July 23 (UPI) — In announcing gains in second quarter revenue, drilling services company Halliburton said North America is the fastest growing energy market in the world.
Halliburton reported total revenue for the three months ending June 30 of $6.1 billion, up 4 percent from the first quarter and 24 percent higher than the same period in 2017. Of that, operations in North America represented $3.8 billion, a 9 percent increase from the previous quarter. The company attributed growth from North America to increased work onshore in the United States.
“North America had a strong performance this quarter,” Halliburton President and CEO Jeff Miller said in a statement. “This is the largest and fastest growing energy market in the world.”
The company noted that U.S. onshore activity was offset somewhat by reduced activity in the U.S. Gulf of Mexico and in Canada. Total U.S. onshore oil production averaged 10.5 million barrels per day during the week ending July 13, helping put total U.S. output above 11 million barrels per day for the first time ever.
Rival companies Baker Hughes and Schlumberger last week expressed optimism about the market in general, though Schlumberger, the largest company of its kind in the world, noted concern about possible production issues in the United States because of duties on aluminum and steel.
Keith Phillips, a senior economist at the Federal Reserve Bank of Dallas, said Friday there were indications of a slowdown in the region.
“After a very strong pace of job growth in the first half of the year, the economy is likely to decelerate in the second half,” he said in a statement.
Halliburton’s total land rig count, nevertheless, was close to its peak levels from 2014.
Internationally, the company said second quarter revenue was up 4 percent sequentially to $2.3 billion. Gains were realized primarily in Halliburton’s Middle East portfolio.
“Halliburton is better positioned for the international recovery than it has ever been and we are ready to make the most of it,” Miller added.
Companies working in the exploration and production side of the industry are supported by higher crude oil prices. The price for Brent, the global benchmark, is up about 54 percent from this time last year.