Might 12 (Reuters) – Oil and gas services group SBM Offshore ( SBMO.AS) on Thursday reported a 89% dive in first-quarter profits, as the Dutch company gained from the sale of stakes in 2 drifting production storage and offloading (FPSO) vessels.

SBM’s turnkey service, which develops and offers drifting production and storage vessels to oil and gas companies, saw its profits grow 269% to $565 million in the quarter, driven by a greater contribution from the divestment of a 45% interest in FPSOs Alexandre de Gusmão and Almirante Tamandaré.

President Bruno Chabas stated the group continued to adjust to the effects of the COVID-19 pandemic and the increased pressure on the international supply chain arising from the dispute in between Russia and Ukraine.

An international rush to protect more oil and gas after Russia’s intrusion of Ukraine is improving energy markets and producing supply traffic jams.

The business published profits of $970 million for the very first 3 months of 2022, compared to $513 million a year previously.

The group likewise verified its full-year assistance for profits prior to interest, taxes, devaluation and amortisation (EBITDA) of about $900 million and a profits of above $3.1 billion.

Reporting by Anait Miridzhanian and Elena Vardon; modifying by Milla Nissi

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