Canadian Oil & Gas Companies Message Board

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Gold/Mining/Energy : Canadian Oil & Gas Companies

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: Slyfox who wrote (4339)	12/24/1997 2:24:00 AM
From: Richard Saunders	Read Replies (1) of 24936

Slyfox/ interested in the Tetonka Drilling Inc (TDI-t) blurb you posted. Have you any current projections re: what the co. is spouting re: revenues and earnings? I'm specifically interested in what's being viewed as a "reasonable" price/earnings multiple as well as projected growth. Another thing may have just clicked on a light too. Haven't explored too closely so maybe spinning on the edge, somebody fire-away if the ponder is lunched............... for the past month or so I've been trying to figure why the cdn. drillers/servicers have "corrected" to their current levels. Personal tho't had been that maybe things were a bit overdone. Talking yesterday to an oil co. pres. as well as reading the Tetonka article may be beginning to put a few things in perspective......... Yesterday's conversation was along the lines of "are you finding it a challenge to line up drill rigs, etc. & are you finding day rates have substantially increased from where they were a year ago?" Answer yesterday surprised me a bit - bottomline was that as long as wellsites were prepared and ready for drilling it wasn't really too big of a deal lining up rigs. Also, prices seemed to have increased a bit, probably more than inflation, but not really to gouging levels. General theme seemed to be that there has been an increasing supply of rigs hitting the western Cdn. oilpatch and this seems to be keeping prices in check. Number indicated yesterday (I haven't verified so don't base your decisions on this spew) was something like 50 new/recycled rigs have entered the game. The Tetonka Drilling Inc. article indicates 7 new rigs........... personally not sure when supply/demand will balance but I think maybe this might be something the market is trying to say with some of the recent "correction"........... at the moment it does appear that most oilpatch drillers/servicers are as busy, if not busier, than a year ago. Will be interesting to see how the pendulum may swing back for some of the stocks.. A couple of weeks ago I would have (and was) tho't that prices had dived too far although maybe the depth of the dive is partially a result of the swimming pool becoming a bit deeper because of more water (rig supply) being added........ just a ponder.

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next