Schoeller-Bleckmann Oilfield Equipment AG, an Austrian maker of drilling components for the oil and gas industries, has started to establish a new production site in Singapore.

The site will start off with 15 to 20 staff and first machinery is scheduled for the first half of 2011, Chief Executive Officer Gerald Grohmann said in a telephone interview from Ternitz, Austria today. He declined to say how much Schoeller would be investing in the site.

Greenfield projects typically aren’t profitable for the first few years, Grohmann said. “This can take one, two or three years.” He declined to say how long he expected the Singapore site to be unprofitable.

Schoeller-Bleckmann today said it expected “substantially better results” for 2010 after third-quarter profit soared to 9.68 million euros ($16.9 million) from 1.43 million euros a year earlier.

Analysts expect the company’s full-year net profit to rise 74% to 26.6 million euros from 15.3 million euros in 2009, according to the median estimate of 9 analysts surveyed by Bloomberg. Grohmann declined to comment how big the increase may be.

Schoeller-Bleckmann’s dividend for 2010 won’t be decided until next year and isn’t solely dependent on earnings, he said. The company halved its 2008 dividend even after net income rose in preparation for averse conditions in 2009, he said.

“Significantly higher earnings can, but don’t need to mean a significantly higher dividend,” the CEO said.