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Gold/Mining/Energy : Strictly: Drilling and oil-field services -- Ignore unavailable to you. Want to Upgrade?

To: j g cordes who wrote (22800)	5/25/1998 3:34:00 PM
From: pz	Read Replies (1) \| Respond to of 95453

Monday May 25, 7:38 am Eastern Time Company Press Release SOURCE: Pride International, Inc. Pride International Acquires 13 Land Rigs in Bolivia HOUSTON, May 20 /PRNewswire/ -- Pride International, Inc. (NYSE: PDE - news) announced that it has entered into an agreement to acquire 60% of a newly- formed Bolivian company, Compania Boliviana de Perforacion S.A.M. (''CBP'') pursuant to a joint initiative with the Bolivian national oil company, Yacimientos Petroliferos Fiscales Bolivianos (''YPFB''). CBP will be capitalized through the contribution of 13 land drilling and workover rigs, oilfield trucks and other related drilling assets by YPFB and $17 million of cash by Pride. CBP will be owned 60% by Pride and 40% by YPFB. The transaction is expected to close within 60 days. Previously, YPFB has entered into similar agreements with private sector companies for two exploration and production units, as well as its pipeline unit. Under such capitalization programs, the previously state-owned assets are transferred to the control of a private sector operator and the investment capital provided by the new operator is retained in the ongoing business. ''We are extremely pleased with the investment in CBP,'' said Ray H. Tolson, Chairman and CEO of Pride. ''Drilling activity in Bolivia is presently strong as a result of natural gas development programs related to the major pipeline projects now underway in the region. The money we are investing in CBP will be retained in the business and used to upgrade and expand the operations. Currently, we have two Pride rigs operating in Bolivia and several others being mobilized there from Argentina. The acquisition of the 13 rigs from YPFB will provide us critical mass and position us as a major player in this strategic market. The acquisition will further strengthen our position in Latin America where we will now have approximately 240 rigs in total.'' The CBP rig fleet is comprised of seven land drilling rigs (including two 2,000 horsepower rigs) and six land workover rigs. Presently, nine of the rigs are operating in Bolivia. Pride International, Inc. headquartered in Houston, Texas, is one of the world's largest drilling contractors. The Company provides onshore and offshore drilling, workover and related services in more than 20 countries, operating a diverse fleet of 295 rigs, including two semisubmersible rigs, 17 jackup rigs, nine tender-assisted rigs, seven barge rigs, 23 offshore platform rigs and 237 land rigs. SOURCE: Pride International, Inc.