COSL Reports Half Year Earnings
China Oilfield Services Limited (stock code: 2883), announced its unaudited operations statistics for the six months ended June 30, 2006.
For the six months ended 30 June 2006, the total number of operating days was 2,224 days, representing a decrease of 54 days, or 2.4%, as compared with the same period last year. Operating days for jack-up rigs and semisubmersibles were 25 days or 1.4% and 29 days or 6.1% less than the same period last year, respectively. The above changes in operating days were mainly due to the upgrading of the jackup "Bohai IV" and semisubmersible "Nanhai VI", which increased the number of maintenance days by 80 days from the same period last year. Average utilization rate in terms of calendar days reached 87.6%, representing a decrease of 2.3% against the same period last year. In terms of available days, average utilization rate increased 0.9% to 100% compared to the same period last year. The Company operated for 6,112 team/days for its well workover business, an increase of 50.1% compared to 4,073 team/days in the same period last year. Such increase was mainly attributable to the growing domestic and overseas business, particularly the addition of 887 team/days from the new Indonesia drilling project.
The Company's first 400' jackup built in the PRC, "COSL 941", was delivered on May 31, 2006, which is scheduled to start operations for CNOOC Ltd. in July in the Pei-pu Gulf to the west of Nanhai. On June 27, 2006, the Company's semisubmersible "Nanhai II" obtained a drilling contract with Genting Oil & Gas Limited ("GOGL"), a Malaysian firm. Pursuant to the contract, "Nanhai II" was towed to the Natuna Sea of Indonesia from Singapore at the end of June and commenced operation on July 2, 2006.
During the period, operating datum of well services for which the Company provided logging, drilling fluids, directional drilling, cementing and well completion services were 350, 169, 101, 135 and 656, respectively. Apart from a slight decrease of 2.9% in the operating datum of drilling fluids operations, all other service segments grew by 2.3%, 6.3%, 10.7% and 29.1% over the same period last year, respectively.
The Company's marine support and transportation business operated for a total of 11,632 days, an increase of 188 days or 1.6% as compared with the same period last year. Average utilization rate in terms of calendar days reached 94.5%, posting an increase of 1.4% as compared with the same period last year.
In respect of geophysical services, the increase in overseas operations led to the increase in the Company's 2D seismic data collection services as compared to the same period last year. The Company recorded an increment of 44.9% in 2D seismic data collection, reaching 30,229 km and a decrease of 29.3% in data processing operations. The 3D seismic data collection business performed well in the second quarter, leading to a significant increase in 3D seismic data operations. The collection and processing of 3D seismic data increased by 56.6% and 77.3%, respectively, as compared with the same period last year.
Mr. Yuan Guangyu, CEO and President of COSL, said, "As reflected in the operational data for the first half of the year, the Company continued to benefit from the strong global demand for oil and gas mining, and the development of all business segments is in line with the Company's strategy. We remain optimistic about the Company's full-year results."
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- COSL Completes its First Exploration Assignment in the Far East (Aug 08)
- COSL Appoints Qi Meisheng as CEO and President, Replaces Li Yong (Jun 16)