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Halliburton Reports Rise in Q2 Revenue

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Halliburton (HAL), the Texas-based oilfield services major, on Tuesday reported Q2 revenue of $5.71 billion, up from $5.51 billion reported in the corresponding quarter last year.

For the quarter ended June 30, the completion and production segment generated $3.20 billion in revenue, compared to $3.17 billion last year, the company said in its earnings statement.

Revenue improvements in the segment were primarily driven by a rise in Western Hemisphere stimulation activity and an improvement in Asian well intervention services.

The gains were capped by lower specialty chemicals activity in North America, a reduction in Latin American cementing activity, and lower activity across multiple product service lines in the Middle East, the company said.

The drilling and evaluation segment accounted for revenue of $2.51 billion, up from $2.34 billion last year, supported by an increase in drilling-related services in North America, Europe/Africa, and Asia, and higher wireline activity in North America and Europe/Africa.

In Q2, the company reported revenues of $1.3 billion from Middle East/Asia, 2% down sequentially, "primarily driven by lower activity across multiple product service lines in Kuwait, Iraq, and Qatar as a result of the ongoing geopolitical conflict in the Middle East."

However, these losses were partially mitigated by higher well construction activity in Saudi Arabia and the UAE, and higher drilling-related and well intervention services in Asia, the company said.

Earlier on Monday, the company said it has secured a contract from Iraq's Basra Oil Company to execute the development of the Bin Umar and Sindbad oil and gas fields in southern Iraq.

The contract requires Halliburton to provide services related to integrated field management and engineering, procurement, and construction management, with the scope of work including field development planning, production optimization, digital solutions, and EPCM services for the two fields.

Production from the Bin Umar field could reach 150,000 barrels of oil per day and 300 million standard cubic feet of associated gas in the first five-year development phase as per estimations from BOC, which is the owner, operator and decision-making authority for the two assets, the statement said.

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