The Chief Executive Officer of Caverton Offshore Support Group Plc (COSG), Mr. Bode Makanjuola has said the company would continue to focus on cost efficiency without comprising safety as strategy to survive the current challenging business environment. He stated this while speaking against the backdrop of the company performance for the financial year ended December 31, 2015.
The company, which is a provider of marine, aviation and logistics services to local and international oil and gas companies in Nigeria, recorded a revenue of N23.2 billion in 2015,showing a decline of seven per cent from N24.9 billion in 2014. Profit after tax stood at N988 million compared with 979 million in 2014.
Commenting on the results, Makanjuola said: “The slide in oil prices with the resultant reduction of activities by international and local oil and gas companies continue to impact the service sector of the industry. Whilst we had new support contracts signed during the year, we have had reduction in the work scope and rate of existing contracts.”
According to him, part of the strategy to weather the current challenging business environment is to continue to focus on cost efficiency without compromising on our safety standards.
“The implementation of our strategy to increase service offerings is ongoing as we have commenced construction of the Maintenance, Repair and Overhaul facility in Ikeja Lagos. We will also continue to explore other innovative solutions in support of deep and shallow water operations in both marine and aviation business,” he said.
Explaining some of the developments in the company during the year under review, the CEO said Capt. Josiah Choms, who is the managing director of Caverton Helicopters Limited and Mrs. Titilola Adigun, who is the group chief financial officer were appointed as board members of the Board of COSG.
“In the year in review, we successfully signed on four new key clients in our helicopter operations.gl We also commenced construction of Maintenance Repair and Overhaul (MRO) facility,” he said.
COSG is consolidation of Caverton Marine, one of the fastest growing indigenous shipping companies, which commenced which operations in 1999 and Caverton Helicopters a helicopter charter, sales and maintenance company that was established in 2002.
Both companies were consolidated to form COSG with focus and primary business on the provision of logistics and environmental support services to oil and gas fields with broader plans to support energy operations along the West African shelf as well as other ancillary support services.