Oil and gas services company TechnipFMC faced lingering markets pressures in the fourth quarter as revenues fell, but expressed optimism about the year ahead.

The company reported fourth quarter income of $3.68 billion, a decline of 16 percent from the same period. Sales from its subsea component were down 36 percent and the company added it was forced to take a charge of $138 million as a result of the new tax code in the United States.

The company in July said an error in calculations meant it overstated its first quarter 2017 figures by $209.5 million.

A slump in crude oil prices in recent years meant most major oil and gas companies had to tighten the purse string for exploration and production spending. Crude oil prices started to recover from historic lows by the middle of last year, topped $70 per barrel in January, but have settled in a range around $65 per barrel for Brent, the global benchmark.

CEO Doug Pferdehirt said the market recovery so far suggested more orders could come in, from subsea activity, to small- and mid-sized services.

"We remain confident that our inbound orders will grow year-over-year," he said in a statement.

This week, rig company Transocean said there were still lingering pressures from the market downturn, but CEO Jeremy Thigpen said the upswing in crude oil prices from last year should lead to an increase in demand for services in the exploration and production side of the industry.

Nevertheless, Thigpen said expected demand for ultra-deepwater services was not as strong as hoped.

TechnipFMC has a contract from Norwegian energy major Statoil for the Snorre field in the North Sea, an expansion project that's the largest ever improved oil recovery project on the Norwegian continental shelf. The French contractor has a $110 million contract from 2015 to provide some of the pipeline infrastructure for the Libra field, a giant oil field off the coast of Guyana.

TechnipFMC reported fourth quarter spending of $85.3 million. Full-year 2018 spending is outlined at $300 million, a 17 percent increase from last year.

Related Links
All About Oil and Gas News at OilGasDaily.com

Tweet

Thanks for being here; We need your help. The Space Media Network continues to grow but revenues have never been harder to maintain. With the rise of Ad Blockers, and Facebook - our traditional revenue sources via quality network advertising continues to decline. And unlike so many other news sites, we don't have a paywall - with those annoying usernames and passwords. Our news coverage takes time and effort to publish 365 days a year. If you find our news sites informative and useful then please consider becoming a regular supporter or for now make a one off contribution.
SpaceMediaNetwork Contributor $5 Billed Once credit card or paypal		SpaceMediaNetwork Monthly Supporter $5 Billed Monthly paypal only

Oil seen flowing onshore in Jamaica
Washington (UPI) Feb 21, 2018
Oil was found flowing naturally for the first time ever onshore in Jamaica at two locations in what could be a door opener in the Caribbean, companies said. Two companies, the Petroleum Corporation of Jamaica and CGG GeoConsulting, said oil was found flowing at two sites during petroleum field work. "This significant find marks the first documented occurrence of 'live', or flowing, oil from onshore Jamaica and will be of particular interest to oil explorationists focused on Central Ameri ... read more