- A.P. Moeller-Maersk’s (OTCPK:AMKAF, OTCPK:AMKBY) oil unit says it is slashing $1B off its annual capital budget, forecasting long-term capex of $2B-$4B/year compared with a previous range of $3B-$5B.
- The new forecast does not include funds to be spent on acquisitions, which the company says it is still pursuing as a "critical" means of replacing reserves.
- Maersk Oil says it is still on track to meet a goal of lowering operating expenses by 20% by the end of 2016 vs. 2014 levels.
- Maersk’s container line unit says global demand growth for its industry will total 3%-5% in 2016, up from 2%-4% this year, but growth rates will still not exceed capacity expansion, as Maersk Line estimates the global container fleet will grow by 9% this year and by 5% in 2016.