Essar Oilfield Services, the Mauritius-based subsidiary of the India-listed Essar Shipping Ltd has reported a net profit of Rs 85.39 crore in Fy13 as against a net loss of Rs 71.13 crore in FY12.
The company said that its revenues shot up by 44% to Rs 678.35 crore in the year ended March 31, 2013 as against Rs 416.44 crore in FY12. Pure earnings, or EBITDA, too, rose by 70%, at Rs 438.41 crore. For the fourth quarter ended March 31, 2013, its revenues and and EBITDA stood at Rs 165.9 crore and Rs 96.9 crore, respectively.
Ankur Gupta, CEO, Essar Oilfield Services Business, said, "The Oilfields business has shown strong performance on all fronts – our assets are operating with the highest standards of safety and performance, leading to a substantial increase in revenue and profits. The business has been positively impacted by increased utilisation of Essar Wildcat rig at increased day rates and better deployment of land rigs, both in conventional Oil and Gas markets as well as the unconventional CBM (Coal Bed Methane) markets."
Essar Shipping has been stressing in the past that its oilfields services business will be a major revenue generator for the company. Essar Shipping will be announcing its fourth quarter and full-year results on May 28, 2013.
Essar Oilfield provides contract drilling and related services to the oil and gas sector worldwide. The company operates in both onshore and offshore activities. It has 15 rigs, out of which 14 are onshore rigs and one is semi-submersible.
The company said that currently it has contracts worth close to Rs 690 crore and an operating asset base of over Rs 3000 crore.
