Elnusa projects 37 % increase in total revenue in 2011

Indonesian listed firm PT Elnusa Tbk, an integrated oil and gas drilling service provider, is upbeat its total revenue will increase by 37 percent to Rp 5.5 trillion next year from about Rp 4.1 trillion this year thanks to a rise in oil and gas exploration activities during the year.

With the surge in revenue, the company expects operating profits will reach Rp 334 billion (1US$ = Rp 9,000), a 280 percent increase from this year?s operating profit which is estimated to reach Rp 88 billion.

Suharyanto, the company?s president director, said that the sharp increase in operating profits would be possible due to expected improvement in operational productivity and utility of equipments as well as improvement in profit margin.

?The high profit estimate is also supported by improvement in the country?s economic outlook especially in oil and gas exploration activities,? he said in a press statement. He added that revenue from services in exploration activities were projected to grow about 50 percent to about Rp 3.6 trillion from Rp 2.4 trillion this year.

He said that geoscience seismic service was estimated to contribute about Rp 2.1 trillion to the total revenue next year, the downstream service about Rp 1.65 trillion and supporting service for upstream activities to contribute Rp 353 billion.

The firm has bagged a contract worth $131.59 million for oil and gas upstream carry over projects next year, which is part of this year's contract worth $357.58 million.

Suharyanto said that the company planned to invest about $100 million of capital expenditure next year to increase production capacity and operational competence in geoscience services ($35.5 million), drilling services ($9.6 million) and oilfield services ($54.9 million). (godang)