NEW YORK: Schlumberger Ltd, the world’s No.1 oil field services provider, said there were early signs of recovery in industry activity in most parts of the world, as oil prices stabilize after a two-year slump.
The company, which derives more than three-fourths of its revenue from international operations, had called the bottom of the recent downturn in the second quarter.
“The only place where we don’t see any signs of recovery at this stage is in Asia,” CEO Paal Kibsgaard said on a post-earnings call. The company does not see “signs of any imminent activity recovery” in China, Indonesia and the rest of Southeast Asia.
Schlumberger said it expects “solid growth” in the Middle East and Russia in 2017 on a full-year basis, adding there was an uptick in investment and activity in Latin America, Europe and Africa.
However, the rise in Latin America, Europe and Africa is unlikely to be significant on a full-year basis, the company said.
Schlumberger reported a quarterly profit that topped analysts’ average estimate on Thursday, helped by cost cuts and a ramp up in drilling activity in North America.
With global crude oil prices up nearly 38 percent this year, producers are putting rigs back to work, particularly in North America.
But, Schlumberger said there were no “material movements” on pricing during the quarter. “It is critical for us to recover the large pricing concessions we have made over the past two years,” Kibsgaard said on the call, adding that the recent increase in oil prices had strengthened its negotiations with customers.
The company said it was also working to tackle payment delays.
With activity recovering, Schlumberger said it would allocate investments, capacity and expertise to contracts that meet its financial return expectations.
One area the company is looking to gain market share is in drilling onshore North America.
The company said demand for its high-end drilling technologies had taken off with more oil companies looking to drill longer laterals, or so-called “super laterals.”
Oil producers, in a bid to boost production without increasing spending, are fracking more intensively by pumping higher amounts of fluid and sand, fracking more stages and drilling deeper and longer.
However, Schlumberger warned that the fracking market continued to be oversupplied with a “large number of very hungry players.”
Schlumberger’s shares were down 1.5 percent at $81.71 in morning trade on Friday. Oil prices were on track for their first weekly loss in five weeks due to a strong dollar.
Top oil field services provider Schlumberger sees early signs of recovery
Top oil field services provider Schlumberger sees early signs of recovery
First EU–Saudi roundtable on critical raw materials reflects shared policy commitment
RIYADH: The EU–Saudi Arabia Business and Investment Dialogue on Advancing Critical Raw Materials Value Chains, held in Riyadh as part of the Future Minerals Forum, brought together senior policymakers, industry leaders, and investors to advance strategic cooperation across critical raw materials value chains.
Organized under a Team Europe approach by the EU–GCC Cooperation on Green Transition Project, in coordination with the EU Delegation to Saudi Arabia, the European Chamber of Commerce in the Kingdom and in close cooperation with FMF, the dialogue provided a high-level platform to explore European actions under the EU Critical Raw Materials Act and ResourceEU alongside the Kingdom’s aspirations for minerals, industrial, and investment priorities.
This is in line with Saudi Vision 2030 and broader regional ambitions across the GCC, MENA, and Africa.
ResourceEU is the EU’s new strategic action plan, launched in late 2025, to secure a reliable supply of critical raw materials like lithium, rare earths, and cobalt, reducing dependency on single suppliers, such as China, by boosting domestic extraction, processing, recycling, stockpiling, and strategic partnerships with resource-rich nations.
The first ever EU–Saudi roundtable on critical raw materials was opened by the bloc’s Ambassador to the Kingdom, Christophe Farnaud, together with Saudi Deputy Minister for Mining Development Turki Al-Babtain, turning policy alignment into concrete cooperation.
Farnaud underlined the central role of international cooperation in the implementation of the EU’s critical raw materials policy framework.
“As the European Union advances the implementation of its Critical Raw Materials policy, international cooperation is indispensable to building secure, diversified, and sustainable value chains. Saudi Arabia is a key partner in this effort. This dialogue reflects our shared commitment to translate policy alignment into concrete business and investment cooperation that supports the green and digital transitions,” said the ambassador.
Discussions focused on strengthening resilient, diversified, and responsible CRM supply chains that are essential to the green and digital transitions.
Participants explored concrete opportunities for EU–Saudi cooperation across the full value chain, including exploration, mining, and processing and refining, as well as recycling, downstream manufacturing, and the mobilization of private investment and sustainable finance, underpinned by high environmental, social, and governance standards.
From the Saudi side, the dialogue was framed as a key contribution to the Kingdom’s industrial transformation and long-term economic diversification agenda under Vision 2030, with a strong focus on responsible resource development and global market integration.
“Developing globally competitive mineral hubs and sustainable value chains is a central pillar of Saudi Vision 2030 and the Kingdom’s industrial transformation. Our engagement with the European Union through this dialogue to strengthen upstream and downstream integration, attract high-quality investment, and advance responsible mining and processing. Enhanced cooperation with the EU, capitalizing on the demand dynamics of the EU Critical Raw Materials Act, will be key to delivering long-term value for both sides,” said Al-Babtain.
Valere Moutarlier, deputy director-general for European industry decarbonization, and directorate-general for the internal market, industry, entrepreneurship and SMEs at European Commission, said the EU Critical Raw Materials Act and ResourceEU provided a clear framework to strengthen Europe’s resilience while deepening its cooperation with international partners.
“Cooperation with Saudi Arabia is essential to advancing secure, sustainable, and diversified critical raw materials value chains. Dialogues such as this play a key role in translating policy ambitions into concrete industrial and investment cooperation,” she added.
