On 15 May, Medserv plc published an interim Directors’ statement updating the market on its performance during the first quarter of 2015.
During the period under review, the Company continued to meet its targets both in regard to turnover and profit margins. In Malta, the Company’s offices, warehouses and open storage areas continue to be almost fully utilised. The announcement further explained that the Malta base remains very busy servicing exploratory and production projects offshore Libya which include the further development of the Bahr Essalam field which are expected to take 2 to 3 years to complete. Furthermore, the previously announced maintenance contract relating to offshore Libya has commenced and the performance in this respect is on target. The Malta base is also benefiting from the relocation of the Libyan operations of several international oil companies and service providers to the Malta base.
The rig drilling offshore Cyprus has been withdrawn for planned maintenance which is expected to last some months. As such, the 24/7 work basis on the Cypriot base is no longer required and therefore has necessitated making a number of employees temporarily redundant until full-time operations restart. Nonetheless, the Company will continue to generate revenue from the Cypriot base facilities.
Meanwhile, the Misurata base remains dormant but the Tripoli office is very active in managing a number of administrative contracts.
In conclusion, the Directors noted that the Company continues to actively search for additional opportunities both in the Mediterranean region and further afield including possible acquisitions.
In a separate announcement, Medserv plc published an updated Financial Analysis Summary dated 15 May 2015. The update includes an explanation of the variances between the 2014 actual and forecasted figures as well as revealing forecasts for the current financial year ending 31 December 2015.