Schlumberger Limited has announced that it plans to reduce its activity in Venezuela to align operations with cash collections as a result of insufficient payments received in recent quarters and a lack of progress in establishing new mechanisms that address past and future accounts receivable.
Schlumberger is grateful for the efforts of its main customer in the country to find alternative payment solutions and will remain committed to supporting the Venezuelan exploration and production industry. However, Schlumberger is unable to increase its accounts receivable balances beyond their current level.
Activity levels will be reduced over the current month and will be made in close coordination with all customers in Venezuela to continue servicing those customers with available cash flow, while allowing for a safe and orderly wind down of operations for others.
Additionally, Schlumberger reaffirms its first-quarter revenue guidance of approximately US$6.5 billion.
Adapted from a press release by Louise Mulhall
Read the article online at: https://www.oilfieldtechnology.com/drilling-and-production/14042016/schlumberger-issues-venezuela-operations-update/