Oil producers are holding off finishing new wells, and cost pressures from tight labor markets and U.S. tariffs on imported steel are driving up service firms’ costs.
The company representatives and other sources spoke on condition of anonymity because of the sensitivity of the issue.
Tariffs on $34 billion worth of Chinese goods, the first of a potential total of $450 billion, are due to take effect on July 6.
Reducing debt and curbing risks remain priorities for China’s state-owned firms, the head of the country’s state assets regulator said Saturday.
President Abdel Fatah al-Sisi on Saturday ordered preparing a study on troubled firms of the public business sector to back successful ones.