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O&M sector could take beyond two years to recover: UOBKH

Broker's Calls

O&M sector could take beyond two years to recover: UOBKH

Jeffrey Tan Published on Mon, Jun 29, 2020 / 1:06 PM GMT+8

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SINGAPORE (June 29): The offshore and marine (O&M) sector, which has experienced a prolonged downturn since the 2014 crash in crude oil prices, is unlikely to see a recovery any time soon.

Instead, it could take more than two years for the O&M sector to recover, as the industry fundamentals continue to remain depressing, according to UOB KayHian.

While crude oil prices have recovered from the recent crash in April, oil demand is likely to remain weak, warns the brokerage.

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