French oil service group Technip said today its high-margin subsea work would drive full year profits after seeing strong growth in the sector, including in the North Sea.
Technip said it still expected full year revenue to be between £5.9billion and £6.2billion this year, with £2.6billion and £2.7billion of that in subsea.
This was backed by a record order backlog, at £9.9billion, at the end of the second quarter, after taking in work worth £1.9billion.
Earlier this year, the firm picked up its largest order to date in UK waters – work on BP’s west of Shetland Quad 204 redevelopment.
Technip chief executive and chairman Thierry Pilenko said: “We continue to see strong bidding activity in nearly all our markets, with no impact as yet from either the lower market price of oil or economic issues affecting Europe.
“In subsea, activity was strong across all our regions and revenue jumped almost 50% year-on-year. The North Sea and Asia Pacific were notably strong.”
Second quarter results saw profits rise 1.3% to £105million, on sales up by 23.3% to £1.6billion.
In the UK North Sea, the firm has been working on CNR International’s Gryphon area reinstatement program – the Gryphon floating production vessel is being reinstalled after breaking free in a storm in February last year – and Causeway development.
Off Norway it has been working on ENI’s Goliat field, north of the Arctic Circle in the Barents Sea.
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