French oil services company Bourbon said on Sept. 8 that any rebound in oil and gas prices will take a while to reach companies in the offshore marine sector because of deep cuts in investments during the prolonged oil downturn.

Bourbon, whose fleet of about 513 vessels provides offshore services for oil and gas companies, said its net loss in first-half 2016 widened to 104.3 million euros (US$117 million) compared with a net loss of 19.2 million in first-half 2015.

Adjusted revenues fell 21% to 599.2 million compared with first-half 2015, the company said.

“After the drastic reduction of the level of investments of oil and gas companies over the past couple years, oil producers are now thinking of the future, particularly to maintain their level of production in the medium term,” the company said.

“However, the inevitable rebound in activity will take some time to reach offshore marine services,” it said in a statement, adding that deepwater and shallow-water segments of the industry will continue to be affected by overcapacity of vessels.

Bourbon said a rebalanced demand and supply outlook for the oil market in 2017 will have a positive effect on the company.

—Staff & Reuters Reports

Offshore