Judy,
I read Doug G's whole exchange with you and I cannot find anything but bullishness in his post. There is some misinfo from Doug's post though in the way I found he mix all drillers/field services together, i.e. he mentioned CDG as deep water (it is not), and FGII is a driller, it is not.
I also follow Mike's posts closely - his only concern is the recent surge in stock prices, seems to me. Also his view is drillers cycle will last longer than field services - he sees field services supply/demand issue will easing out in mid or late 1998 but not the drillers.
It is important to distinguish what is what.
washingtonpost.com
here is a related link on field services.
Judy, right now, the E&P companies have to set priorities on which areas they want to drill first because of they have more projects to drill than the availability of rigs. A couple weeks ago, Norway's state owned oil company said they have to drill exporation wells first and put aside development wells (wells at the early stage of prospecting) - revenues will not declined too much due to production platform stalling - some of the gas/oil plumbed out are going into storage. Actually what might happen is, if production platform is stalling, you and I will pay more, for the end products. You have less supply of energy but similar consumption. |
