-Oslo-listed Northern Offshore is cautiously optimistic about market outlook.
M2 EQUITYBITES-June 1, 2011--Oslo-listed Northern Offshore is cautiously optimistic about market outlook(C)2011 M2 COMMUNICATIONS http://www.m2.com
1 June 2011 - Oslo-listed drilling rig operator Northern Offshore Ltd (OSL: NOF) remains cautiously optimistic about a general market improvement on account of the global financial conditions and the continued additions of new drilling rigs, it said today in its first-quarter report.
Demand for rigs is projected to rise on several markets triggered by an upward trend in oil prices, according to Northern Offshore. It expects that exploration and production spending will go on recovering in 2011.
The company also commented that the dropping daily rates of drilling contractors over 2010 led to a stronger cash flow outlook by customers.
Northern Offshore saw its net profit plunge to USD2.4m in the first quarter of 2011 from USD23.2m a year earlier, while revenue declined to USD40.5m from USD68.1m.
(EUR1 = USD1.4)
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|Publication:||M2 EquityBites (EQB)|
|Date:||Jun 1, 2011|
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