Latest news from Heavy Lift & Project Forwarding International Magazine

Entrec reports revenue uptick

Entrec Corporation has reported a year-on-year revenue increase for 2019, thanks to organic growth in the USA and the acquisition of Capstan Hauling in October 2018.

Higher activity levels in North Dakota, Colorado and Wyoming, along with improved pricing, were the largest drivers of growth in the USA, said Entrec. Offsetting the majority of this growth, however, was a revenue decline in Texas as the company stopped providing lump-sum rig moving services in the Permian Basin during the first quarter of 2019.

For 2020, Entrec’s outlook for its US business is positive. However, the recent sharp decline in crude oil prices precipitated by the coronavirus outbreak and OPEC trade war has caused significant uncertainty for the oil and gas industry. “At this stage, it is too early to tell what impact the decline in crude oil prices may have on activity levels in the oil and gas industry in 2020,” said Entrec.

In Canada, excluding the impact of the Capstan acquisition, the company experienced very poor operating results due to a number of negative macroeconomic factors. These included pipeline constraints, which have contributed to significant discounts in the market price for the oil produced in western Canada compared with other jurisdictions, as well as rising carbon taxes and increasing regulatory requirements to achieve government approvals for large industrial projects.

Entrec explained: “The downward pricing momentum experienced at the end of 2018, along with activity being restricted by limited takeaway capacity and production curtailments, resulted in oil and gas companies reducing their capital expenditures and drilling programs in 2019.”

Looking ahead, Entrec said it is cautiously optimistic about its business in Canada. The company added that it is seeing signs of increased capital spending by its customers in the oil and gas sector. Maintenance, repair, and operation (MRO) work in the Alberta oil sands region also represents a growing market.

Heavy Lift | News

Projects and investments curtailed thumbnail image

Projects and investments curtailed

March 25 - There is uncertainty as to how Covid-19 will affect the project logistics sector in the long-term, but initial indicators are ominous given recent statements made by leading project developers around the world.
Views: 1168
Covid-19 tightens global grip thumbnail image

Covid-19 tightens global grip

March 24 - When China sneezes, the world turns to its sick bed. Although China is now in the recovery position and regaining strength, the rest of the world is battening down the hatches.
Views: 1304
EBRD makes initial Covid-19 impact assessment thumbnail image

EBRD makes initial Covid-19 impact assessment

March 20 - Covid-19 will have a negative impact on economies across all European regions but the recovery could be robust once the outbreak is contained, according to the European Bank for Reconstruction and Development (EBRD).
Views: 1030

Heavy Lift Across The World

Discover heavy lift and project logistics industry news from around the world by region.