Velesto seen loss-making in next two years

TheStar Thu, Apr 30, 2020 09:50am - 5 years View Original


Maybank IB said the rigs market segment would inevitably suffer from the current oil crisis, which has led to an austere cut in offshore capex.

PETALING JAYA: Velesto Energy Bhd is expected to be loss-making in the next two years as it faces disruption to its operations following cuts in capital expenditure by oil companies in a cyclical downturn.

Velesto is the largest jack-up drilling rig operator by fleet size locally.

Maybank IB said the rigs market segment would inevitably suffer from the current oil crisis, which has led to an austere cut in offshore capex.

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