HOUSTON, Texas ( TheStreet) -- Halliburton ( HAL) said it anticipates the suspension of deepwater drilling, which has occurred as a result of the Gulf of Mexico oil spill, will negatively impact its earnings by 5 cents to 8 cents a share a quarter for the remainder of 2010.

Halliburton on Monday reported second-quarter net income of $480 million, or 53 cents a share, up 83% from net income of $262 million, or 29 cents a share, the previous year. Income from continuing operations for the second quarter was $474 million, or 52 cents a share.

Consolidated revenue in the second quarter was $4.4 billion, compared with $3.5 billion the previous year. The second quarter was largely driven by increased activity in the unconventional natural gas and oil basins in North America.

Halliburton noted that the massive oil spill will result in a new regulatory climate and will have a profound impact on how deepwater drilling is performed.

Halliburton is currently taking action to reduce the impact of the reduced drilling activity by deploying the company's employees and equipment to other areas of stable or increasing activity.

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Analysts on average were expecting earnings of 37 cents a share on revenue of $4.09 billion.

Shares of Halliburton have risen 3.5% to $28.47 in premarket trading.
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-- Reported by Andrea Tse in New York

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