Halliburton Company HAL is expecting multiple years of growth in domestic and international demand for oil drilling, according to According to a Reuters report.
The oil company posted a 41% sequential increase in second-quarter profit.
Why Miller Says Oil Demand Will Increase: CEO Halliburton Jeff Miller told analysts during a conference call that, “Post-pandemic economic expansion, energy-security requirements and population growth will continue to drive demand,” as reported by Reuters.
In Halliburton's July 19 press release, Miller said he expects domestic oil production to maximize value and steadily grow, while international markets should experience a multiyear upcycle more than ever before.
Miller said issues such as political agendas and insufficient investments have made it more difficult to stabilize energy prices, causing a further increase in global oil prices, the Tuesday report said.
Related Link: Halliburton Clocks 37% Revenue Growth In Q2
Oil And Geopolitical Issues: While the Nord Stream pipeline is closed until July 21 for maintenance, the European Union is dealing with energy shortages as some countries like Germany move to ration and store excess supply.
A heat wave is blanketing Europe, as the United Kingdom reported record breaking scorching temperatures of 102.4 degrees Tuesday, according to USA Today.
The Final Word: With the demand for oil and gas rising as geopolitical issues such as the Russia-Ukraine War and climate change worsen, many companies such as Halliburton are expecting years of necessary oil demand.
According to the Washington Examiner, oil and natural gas drilling rigs are up 56% in the past year as the U.S. has added some 272 oil rigs, with a total of 750 operational drilling rigs as of July 1, 2022.
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