Offshore shares driving the Oslo market
Share prices in Oslo rose in August for ments for 7 out of 8 months so far this ping Index was a little behind with a 1.4 the sixth consecutive month, and can year. While the All Share Index gained percent increase. Shipping and Offshore thus show for positive share price move- another 2.4 percent in August, the Ship- shares are up 43.2 percent for the year. The oil price continued to rise in August. For the first time since October 1997 North Sea oil for immediate delivery (Brent spot) was traded at more than USD 21 per barrel, doubling the oil price since January.
Oil-related shares are obediently following the oil price with the value of offshore shares on the Main List rising 11 percent in August after the July rise of 20 percent. TGS Nopec (TGS), Det S0ndenfjeldske (SFJ) and Fred. Olsen Energy (FOE) all added more than 17 percent to their value in August. Three offshore shares, all on the SMB List, fell dramatically more than the rest of the offshore segment during the month. Petrolia Drilling (PDR), performed the worst with a drop of 19 percent following the publication of second quarter results. Also Havila Supply (HAV) and Ocean Rig (OCR) fell more than 10 percent for the period.
Shipping shares could not keep pace with the offshore sector during August, but Bergesen (BEA and BEB) performed well with a rise of more than 7 percent in its class A shares and 6.5 percent in its class B shares. Swan Reefer (SWR) rose all of 20 percent, but the share was traded in very thin volume during August.
The market reacted negatively to the second quarter results of Jinhui Shipping and Transportation (JIN), sending its share price down by more than 11 percent for the month. Physical damage to one of the cruise ships of NCL Holding (NCL) following a crash with a container ship contributed to a fall of 5 percent in its share. Also Frontline, the tanker company, fell by just over 4 percent. Bona Shipholding (BSH) was delisted on August 25 following the merger with Northwest Maritime Inc., a subsidiary of Teekay Shipping Corporation.
