Oil price exposure

We are relatively well positioned to succeed in a sustained period of lower oil prices.

Our year-end backlog gives us excellent revenue visibility for 2017. Furthermore, our operations are focused in geographies with lower production costs and the majority of our revenue comes from NOCs who tend to be less sensitive to oil price volatility and more inclined to make long-term strategic investments in their assets. We continue to see a good pipeline of bidding opportunities in our core markets.

Of course, with fewer opportunities available globally, we are facing greater competitive intensity in some of our core markets.

Our direct exposure to oil price fluctuations is limited to our equity upstream investments within IES.