Archer runs up red ink

Eoin O'Cinneide

 01 March 2013 11:46 GMT

Higher costs and financial items sent drilling outfit Archer deep into the red last year as it also warned of weaker revenues in the first quarter.

The Oslo-listed company ran up a loss of $375.1 million in 2012 as against a loss of $77 million in the previous year.

This was despite revenues climbing from $1.72 billion to $2.07 billion.

Operating expenses soared from $1.87 billion to $2.51 billion while interest expenses were also well ahead of the 2011 total of $46.4 million at $61.5 million.

Archer blamed a drop in rig count and activity in North America where revenues in the fourth quarter along sank over 10%.

The opening three months of this year will see weaker revenues due to a deterioration in pricing and utilisation…

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