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Wednesday, 11 May 2016

Petroleum services companies face challenges renewing fleets

Petroleum services companies are facing difficulties renewing their fleets in light of a slowdown in operations and reduced services prices driven by lower oil prices. The collapse in oil markets directly affects the petroleum services industry, reducing demand on new contracts by 30-50%, Al Borsa reported. Egyptian Company for Gas Services head of Operations Tarek Shawkat said the oil slump has reduced the price of services, contracts, and rentals by 50%, forcing the company to operate only 24 of 76 vessels. Rashied Maritime Services is considering expanding its operations to outside Egypt to overcome the recession, said head of business development Taha Refaat. (Read in Arabic)

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