Medserv has reported a healthy profit for the first six-month period of 2013, as well as additional prospective opportunities to strengthen its internationalis-ation plan announced last year.

The Group registered a profit before tax of €566,485 compared to a loss of €680,589 sustained in the six-month period to June 30, 2012. After accounting for taxation the net profit for the period to June 30, 2013 amounted to €504,450 compared to a profit of €9,765 for the six-month period ended June 30, 2012. No interim dividends were recommended.

The Medserv Group’s results for the first half of the year are in line with forecast, with turnover substantially higher than that of the comparative six-month period, reflecting the continuing resurg-ence in turnover which commenced in the second half of 2012. The Group’s turnover for the six-month period ended June 30, 2013 amounted to €3,703,489 compared to €2,545,888 registered in the comparative period to June 30, 2012, representing an increase of 45 per cent.

The Group reports that the Malta base has been busy with a number of new types of engineering operations in addition to the more normal activities found on the base, tied to continued prepar-ation by oil companies for upcoming projects in the Mediterranean particularly offshore Libya. The recently-set-up maintenance unit has now successfully completed its second major maintenance contract in Libya and further work has been obtained for the second half of the current financial year. The specialised procurement team has also obtained substantial business from new customers and this is expected to increase.

The specialised procurement team has obtained substantial business from new customers

The Misurata base is showing gradual signs of returning to operations. Medserv Misurata has tendered for an offshore drilling operation for a French company and a response is awaited. However, the company reports that the directors remain cautious.

Developments in Cyprus have continued. Medserv Cyprus has now been awarded a licence to operate out of the port of Larnaca, in addition to the licence already granted in Limassol.

“It is likely that the Larnaca base will be the preferred base as this will allow us access to a deep-water quay and warehouses that would allow us to cater for requests received from an existing Medserv client,” said Group chairman Anthony Diacono.

While the company is still awaiting results of the tender for a contract in Tanzania for which the company has been shortlisted, in the last six months Medserv has been invited to set up a logistic base in two ports in Lebanon and has received invitations from a UK-based oil company to tender for the operation of an existing logistic supply base in India, and another from a US-based company to set up a similar base in Ghana. Meanwhile Medserv Italia has been waiting for government/regional permission to be granted to oil companies to commence drilling operations in offshore Sicily. The company reports that although there have been mixed signals in the past, it does now seem that operations will shortly be allowed to commence.

Medserv also reported that the €4 million investment in a 2MWp photovoltaic farm is on track and all the necessary permits have been obtained, enabling the company to confidently predict that the entire unit will be on stream by the second quarter of 2014.

“These requests are testament to the strength of our brand in the industry. I believe our strength does not simply lie in the years of experience we have, but in the partnership approach we adopt. Our ethos is to ensure we add value on each and every project we undertake. It’s a commitment that is embraced throughout the company,” said Mr Diacono.

“We are incredibly excited about these new opportunities and the entire management team is working on implementing the vision to expand our operations beyond the Mediterranean basin to capitalise on the opportunities in other areas where exploration for fossil fuels is growing. The board is actively considering ways in which the Group may ensure sufficient funding to support the opportunities mentioned above,” added Mr Diacono.