Helix loss increases, expects improvement in 2H

OE Staff
Wednesday, July 20, 2016

Well intervention focused firm Helix Energy Solutions Group says it is expecting to see an improvement in activity in the second half of the year, after posting a US$10.7 million Q2 loss ($2.6 million loss in Q2 2015). 

The firm said its well intervention revenues increased 30% in Q2 of 2016, compared to Q1, thanks to the start of the Q5000 on contract in the US Gulf of Mexico and a seasonal increase in activity. 

Overall well intervention vessel utilization for the firm in Q2 2016 increased to 54% from 23% in Q1 2016. The Q4000 utilization was 99% in Q2 2016 compared to 100% in Q1 2016. 

The Q5000 utilization was 100% after going on contracted rates mid-May compared to being idle in Q1 2016. In the North Sea, the Well Enhancer utilization increased to 75% in Q2 2016 from 13% in Q1 2016. 

The Seawell was reactivated in early June and utilization increased to 23% in Q2 of 2016 compared to being idle in Q1 2016. The Skandi Constructor was idle the entire quarter and remained warm stacked. The two intervention riser systems were idle in Q2 compared to utilization of 60% in Q1.

Robotics revenues increased 22% in Q2 2016 compared to the Q1 2016. Chartered vessel utilization increased to 61% in Q2 2016 from 52% in Q1 2016, and ROV asset utilization increased to 48% in Q2 of 2016 from 39% in Q1 2016. The increase in revenue and gross profit was driven by increased seasonal activity in the North Sea.

Owen Kratz, president and CEO of Helix, said: “The market remains very weak, but in Q2 we started to benefit from the commencement of the Q5000 contract in the Gulf of Mexico and the seasonal pickup in the North Sea. We expect to see improvement in our financial performance for 2H 2016 compared to 1H of the year driven by the seasonal increase in North Sea activity during the summer and the commencement of the first Petrobras contract in late 2016.”

Categories: Vessels North Sea Europe North America Gulf of Mexico

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