Halliburton announced on Monday that its total revenue for the fourth quarter of 2021 was $4.3 billion compared to revenue of $3.9 billion in the third quarter of the year.
The company said in its drilling and evaluation division, revenue was US$1.9 billion—an increase of 11 percent—while operating income was US$269 million or a 45 percent increase, fueled in part by its operations in the new oil producing country of Guyana where it is providing oilfield services to U.S. oil major ExxonMobil.
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“These results were due to increased drilling-related services globally, wireline sales in Guyana, improved project management activity in Ecuador and India, increased wireline activity in the Middle East/Asia region, and higher software sales in Latin America and Middle East/Asia,” said Executive Vice President & Chief Financial Officer, Lance Loeffler.
Partially offsetting these increases were decreased project management activity and testing services in Mexico as well as lower drilling-related activity in Russia.
In North America, revenue increased 10 percent. This increase was primarily driven by higher pressure pumping activity and drilling-related services in North America land, in addition to higher completion tool sales and fluid sale services in the Gulf of Mexico. These increases were partially offset by reduced stimulation activities in Canada and the Gulf of Mexico, coupled with reduced artificial lift activity in North America land.
Turning to Latin America, Loeffler said revenue increased seven percent sequentially. “This improvement was driven by higher project management activity in Ecuador, increased drilling-related services in Mexico, increased activity across multiple product service lines in Brazil, wireline sales in Guyana and higher activity across multiple product service lines in Columbia.”
The company said reported operating income was $550 million in the fourth quarter of 2021 compared to reported operating income of $446 million in the third quarter of 2021. Reported operating income of $550 million in the fourth quarter of 2021 increased 20% compared to adjusted operating income of $458 million in the third quarter of 2021, excluding special items.
The oil field service company has been steadily expanding its activities in Guyana which has seen the establishment of state-of-the-art facilities, including one of the largest mud plants in the hemisphere, and expansion of its local workforce.
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The company has been providing various drilling and completion services in Guyana, all of which were initially supported from neighbouring Trinidad and Tobago. It has developed what it describes as ‘an early ambitious plan’ to migrate the support structure for these services to Guyana to enhance operational efficiency and reliability over the long term.
