Last checked at 25 Aug 2022 07:01
For Immediate Release | 25 August 2022 |
Hunting PLC
("Hunting" or "the Company" or "the Group")
Trading Update
Hunting PLC (LSE:HTG), the international energy services group, provides an update to trading, alongside its 2022 Half Year Results which have been issued today.
The Group is pleased to announce that strong progress continues to be made in building its forward sales order book, which provides further visibility on revenue and earnings for the balance of 2022 and into 2023.
In August 2022, Hunting's Asia Pacific operating segment won an Oil Country Tubular Goods ("OCTG") contract that management estimates to be worth up to $86 million with CNOOC for an offshore project in China. The order will be completed between August 2022 and June 2023 and will utilise Hunting's proprietary SEAL-LOCK XDTM premium connection. Purchase orders have been received in August 2022, with the Group needing to purchase OCTG raw material in H2 2022 which will increase working capital by c.$30 million. This order is the largest single order for Hunting's OCTG and premium connections in the Group's recent history, and underpins the positive market sentiment globally. Further, the revenue from this order will be recognised in 2023, as shipments commence.
In August 2022, the Group's Subsea Spring business, which forms part of the North America operating segment, also secured further orders for its titanium stress joints for Beacon Offshore Energy's Shenandoah development in the Gulf of Mexico. This order extends the business' good run of wins for global offshore developments since Hunting acquired the business in 2019.
The Board notes that Hunting's sales order book now exceeds c.$400 million which represents a near doubling since 31 December 2021, demonstrating that the global energy industry continues to strengthen following the COVID-19 pandemic.
Commenting on trading, Jim Johnson, Chief Executive, said:
"The CNOOC order is a fantastic result for our Asia Pacific segment and demonstrates the commitment of our business teams in Singapore and Wuxi, China, to capture new opportunities as the global energy industry continues its recovery. The new business wins at our Subsea Spring business also shows that Hunting's portfolio of products are in strong demand."
For further information, please contact:
Hunting PLC Jim Johnson, Chief Executive Bruce Ferguson, Finance Director
LON.IR@hunting-intl.com
| Tel: +44 (0) 20 7321 0123 |
Buchanan Ben Romney Jon Krinks | Tel: +44 (0) 20 7466 5000 |
Notes to Editors:
About Hunting PLC
Hunting PLC is an international energy services provider to the world's leading upstream oil and gas companies. Established in 1874, it is a premium listed public company traded on the London Stock Exchange. The Company maintains a corporate office in Houston and is headquartered in London. As well as the United Kingdom, the Company has operations in China, Indonesia, Mexico, Netherlands, Norway, Saudi Arabia, Singapore, United Arab Emirates and the United States of America.
The Group reports in US dollars across four operating segments: Hunting Titan; North America; Europe, Middle East and Africa ("EMEA") and Asia Pacific.
Hunting PLC's Legal Entity Identifier is 2138008S5FL78ITZRN66.