SeaEnergy sails steady course despite oil price

Offshore services group ­SeaEnergy yesterday said that demand remained high across its key markets despite the fall in the oil price.
John Aldersey-Williams said demand for services was highJohn Aldersey-Williams said demand for services was high
John Aldersey-Williams said demand for services was high

In a trading update, the Aberdeen-based company said it was benefiting from the fact many oil operators are looking to reduce costs which was leading to high demand for SeaEnergy’s R2S asset management software.

Chief executive John ­Aldersey-Williams said demand remained high from operators in the UK North Sea, United States and Mexico and the company was continue to see new inquiries from other international markets, including in south-east Asia and the Middle East.

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He said while the company was “alert to potential impacts on our pipeline of business” from the decline in oil prices he added that SeaEnergy had not suffered any project cancellations or deferrals.

The group’s ship management arm is currently managing three vessels with turnover in 2014 significantly higher than 2013.

SeaEnergy also owns a 21 per cent stake in quoted Lansdowne Oil & Gas which has seen its share price fall sharply in recent months. It said it remains confident that Lansdowne will achieve a farm out of its Barryroe discovery off the south coast of Ireland and that a recovery in the share price may lead to an opportunity for SeaEnergy to dispose of its stake.

The company added: “We note that if the Lansdowne share price remains below our carrying value we will be required to make an impairment provision to the asset value of Lansdowne in our balance sheet, with a negative effect on the reported results for SeaEnergy.”

Overall, chairman David ­Sigsworth said the outlook for the company “remains very positive”

“We’re very pleased to have achieved our expectations for 2014, and are looking forward confidently to continuing growth towards sustainable profitability this year and dividends in due course.”

SeaEnergy shares last night closed up 1.75p, or 9 per cent, at 21.5p.