Replies to This Discussion

Permalink Reply by P.G. on September 8, 2008 at 3:17

Maybe GM and Ford should get into the rig building business seeing how folks have slowed in buying their cars, huh?
When handed lemons, make lemonade, right?

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Permalink Reply by Mark on September 8, 2008 at 3:30

Hello Popeye,
Check out this link on WorldOil.com..
Looks like we're in for a rig boom again. Most of the rigs being purchased are being built overseas, mainly in China. You could also check out the invester relations links at most of the drilling contractors' web sites. They'll normally tell their investors their plans for rig utilization and purchases. maybe I could sell them my hammer drill, lol.

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Permalink Reply by Gone Fishin on September 8, 2008 at 3:44

I live near a neighbors site in crosby where they build rigs and they have been building them nonstop for the last couple of years at this site.

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Permalink Reply by Mark on September 8, 2008 at 4:53

Nabors' PACe rigs are built by Academy Services out of Calgary, AB. Anytime they receive a rig they'll put them together at their yard and commision them and also use for training. Then dismantle and send to site. Smaller drilling co's buy most of their rigs from overseas companies. Emporium and BOMCO rigs from China are a quick VFD rig. They build them twice as fast and they are considerably cheaper.

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Permalink Reply by Gone Fishin on September 8, 2008 at 5:06

Oh so the yard near me is just an assembly and commisioning yard?

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Permalink Reply by Mark on September 8, 2008 at 5:41

Most likely. You'll see some welding, fabrication going on, but not the entire rig. That would cost them a fortune to build on their yard. China steel is much cheaper and China's welders work for very little pay vs. 100 - 150/hr here for a welder and helper.

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Permalink Reply by Gone Fishin on September 8, 2008 at 6:26

I would rather see MADE IN USA on my rig. But i'll be ok with a good ol American company doing the drilling.

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Permalink Reply by Max on September 8, 2008 at 3:43

google 'drilling rig backlog louisiana' and there are many web sites there for information.

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Permalink Reply by Roger Pruitt on September 8, 2008 at 12:06

The problem isn't necessarily a rig shortage, it is experienced personnel. Most of the rigs out of China are being brought in and a butt load of items are being changed out for US parts. If you don't have casing reserved or already bought, it is about a 3-4 month wait. Everybody is building rigs, there are yards popping up everywhere. It's the experience to build, manufacture and work on, that is in short supply.

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Permalink Reply by popeye on September 8, 2008 at 12:16

Hey Guys,

Thanks all for the great responses and links .....I've got some interesting reading to do tonight. Still open for more commentary to try to understand all that's taking place in this whirlwind.

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