Offshore rig operator Seadrill expects soaring profits in the next few years as energy companies venture into difficult waters. Seadrill also attributed the projected increase in profits to the rise in exploration spending to keep up with world demand for oil.
The company made a forecast of more than 50% rise in earnings before interest, tax, depreciation, and amortization (EBITDA) to USD4.5 billion between 2013 and 2016. Shipping tycoon and Seadrill director John Fredriksen's business empire, in recent years, has been aggressively investing and had expected to bolster its fleet with 27 new rigs and drillships by the end of the decade.
Seadrill singled out Mexico, Brazil, and the U.S. Gulf of Mexico as promising business areas. The rig operator's total order backlog stands at USD19 billion.
Seadrill's EBITDA rose 5% to a record USD665 million in the second quarter. This exceeded expected USD631 million in EBITDA. The company also improved its quarterly dividend from USD0.03 to USD0.91, and promised further dividend increases as profits rise.
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