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


To: Chuzzlewit who wrote (23870)6/12/1998 2:35:00 AM
From: Czechsinthemail  Read Replies (1) | Respond to of 95453
 
The drop in oil prices will decrease the rate of new rig building and thus lengthen the recovery period.

You're probably right about this. When oil demand strengthens, the drilling market will tighten dramatically and dayrates will go much higher because there will be relatively few new rigs built while oil prices remain weak. The trick is surviving here and getting to there.

Baird