Schlumberger Profit Up 64 Percent: Oil Services Industry Can't Keep Up With Demand -- Profits Should Grow Rest of Year -- Bakken, North Dakota, USA

Link here.

Gould said it will be a continuing challenge for the company "to supply both the North American and international markets with the required equipment and people." That's means profits will be up even more this year. Increased drilling activity usually benefits oil service companies by boosting the amount they can charge for rig equipment and other services.

Another link here.

“The continued strength in drilling liquid-rich plays in North America coupled with an acceleration in drilling both in exploration and development internationally, will put considerable strain on the ability of the service industry to meet activity levels,” Andrew Gould, Schlumberger’s chief executive officer, said in the statement. 

The quarter was helped by strong activity in North America at a time when overseas was faltering (Libya, other Mideast locations) but now those overseas locations are coming back (not Libya, yet). And remember, as good as North America was this quarter, it was impacted greatly by very bad weather.

“They’ve seen margin contraction internationally while margins have actually risen pretty dramatically in the U.S.”


The company said bad weather in the northwestern U.S. and Canada was offset by increased drilling on land and in deep waters, including renewed interest in the Gulf of Mexico.