The offshore industry for 2D seismic surveys is seeing increasing competition from 3D vessels, according to Norway's SeaBird Exploration.
SeaBird said that its niche 3D seismic market is still to recover, with tender activity remaining below historical market levels. Meanwhile, overall 2D market activity has moderated, which the firm said would negatively affect its third quarter.
The company added that pricing in all segments and regions has generally remained firm but that it also believes that the current market situation may have a negative impact on pricing in the second half of the year. Meanwhile, multi-client "late sales" have been slower to materialize and securing pre-funding for new projects has been taking longer.
Despite the cautious outlook, SeaBird reported that revenues for the three months to July 31 increased 19 percent to $44.7 million compared to 2Q 2013 and it noted that these revenues were up 33 percent relative to 1Q 2014. Profit at the EBITDA level was $12.6 million, compared to $3.1 million for 2Q 2013 and $10.2 million for 1Q 2014.
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