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

To: Broken_Clock who wrote (24435)	6/19/1998 9:47:00 PM
From: NucTrader	Read Replies (3) \| Respond to of 95453

>>Will have to research DO & RIG to see what the depths are for their rigs.<< I can't remember the post, but I had the same query a while back, and I believe the answer was 150-300 feet. Does that sound right? See what you can find. Long CDG.

To: Broken_Clock who wrote (24435)	6/20/1998 1:36:00 AM
From: iandiareii	Read Replies (1) \| Respond to of 95453

RIG has six jackups, none of which are in the GOM. As of the 10-K filing, only two JU's are not booked into next year: YEAR WATER DRILLING ESTIMATED ENTERED DEPTH DEPTH CONTRACT TYPE AND NAME SERVICE CAPABILITY CAPABILITY LOCATION CUSTOMER EXPIRATION(1) ------------- --------- ---------- ---------- ------------------- -------------------- ------------- JACKUP RIGS Transocean Jupiter(11).. 1981 170 16,000 Arab Gulf Hardy October 1998 Offshore Comet.......... 1980 250 20,000 Gulf of Suez, Egypt GUPCO October 1999 Offshore Mercury........ 1969 250 20,000 Gulf of Suez, Egypt GUPCO October 1999 Interocean III.......... 1978 300 20,000 India Enron December 1998 Shelf Explorer.......... 1982 300 25,000 Danish North Sea Maersk May 1999 Transocean Nordic....... 1984 300 25,000 U.K. North Sea Amoco October 1998 Elf April 1999

To: Broken_Clock who wrote (24435)	6/22/1998 7:16:00 AM
From: Jess Beltz	Read Replies (3) \| Respond to of 95453

Pappy, let me ask a question both naive and somewhat silly. What is the approximate cost of producing the "average" barrel of regular crude oil, or more precisely, if we were to take the arithmetic average of the costs of all of the barrels of oil produced today, what would that be? And now, the reason I ask is this: the prices of the drillers/explorers seem to rigidly track the price of oil. The correlation seems very high to me. Does the cost of a barrel provide a floor for the bottom of driller prices, since presumably, were oil to approach the price of production, supply would have to start to shrink, since no one has an incentive to produce a commodity that offers no profit? Your (and others) thoughts on this, and the likelihood of approaching that threshold (if it exists) as the Asian economies continue to contract. jess.