Compressco Sees Pressure from Low Gas Prices
Tuesday, February 28, 2012
Compressco Partners LP said low natural gas prices in North America will limit its growth through the first quarter of 2012.
The Oklahoma City, Oklahoma, U.S.A.-based company provides wellhead compression and other production services to oil and gas companies in the United States, Canada, Mexico and overseas.
It reported that fourth quarter 2011 earnings before interest, taxes, depreciation and amortization (EBITDA) were US$7.2 million and net income was US$3.1 million, compared to US$6.9 million and US$0.2 million, respectively, in the corresponding period of 2010. For the full year, EBITDA was US$26 million and net income was US$7.2 million, versus US$29 million and US$1.6 million in 2010.
Compressco said its fourth quarter results reflected increased compressor unit sales and better service fleet use in both domestic and international markets. It said much of its sales were for customized packages sold under large, ongoing purchase programs and sales would decline in 2012.
It operated an average of 2907 compressors in the fourth quarter, versus 2717 units in the last period of 2010.
For more information: www.compressco.com