Bourbon Offshore predicts market bottom

French offshore marine services company Bourbon Offshore has released its latest results today and believes the sector has hit the bottom of the market.

“The bottom of the market in the subsea segment was reached in Q1 2016”, Bourbon says, with the improvement in utilisation rates during the second quarter expected to continue.

On the crew boat segment, Bourbon says that the bottom was hit during the second quarter, and there will be improvements going forward due to reduced helicopter activity for cost savings purposes and an increase of activity in production of existing fields.

Lastly, in the deep and shallow water sectors Bourbon says the bottom of the market will be reached in this third quarter “due to the late cyclical nature of this business.”

Bourbon’s optimism however comes at a time when global oil prices are taking another nosedive, hitting $40 a barrel again. The company posted revenues of €599.2m ($671.3) for the first half of 2016, down 21% year on year.

Grant Rowles

Grant spent nine years at Informa Group based in London, Sydney, Hong Kong and Singapore. He gained strong management experience in publishing, conferences and awards schemes in the shipping and legal areas, working on a number of titles including Lloyd's List. In 2009 Grant joined Seatrade responsible for the commercial development of Seatrade’s Asia products. In 2012, with Sam Chambers, he co-founded Asia Shipping Media.
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