Schlumberger Ltd. expects the drilling rig count in the U.S. Gulf of Mexico (GOM) to return to pre-Macondo levels later this year, CEO Paal Kibsgaard said Friday. However, North America’s onshore rig count is forecast to be flat, with more oil-directed rigs compensating for fewer rigs primarily drilling for gas.

Kibsgaard discussed the Houston-based operator’s fourth quarter and full-year 2011 results, as well as the outlook for 2012, during a conference call with energy analysts.

Schlumberger earned $1.49 billion in 4Q2011, which was 13% higher sequentially and 28% above 4Q2010’s profits. Excluding charges and credits earnings were $1.11/share versus 98 cents in 3Q2011 and 85 cents in 4Q2010. Revenue in the final three months of 2011 reached $10.97 billion, compared with $9.07 billion in the year-ago period. Full-year income from continuing operations, excluding one-time charges, totaled $4.97 billion versus $2.86 billion in 2010.

“We see continued recovery in North America’s Gulf of Mexico and strong demand for high technology services,” Kibsgaard told analysts. “The growth in deepwater activity favors Schlumberger.”

The final quarter of 2011 was the first time since the Macondo well blowout in the GOM deepwater that Schlumberger has reported strong growth, the CEO noted. Schlumberger now is forecasting that “roughly a rig a month” will move to the GOM deepwater through 2012, which would put the region above “pre-Macondo levels by the later part of 2012.”

4Q2011’s results were “the first quarter where Gulf of Mexico margins were accretive” since the deepwater moratorium, said Kibsgaard. “Obviously, the focus was on multi-client sales…and they were quite strong. We had strength on the deepwater side for well operations, wireline and our drilling segment. We are quite optimistic for the outlook in the Gulf of Mexico on market share and in addition to how we leverage our high-end technology. We see steady growth in the deepwater rig count during 2012…”

Asked if producers and operators were taking a more “conservative approach” to drilling in deepwater, Kibsgaard said he thought “operations are more thorough than they were in the past.

“It’s not a dramatic change in how business is conducted because that’s always a lot of the focus. Now, though, we see somewhat more double, triple testing. Our position in the Gulf of Mexico, given the focus that we have had now for years, is even stronger than pre-Macondo. We’re quite optimistic for the market outlook and how it will weigh on North American performance.”

The deepwater market is seeing “competitive pricing for large contracts that are unique to high-end technology,” said the CEO.

In the North American onshore markets, low natural gas prices have reversed the drilling trend, he said. The oilfield services market hasn’t been negatively impacted because while operators have dropped their gas-directed rig number, they’ve increased their drilling focus on liquids and oil.

“North America land revenue grew in line with the rig count while performance improved through asset deployment and crew efficiency,” said Kibsgaard. “Pricing momentum in our Wireline and Drilling product lines continued, though the trend slowed somewhat versus the prior quarter.”

There is some “uncertainty” for oilfield services in 2012 because of the sovereign debt crisis in Europe, “which places downward pressure on [gross domestic product] and oil demand forecasts,” said the CEO.

“Natural gas markets are well supplied in North America with gas storage well above five-year highs. In this environment, the thin excess oil supply cushion is expected to support oil prices close to current levels, while global demand for LNG [liquefied natural gas] continues to increase. Recent exploration and production [E&P] customer spending forecasts also point to higher E&P investment in 2012, particularly in international markets.

“Against this backdrop we are planning for growth in 2012, while building the required flexibility into our resource plans. We remain confident that any potential reductions in activity will be short-lived and that our competitive position remains strong, given our presence and strength in the international markets and the balance we have established between reservoir characterization, drilling and production services in our North America offering.”

Schlumberger’s guidance for 2012 capital spending is $4.5 billion, which would be 12.5% above 2011.

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