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

To: Merritt who wrote (31050)	10/23/1998 10:37:00 AM
From: marc chatman	Read Replies (2) \| Respond to of 95453

CNBS says Prudential downgraded a number of drillers and service companies.

To: Merritt who wrote (31050)	10/23/1998 11:15:00 AM
From: Big Dog	Read Replies (1) \| Respond to of 95453

Offhand, I don't know why they mention higher day rates for the quarter. But SDC works the international market and probably has term work rather than spot market work. Also they may have been comparing to year ago quarter when some rigs may have been coming off contracts of the past at lower rates. If this sounds confusing...I am. Thanks for your kind comment re the ODB newsletter. The newsletter is becoming quite a hit...approaching 900 subscribers and read by a number of industry execs worldwide. (Subscribe for free below.) big loosbrock.com

To: Merritt who wrote (31050)	10/23/1998 12:07:00 PM
From: upanddown	Read Replies (2) \| Respond to of 95453

Merritt SDC seems more insulated than most other drillers from the effects of declining dayrates. It has no offshore exposure in the GOM and just two each in Venezuela and Indonesia. It has about equal nos. of marine and land rigs (25 - 30) and their land rigs are mostly in the ME, where a lot of bidness is thrown their way by their majority owner, the government of Kuwait. Had one nice little trade in SDC during this run and looking for a re-entry point. I have found that this chart is good for checking an offshore driller's exposure to weak dayrate areas. Not sure how current is data (dated Sept 16) oilonline.com John