Wood Group sees weaker start to 2017 than hoped

Wood Group stressed that full-year trading expectations remained 'broadly unchanged'. Picture: Contributed
Wood Group stressed that full-year trading expectations remained 'broadly unchanged'. Picture: Contributed
Share this article
0
Have your say

Aberdeen oil services business Wood Group has flagged “weaker than anticipated” trading in the new financial year.

The company told investors at its AGM that although activity levels in new offshore projects in some areas had improved, that was “more than offset by weaker activity elsewhere” including the North Sea.

• READ MORE: Wood Group earnings hit by tough oil and gas market

However, it stressed that full-year trading expectations remain “broadly unchanged” and said it was seeing the benefit of structural cost reductions achieved in 2016.

Own an innovative start-up? Find out how to win £5,000 for your business

Wood also said yesterday that it had secured a new framework agreement to provide study engineering for North Caspian Operating Company’s (NCOC) offshore and onshore asset portfolio in Kazakhstan.

200 Voices: find out more about the people who have shaped Scotland

The contract, for an disclosed sum, extends its relationship with NCOC, through which it is already holds a multi-year engineering, procurement and construction contract supporting its Kashagan operations via its joint venture PSN KazStroy JSC.

Click here to ‘Like’ The Scotsman Business on Facebook