Spending on oil field development and exploration outside of the U.S. could fall by 10%-12% this year owing to the plunge in oil prices, the chief executive of energy service company Weatherford International Ltd. (WFT) said Monday.

"Lower prices would push the year-on-year declines in international [exploration and production] expenditures further down," said Bernard Duroc-Danner during a conference call following the disclosure of fourth-quarter profits that were largely in line with analyst expectations. "We do not think this is likely."

Weatherford, one the largest U.S.-based companies that services oil and gas producers, reported that net income in the fourth quarter of 2008 rose 5% to $348.1 million.

Oil prices have plunged more than 70% from their record highs above $145 a barrel hit in July 2008.

Still, Duroc-Danner said Weatherford's international business will experience double-digit growth as long as oil prices average $40 a barrel.

-By Jason Womack, Dow Jones Newswires; 713-547-9201; jason.womack@dowjones.com

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