High Arctic reports net loss, higher revenue

Sluggish activity in the Canadian oilpatch was countered by a busy drilling year in Papua New Guinea to leave High Arctic Energy Services Inc. (TSX: HWO) with a net loss of $39.6 million for 2008.

Sluggish activity in the Canadian oilpatch was countered by a busy drilling year in Papua New Guinea to leave High Arctic Energy Services Inc. (TSX: HWO) with a net loss of $39.6 million for 2008.

This equated to a loss of 93 cents a share, but was an improvement on the $69.6 million lost in 2007. However, the 2007 figure included significant charges and writedowns.

The Red Deer-based company’s 2008 revenues were $168.5 million, up 30 per cent from the $130.1 generated the previous year. Operations in Papua New Guinea accounted for $91.7 million of last year’s revenues, as compared with $32.1 million in 2007, when High Arctic was active in the West Pacific country for only part of the year.

Revenues from Canadian operations fell $10.8 million, to $53.8 million, last year.

A news release issued by High Arctic said global economic conditions have hurt oil and gas prices, and consequently demand for the company’s services. This situation is expected to continue in 2009, it said, especially in Canada.

“The industry is facing significant headwinds for 2009 and High Arctic is taking proactive steps to reduce its costs to remain competitive,” said Michael Binnion, chairman of the company’s board of directors.

Last year, High Arctic sold more than $29 million in equipment and reduced its debt by $32.5 million. And earlier this month it announced that it had laid off more than 30 office and shop staff, and asked other employees to take pay cuts.

High Arctic provides specialized oilfield equipment and services. It has operations in Alberta, British Columbia and the Northwest Territories, and internationally is active in Asia and Mexico.

Just Posted

Fire investigators comb through industrial fire wreckage looking for answers

Industrial building in north Red Deer was completely gutted in Wednesday morning fire

Time for a central Albertan in cabinet, says chamber of commerce

Central Alberta had no cabinet ministers in last government

Trump Russia probe finally delivers some answers

WASHINGTON — After nearly two years of waiting, America is getting some… Continue reading

Trans Mountain Pipeline deadline extended

OTTAWA — The federal government is delaying a decision on the Trans… Continue reading

WATCH video of Innisfail resident creating the world’s biggest caricature

Watch as Innisfail resident Dean Foster creates the world’s biggest caricature of… Continue reading

CRA’s automatic benefit registrations give retirees reason to file on time

TORONTO — This is the time of year when procrastinators begin to… Continue reading

Study: Genetic test predicts middle-aged obesity risk

NEW YORK — Can a genetic test identify newborns at risk of… Continue reading

Downtown Red Deer Co-op Plaza Food store closing

Central Alberta Co-op is closing its downtown Red Deer Plaza food store… Continue reading

Earth, meet Polo: Ralph Lauren unveils plastic bottle shirt

NEW YORK — Earth, meet Polo. Polo Ralph Lauren on Thursday launched… Continue reading

Statistics Canada reports retail sales rose 0.8 per cent in February

OTTAWA — Statistics Canada says retail sales rose 0.8 per cent in… Continue reading

Inflation rises 1.9% on higher prices for fresh vegetables, mortgage costs

OTTAWA — Canada’s annual inflation was up last month as price pressures… Continue reading

Netflix adds 9.6M subscribers in 1Q as competition heats up

SAN FRANCISCO — Netflix kicked off the year with the biggest subscriber… Continue reading

Liberals find anti-Trudeau sentiment on campaign trail in Prince Edward Island

OTTAWA — When voters in Prince Edward Island go to the polls… Continue reading

Most Read