-month high Wednesday after a report showed U.S. oil stockpiles rose less than expected last week.

Oil inventories increased 200,000 barrels to 395.5 million barrels, the Energy Information Administration said. The rise pushed oil inventories to their highest level since the EIA began keeping weekly records in August 1982, though the gain was less than anticipated by experts and offset by a steep rise in fuel demand.

Light, sweet crude for June delivery settled $1, or 1.1%, higher at $96.62 a barrel on the New York Mercantile Exchange. That is the highest front-month settlement since April 2.

Brent crude on ICE Futures Europe settled 6 cents, or 0.1%, lower at $104.34 a barrel.

"The market got a bit excited that the inventories for crude came in below expectations," said Dominick Chirichella, analyst at the Energy Management Institute in New York. "I think it's a lot to do about nothing...we're still building and inventories and are still at record-high levels of crude oil."

Analysts surveyed by Dow Jones Newswires were calling for an inventory rise of 1.7 million barrels.

U.S. oil stockpiles have been rising steadily since the beginning of the year, fueled largely by a steady rise in domestic production. U.S. stockpiles are up roughly 10% year to date.

Market participants said they were surprised by last week's sharp pickup in demand, according to the EIA. The agency's metric for refined fuel use rose 6.5% to 19.1 million barrels a day, although demand for gasoline--the biggest component--was essentially flat.

"Without a doubt the demand number was a little more positive than we've been accustomed to seeing...but guys who are bearish on this market are bearish because of supply," said Pete Donovan, vice president at Vantage Trading, an oil options brokerage, in New York.

Oil futures have been buffeted in recent weeks by persistent signs of weak demand globally and improving global supply, but worries about the escalating civil war in Syria have kept traders on guard for supply disruptions in the Middle East. On Tuesday, unconfirmed reports of explosions in Tehran triggered a 30-cent intraday jump in the price of crude.

On Tuesday, the EIA said Saudi Arabia, the world's biggest oil producer, boosted production 1.8% last month to 9.2 million barrels a day, the highest level since December. The data also showed overall output from members of the Organization of the Petroleum Exporting Countries rose to a five-month high.

Gasoline stockpiles last week fell 900,000 barrels, according to the EIA. Distillate stocks, including heating oil and diesel, rose 1.8 million barrels. Refinery utilization rose 2.6 percentage points to 87% of capacity.

Analysts had expected gasoline stockpiles to fall 300,000 barrels, while stocks of distillates were seen rising by 400,000 barrels. Refiners were expected to increase operations by 0.4 percentage point to 84.8% of capacity.

Oil inventories at the key trading hub of Cushing, Okla., fell 700,000 barrels last week to 49.1 million barrels. A recent decline in Cushing stockpiles has helped to narrow the discount of Nymex crude versus global benchmarks like Brent crude.

The Nymex crude's discount to Brent crude recently neared $7.72 a barrel, its lowest level since January 2011.

Front-month June reformulated gasoline blendstock, or RBOB, settled 2.04 cents, or 0.7%, higher at $2.8538 a gallon. June heating oil settled 1.30 cents, or 0.4%, lower at $2.9147 a gallon.

Copyright (c) 2013 Dow Jones & Company, Inc.

Generated by readers, the comments included herein do not reflect the views and opinions of Rigzone. All comments are subject to editorial review. Off-topic, inappropriate or insulting comments will be removed.

View the original article here

Ratification of Mozambique Petroleum Law Seen By Year-End

The Mozambique government currently is revising its legal and fiscal packages for exploration and production, but anticipates its new petroleum law to be ratified by year-end in time for the upcoming licensing round, said Arsenio Mabote, chairman of the Instituto Nacional de Petroleo. Mozambique will seek to promote exploration in offshore areas 4, 5 and 6 in its upcoming licensing round.

The government is also developing a master plan for development of the nation's gas resources, including asset development options, optimal locations, pricing structures and social improvements.

Mozambique's significant offshore natural gas resources in the Rovuma Basin, where 12 gas discoveries have been made to date within a 31 miles (50 kilometers) radius area.

Thanks to exploration activity, the estimate of Rovuma Basin gas resources has been raised from 5 trillion cubic feet (Tcf) in 2009 to 170 Tcf in 2012.

The additional gas resources are located in two main concession areas, 1 and 4. However, more resources may exist as both areas are not fully explored and exploration efforts offshore neighboring Tanzania and Kenya will support the construction of several liquefied natural gas (LNG) plants in the region.

The development of Mozambique's gas resources will help support a number of investment opportunities within the country, including fertilizer, petrochemical, gas-to-liquids, power generation, as well as development if railways, ports and telecommunications infrastructure.

"We understand the challenges that companies face, and we want them to know that the government supports their initiatives," said Mabote.

Anadarko Petroleum Corporation, Eni S.p.A., Statoil ASA and Petroliam Nasional Berhad (Petronas) are the international operators who hold interests in Mozambique. For Anadarko, the cost associated with producing Mozambique's deepwater gas means it must pursue development of gas resources there as an LNG project. The company has no domestic use obligations in its contract, meaning that LNG exports will be its main focus.

"The government understands the stable legal framework needed, but laws need to be finalized before the project can move forward," said John Peffer, president of Anadarko Mozambique.

Despite the cost, Anadarko President and CEO Al Walker sees Mozambique and its tremendous gas resources as the right opportunity for Anadarko to meet its goal of becoming a major LNG player.

Anadarko believes its Afungi LNG development, which it is developing with Italy's Eni S.p.A, offers a cost-competitive source of LNG and a long-term strategic supply for premium Pacific Basin markets. Afungi will also be able to supply the Atlantic market as well, Peffer said.

Anadarko's recoverable gas reserves of between 35 and 65 Tcf from the Prosperidade and Atum are enough to support a two-train LNG development. Anadarko will initially focus on Prosperidade for its two LNG trains. The company expects to safely meet the 12 Tcf of gas it needs for reserve certification. It will also have between 16,000 and 17,000 acres at the project site, with plenty of room for a large scale 50 million tones per annum LNG facility. Anadarko's offshore Mozambique gas resources are enough to support its initial development several times over, and represent a "remarkable accumulation" of gas, Pepper estimated.

The discoveries that will underpin the development are located between 18 to 25 miles (30 to 40 kilometers) offshore. Peffer said the company has successfully route pipelines and flowlines around the active submarine canyons that lie offshore and are up to 1 kilometer deep.

The project currently is in the front end engineering and design phase; results of call for bids are anticipated next year. Afungi will initially deliver 20 million tonnes per annum of LNG when it comes online in 2018. The start of operations at Afungi will make Mozambique the third largest LNG exporter worldwide.

Anadarko expects to submit an environmental impact assessment for the project later this year.

The company is active throughout Africa, including Kenya and Mozambique's deepwater, and in South Africa, where the company recently acquired interests in two blocks.

"Government officials down to the district level recognize that these types of projects take time," Peffer commented. "The population doesn't quite understand this point, but the communication strategy is in place to educate the local communities."

Logistics have improved slightly since Anadarko entered Mozambique, and security offshore and onshore does not pose a major issue at this point, Peffer commented. The limited number of workers, particularly in Pemba and Palma, means Anadarko has had to bring in necessary workers. The Mozambique government sees development of its gas assets as a means of bolstering job creation and education opportunities within the country.

"We have a shared vision, and Anadarko has more than filled its commitment to promoting social and capacity building within the country," Peffer commented.

Barriers to development of Mozambique's natural gas resources include:

lower gas demand and prices due to recessioncompetition from shale gas resources, particularly those in Chinacapital availabilitycompetition from other LNG projects in the Middle East and Australia

The Mozambique government's current efforts to reform and update fiscal and regulatory terms governing oil and gas could be a factor as well, said R. Michael Haney, director of Douglas-Westwood's Houston firm.

Despite the challenge, "we see a lot we like in the Mozambique picture," Haney told conference attendees.

Mozambique could also hold significant oil resources as well, if estimates by Total, which holds interest in offshore areas 3 and 6, are correct.

Karen Boman has more than 10 years of experience covering the upstream oil and gas sector. Email Karen at kboman@rigzone.com.

Generated by readers, the comments included herein do not reflect the views and opinions of Rigzone. All comments are subject to editorial review. Off-topic, inappropriate or insulting comments will be removed.

View the original article here

At Least 9 More Decades for North Sea Oil

Oil and gas production in the UK North Sea can continue until the end of this century provided the right government policy decisions are made, according to Scottish Energy Minister Fergus Ewing.

Speaking to Rigzone at the Offshore Technology Conference in Houston Tuesday afternoon, Ewing said:

"In domestic terms, the [Scottish] industry is having a second major opportunity with a huge number major new developments going ahead, some of which are extensions of existing developments. For example, the Clair Ridge field has the potential to produce oil until 2055 according to BP."

Clair Ridge is a project to further develop the Clair field with additional fixed platforms.

"The Clair field was actually discovered in 1977, and that's ironic because we were told by London that the oil would run out in the 90s, and then in the 90s that it was going to run out in the Noughties," Ewing said.

"I think it's a theme that's losing credibility because if BP comes along and says the Clair Ridge field will continue to produce until 2055 it's a bit liberal to say the oil is going to run out because it ain't."

Ewing said that there were "huge opportunities" domestically for the Scottish oil and gas sector that would keep oil and gas production going.

"My personal view is that oil and gas production [offshore Scotland] will continue for the rest of the century provided we make the right policy decisions," he said.

But Ewing insisted that fiscal stability is required and that a lot of damage to the sector was caused by the unexpected tax hikes that were introduced in the UK in 2011.

"Fortunately, a lot of that damage was undone the following year when the UK Treasury realized they had unsettled the whole industry, internationally, and shaken confidence in the viability of investing in the North Sea and west of Shetland. So, they then introduced measures on field allowances and decommissioning which we've welcomed. But in order to make sure that the longevity of the basin, especially in the southern North Sea, is as it should be there will no doubt be a need for more fiscal incentives than there are now," Ewing said.

"It's blindingly obvious that if it costs an extra $20 or $30 a barrel to get more oil out and if major operators have to invest hundreds of millions, if not billions, to do so then they have the choice of making that investment in fields where the oil does not cost an extra $20 or $30 a barrel, and therefore there does need to be a partnership between government and industry."

"The impression I get is that they realized they made a big mistake and they acted to try to correct that and with a deal of success. But the danger is that perhaps in the Treasury they feel that it is currently a situation of 'Problem solved!' and complacency is the most dangerous attitude that you can have in government because almost always the problems are more complex than you realize."

A former engineer, Jon is an award-winning editor who has covered the technology, engineering and energy sectors since the mid-1990s. Email Jon at jmainwaring@rigzone.com.

Generated by readers, the comments included herein do not reflect the views and opinions of Rigzone. All comments are subject to editorial review. Off-topic, inappropriate or insulting comments will be removed.

View the original article here

Seadrill Sells Rig T15 to Partners

Seadrill Limited has entered into an agreement to sell the companies that own and operate the tender rig T15 to Seadrill Partners LLC for a total consideration of $210 million, less approximately $100 million of debt outstanding under the credit facility secured by the T15. The balance of the acquisition price will be financed with vendor financing provided by Seadrill in the form of a loan in the amount of approximately $110 million due in 2016, accruing interest quarterly at 5 percent plus LIBOR. It is expected that the vendor financing will be refinanced prior to its maturity.

The T15 is contracted for a five-year period with Chevron in Thailand at a dayrate of $115,500. The rig is currently undergoing acceptance testing in Singapore prior to mobilizing to its drilling location, which is expected to occur by mid-June. The rig is currently earning a standby dayrate until it arrives in Thailand and commences operations.

The transaction is expected to close prior to the end of May 2013.

Generated by readers, the comments included herein do not reflect the views and opinions of Rigzone. All comments are subject to editorial review. Off-topic, inappropriate or insulting comments will be removed.

View the original article here

Getting Serious about Ex-Military Recruitment

As many Western countries downsize their military forces in response to geopolitical trends and, more commonly, a reduction of military budgets, thousands of soldiers, sailors and airmen are facing tough times amid high levels of unemployment. But while the military in these countries is scaling down, the oil and gas industry is seeing an opportunity to fill gaps in their own workforces.

Now, it appears that governments are looking to take a more active role in channeling former servicemen and women with a variety of skills into the oil and gas industry. In the UK, for example, the Department of Business, Innovation and Skills last month announced a national program to retrain ex-military personnel for the oil and gas industry in a bid to help the sector find the additional 15,000 staff it will need over the next five years.

The initiative is still in its early days, as Rigzone found out when it contacted the Department of Business, Innovation and Skills. The department appeared to have little idea about how the national program will look. However, a key organization tasked with bringing about the program is trade body Oil & Gas UK, whose Employment and Skills Issues Manager Dr. Alix Thom filled in a few of the details for us.

First up, Thom pointed out that the UK oil and gas sector has for a long time recruited personnel from the ranks of the military.

"I did it myself 20 years ago when I worked at Wood Group," she said. "But that's a few big companies that can manage the process themselves and in relatively small numbers over time."

For example, one big company involved in the oil and gas sector that has formalized its approach to recruiting ex-military personnel is GE Oil & Gas, which holds career fairs aimed at the military and also has what it calls a Junior Officers Leadership Program designed to prepare young officers for life working within a corporation. Rod Christie, head of GE Oil & Gas' Subsea Systems business, explained this in more detail in an interview with Rigzone published in February.

But a comprehensive and nationwide approach to finding suitable ex-military people with the skills to work in the UK oil and gas sector would help both large and small companies fill gaps in their workforces.

"We [Oil and Gas UK] are now linked to the Ministry of Defence [MoD] at the highest level with its people who are responsible throughout the UK for finding employment for ex-services personnel. And one of the things we weren't aware of, until we made this connection, was that in any normal year there are between 18,000 and 20,000 armed services leavers. And that's without any spikes when there's a cut announced," Thom said.

"So, there's a huge potential resource there, but we're absolutely realistic. We're not going to find 15,000 people who are going to fit our industry. We're not going to find a lot of geologists or drilling engineers, or whatever, but there will be quite a number of people in the military who we think have skills and qualifications that are transferable to our industry."

Thom explained that with this support at national level we are able to then develop a suite of tools that the oil and gas industry can use to best select former members of the armed services.

"For example, there's an exercise being done at the moment to map the skills of oil and gas jobs, while people on the military side are doing the same for military jobs, so that we can prepare and understand the skills that, say, someone with a specific job title in the army has," she said.

"Because if you look at the CV, quite often there is a lot of language in there that recruiters won't understand. This is a bit of work being done at national level beforehand that will facilitate recruitment in greater numbers and identify the transferable skills more easily.

This will help Oil & Gas UK and in particular OPITO, the training body that Oil & Gas UK is working with, to develop specific transition training courses.

Last July, Rigzone reported that OPITO has already made forays into the activity of retraining former military personnel for oil and gas roles. For example, for a few years now OPITO has been piloting its "Transformation Training" concept – a 12-week program that takes a competence-based approach to upskilling workers who have gained knowledge and experience in other sectors. One of these OPITO courses was carried out at Aberdeen College, specifically focusing on training ex-Royal Air Force personnel who had been made redundant after the closure of Scottish RAF bases.

Oil & Gas UK is also working with the Career Transition Partnership (CTP) – the UK's official provider of resettlement of demobbed personnel from the country's armed services. Thom explained that the CTP is already involved on a localized level, particularly in Scotland, with channeling ex-military people into oil and gas jobs.

"But in other parts of the country that knowledge and connection doesn't exist. So now that we're at national level, we can access the whole UK network of careers consultants at the Careers Transitions Partnership," she added.

Thom pointed out that the armed services could be a source of technicians, such as mechanics and electricians from the RAF, Navy and the engineering regiments of HM Army. Meanwhile, she said that submariners are currently in demand for certain kinds of subsea work.

"And Logistics is an area where we expect to find quite rich pickings. So, there's a whole suite of roles," she said.

"But our key, and most difficult, area to fill is engineering. So that would be our prize."

It is still in its early days, but if the UK gets it right, the partnership between UK Oil & Gas, OPITO, the MoD and the CTP could provide a template for how other countries scaling down their armed forces might go about finding roles for ex-military personnel within their own oil and gas sectors.

A former engineer, Jon is an award-winning editor who has covered the technology, engineering and energy sectors since the mid-1990s. Email Jon at jmainwaring@rigzone.com.

Generated by readers, the comments included herein do not reflect the views and opinions of Rigzone. All comments are subject to editorial review. Off-topic, inappropriate or insulting comments will be removed.

View the original article here

Scottish O&G Supply Chain Exports Jump 8.4%

Exports by Scottish oil and gas supply chain companies jumped 8.4 percent between 2011 and 2012 to $12.7 billion, according to figures released Monday by Scottish Development International.

Exports from Scotland's oil and gas supply chain now account for a record 47.6 percent of the supply chain’s total sales, which at $26.7 billion grew by 5.8 percent last year.

"The domestic market is still growing, but the international market is really growing," said David Rennie, international sector head for oil and gas at Scottish Enterprise, who was speaking to Rigzone at the Offshore Technology Conference in Houston Monday afternoon.

Rennie, who along with Scotland Minister of Energy Fergus Ewing is accompanying a delegation of 50 Scottish companies to the show, pointed out that North America still represents the largest export region for Scottish suppliers to the oil and gas industry, accounting for around $4 billion of sales (an increase of 2.8 percent over 2011).

However, Rennie also noted that Africa could see significant growth for Scottish exports. Already, the continent accounts for around 15 percent of exports from Scotland’s supply chain firms, making it the second-largest export region after North America.

"I would say that Africa is potentially a big market for us," Rennie said. "We've just taken a trade mission to Ghana and we've got an office opening there later this year."

Rennie pointed out that Scotland is close to Africa in terms of time zone, so "there's no reason why we can't service a lot of activity in Africa from the UK".

Currently around 70 percent of Scotland's oil and gas supply chain is about services – reflecting a significant level of expertise, particularly around the Aberdeen area.

"It's a hub. It's about supply chain, it's about the cluster, it's about quality, it's about access to engineering and it's about access to academia," Rennie said.

"Subsea services, well management, drilling … There’s a whole range of things that can be serviced form Scotland. And we now export to about 100 countries … If you go anywhere in the world to look for oil you will find a Scots person."

A former engineer, Jon is an award-winning editor who has covered the technology, engineering and energy sectors since the mid-1990s. Email Jon at jmainwaring@rigzone.com.

Generated by readers, the comments included herein do not reflect the views and opinions of Rigzone. All comments are subject to editorial review. Off-topic, inappropriate or insulting comments will be removed.

View the original article here

Crude Settles at One-Month High After Modest Inventory Rise

Crude-oil futures settled at a one-month high Wednesday after a report showed U.S. oil stockpiles rose less than expected last week.

Oil inventories increased 200,000 barrels to 395.5 million barrels, the Energy Information Administration said. The rise pushed oil inventories to their highest level since the EIA began keeping weekly records in August 1982, though the gain was less than anticipated by experts and offset by a steep rise in fuel demand.

Light, sweet crude for June delivery settled $1, or 1.1%, higher at $96.62 a barrel on the New York Mercantile Exchange. That is the highest front-month settlement since April 2.

Brent crude on ICE Futures Europe settled 6 cents, or 0.1%, lower at $104.34 a barrel.

"The market got a bit excited that the inventories for crude came in below expectations," said Dominick Chirichella, analyst at the Energy Management Institute in New York. "I think it's a lot to do about nothing...we're still building and inventories and are still at record-high levels of crude oil."

Analysts surveyed by Dow Jones Newswires were calling for an inventory rise of 1.7 million barrels.

U.S. oil stockpiles have been rising steadily since the beginning of the year, fueled largely by a steady rise in domestic production. U.S. stockpiles are up roughly 10% year to date.

Market participants said they were surprised by last week's sharp pickup in demand, according to the EIA. The agency's metric for refined fuel use rose 6.5% to 19.1 million barrels a day, although demand for gasoline--the biggest component--was essentially flat.

"Without a doubt the demand number was a little more positive than we've been accustomed to seeing...but guys who are bearish on this market are bearish because of supply," said Pete Donovan, vice president at Vantage Trading, an oil options brokerage, in New York.

Oil futures have been buffeted in recent weeks by persistent signs of weak demand globally and improving global supply, but worries about the escalating civil war in Syria have kept traders on guard for supply disruptions in the Middle East. On Tuesday, unconfirmed reports of explosions in Tehran triggered a 30-cent intraday jump in the price of crude.

On Tuesday, the EIA said Saudi Arabia, the world's biggest oil producer, boosted production 1.8% last month to 9.2 million barrels a day, the highest level since December. The data also showed overall output from members of the Organization of the Petroleum Exporting Countries rose to a five-month high.

Gasoline stockpiles last week fell 900,000 barrels, according to the EIA. Distillate stocks, including heating oil and diesel, rose 1.8 million barrels. Refinery utilization rose 2.6 percentage points to 87% of capacity.

Analysts had expected gasoline stockpiles to fall 300,000 barrels, while stocks of distillates were seen rising by 400,000 barrels. Refiners were expected to increase operations by 0.4 percentage point to 84.8% of capacity.

Oil inventories at the key trading hub of Cushing, Okla., fell 700,000 barrels last week to 49.1 million barrels. A recent decline in Cushing stockpiles has helped to narrow the discount of Nymex crude versus global benchmarks like Brent crude.

The Nymex crude's discount to Brent crude recently neared $7.72 a barrel, its lowest level since January 2011.

Front-month June reformulated gasoline blendstock, or RBOB, settled 2.04 cents, or 0.7%, higher at $2.8538 a gallon. June heating oil settled 1.30 cents, or 0.4%, lower at $2.9147 a gallon.

Copyright (c) 2013 Dow Jones & Company, Inc.

Generated by readers, the comments included herein do not reflect the views and opinions of Rigzone. All comments are subject to editorial review. Off-topic, inappropriate or insulting comments will be removed.

View the original article here

ECS Reveals Crisis Response Simulation at OTC

Engineering & Computer Simulations (ECS) announced Monday it is unveiling its Crisis Response Simulation (CRS) for the first time at the Offshore Technology Conference (OTC) on the showroom floor. Over 80,000 attendees and more than 2,500 exhibitors are expected to attend OTC, and ECS will be the only modeling and simulation company exhibiting.

"We are looking forward to showing the Crisis Response Simulation to offshore technology leadership during OTC," stated Waymon Armstrong, president of ECS. "ECS, an award winning company, brings 16 strong years of military simulation experience and has the potential to transform crisis response training. Our CRS is the first in our competency-based products and services line that supports the oil and gas industry."

The Crisis Response Simulation, or CRS, is a web-based, critical-thinking tool that immerses corporate senior executives in intense, realistic scenarios. These scenarios cover decisions that impact the preservation of life, the support of affected family members, rig stability, communication and social media, mitigation of legal risks and other obligations that appear in a crisis response situation. Whether it is a well blowout, fire, or an environmental release, CRS is customizable to a broad set of scenarios that represent the current offshore or onshore upstream, mid-stream, and downstream oil and gas industry

"ECS is pleased to leverage the 9+ million dollars of U.S. military and ECS-funded Internal Research and Development investments that have resulted in the Crisis Response Simulation. The robust simulation system builds critical thinking skills for senior level decision makers," explained Armstrong. "The immersive training exercises can be configured rapidly and provides intense, realistic scenario rehearsal and real-time feedback, resulting in effective training for senior level decision makers. We are confident this training system will save money, time and help save lives in situations where there are no second chances."

Envisioning the re-use of technology developed for, and in use by the U.S. military, Armstrong now leads the ECS Commercial Division, focused entirely on non-Government/non Department of Defense initiatives. The Offshore Technology Conference runs May 6–9 at Reliant Park, Houston, Texas. ECS is will be in booth number 11225 on the showroom floor.

Generated by readers, the comments included herein do not reflect the views and opinions of Rigzone. All comments are subject to editorial review. Off-topic, inappropriate or insulting comments will be removed.

View the original article here

Aker Boosts Order Book to All-Time High

Norwegian oilfield services firm Aker Solutions revealed Wednesday that it boosted its order book to an all-time high of $12.2 billion (NOK 71.7 billion) at the end of March – a 67-percent increase on a year earlier.

Reporting its first quarter results, Aker said its order intake during 1Q 2013 was $4.3 billion (NOK 25.5 billion) compared with $1.9 billion (NOK 11.3 billion) in 1Q 2012.

1Q revenue improved to $ 1.9 billion (NOK 11.1 billion), compared with $1.7 billion (NOK 9.8 billion) during 1Q 2012, while the firm’s EBITDA profit for the quarter came in at $147.5 million (NOK 868 million) – down 16.5 percent on 1Q 2012.

Aker blamed its lower earnings on the impact of increased costs of around $11.9 million (NOK 70 million) at the Ekofisk Zulu platform project, as work was accelerated to deliver the platform by mid-June this year. The firm also said that its umbilicals business area lost $10.7 million (NOK 63 million) during the quarter after it wrote down the value of several projects, while its oilfield services and marine assets business area lost $9.2 million (NOK 54 million) as the vessels Aker Wayfarer and Skandi Aker stood idle.

Aker had already warned of a slow start to 2013 at the end of April, but Executive Chairman Øyvind Eriksen said that "the long-term trend in our main markets is positive" in spite of the firm recently seeing some customers take longer to make final decisions to award contracts.

Aker added that it expects earnings during the third and fourth quarters of this year to be greater than 3Q and 4Q 2012.

A former engineer, Jon is an award-winning editor who has covered the technology, engineering and energy sectors since the mid-1990s. Email Jon at jmainwaring@rigzone.com.

Generated by readers, the comments included herein do not reflect the views and opinions of Rigzone. All comments are subject to editorial review. Off-topic, inappropriate or insulting comments will be removed.

View the original article here

Burness Paull & Williamsons to Build International Client Base at OTC

Burness Paull & Williamsons LLP continues to build its international client base by attending the Offshore Technology Conference (OTC) in Houston.

Paull & Williamsons were pioneers of professional companies attending OTC, sending representatives to the show for more than 20 years. Following last year's merger, Burness Paull & Williamsons' chairman Philip Rodney says the firm's market offering is now even better placed to service its growing international client base.

Philip said: "Paull & Williamsons dominated the Aberdeen market for 40 years, with a leading oil and gas practice and a client list including many high profile clients in the sector. As Burness Paull & Williamsons we have built on that pre-eminent expertise and sector knowledge.

"The creation of the new firm means we have increased specialist knowledge and scale; we are one of Scotland's largest firms and offer enhanced services such as capital markets and pensions."

Burness Paull & Williamsons will send a team of five this year, representing specialisms including corporate finance, employment and private equity. The firm will once again host its annual cocktail party on 7 May, an event which has been a highlight of the OTC calendar for over a decade.

Partner Ken Gordon said: "OTC represents a great opportunity to introduce our new market leading offering to the international oil and gas community and to meet up with a number of our Houston headquartered clients.

"The team will also meet intermediaries and Houston-based law firms to discuss our new, more comprehensive offering and recent legal developments and opportunities in the offshore energy sector."

Ken is attending this year's conference along with partners Scott Allan, Tricia Walker and Tony Byrne and business development manager Victoria Grozier.

Burness Paull & Williamsons operates across a range of key sectors including oil and gas, offering a full range of legal services in exploration and production, corporate finance, health and safety, commercial, dispute resolution, employment, pensions and property.

Generated by readers, the comments included herein do not reflect the views and opinions of Rigzone. All comments are subject to editorial review. Off-topic, inappropriate or insulting comments will be removed.

View the original article here