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Archer Secures Contract Renewal Amid Regional Activity Reduction

Story Highlights
  • Archer renews contracts with Pan American Energy in Argentina, securing a $210 million backlog.
  • Despite reduced activity and a 5% revenue drop, Archer expects minimal cash flow impact due to cost cuts.
  • Looking for the best stocks to buy? Follow the recommendations of top-performing analysts.

An update from Archer ( (ARHVF) ) is now available.

Archer, a company involved in the energy sector, has announced the renewal of contracts with Pan American Energy for pulling and workover units in southern Argentina, securing an estimated backlog of $210 million. Despite this renewal, Archer is reducing its activity in the region, which will decrease its backlog by $125 million and result in an annualized revenue reduction of about 5%. However, the company anticipates minimal impact on cash flow due to cost reductions. The shift in Argentina’s energy focus towards the Vaca Muerta shale resources is expected to drive future drilling activity.

More about Archer

YTD Price Performance: -32.29%

Average Trading Volume: 1,127

Technical Sentiment Signal: Strong Buy

Current Market Cap: $185.7M

Learn more about ARHVF stock on TipRanks’ Stock Analysis page.

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