From Raymond James "Energy Stat of the Week" 4/25/2011: "Overall U.S. Rig Count is poised to grow faster than market expectations even though our September 2010 rig count forecast was relatively bullish, it underestimated the recent increase in oil drilling. Accordingly, we are raising our overall 2011 rig count forecast by more than 50 rigs to 1,801 rigs (up 3%). This represents a y/y oil rig increase of 337 rigs (or 57%) and gas rig decline of about 80 rigs (or 8%). Horizontal activity should continue to lead the growth. Looking into 2012 and beyond, we expect oil drilling to continue to increase while gas activity slows further. As such, we are initiating a 2012 rig count forecast of 1,970 rigs, up 9% y/y. This includes 1,191 oil rigs (up 28% y/y) and 772 gas rigs (down 11% y/y)."
In addition to PTEN, I like UDRL and PDC.
PTEN and the onshore drillers
PTEN and the onshore drillers
Dan Steffens
Energy Prospectus Group
Energy Prospectus Group
Re: PTEN and the onshore drillers
6:22AM Patterson-UTI beats by $0.02, beats on revs (PTEN) 30.90 : Reports Q1 (Mar) earnings of $0.46 per share, $0.02 better than the Thomson Reuters consensus of $0.44; revenues rose 108.5% year/year to $567 mln vs the $551.5 mln consensus. "Activity in our drilling business continued to increase in the first quarter. Our average number of rigs operating increased to 207, including 192 in the United States and 15 in Canada. This compares to an average of 194 rigs operating in the fourth quarter of 2010, including 182 in the United States and 12 in Canada."
7:24AM Helmerich & Payne misses by $0.04, beats on revs (HP) 69.98 : Reports Q2 (Mar) earnings of $0.93 per share, excluding non-recurring items, $0.04 worse than the Thomson Reuters consensus of $0.97; revenues rose 38.3% year/year to $604 mln vs the $592.4 mln consensus. Co also announced today that it signed contracts to build and operate eight additional FlexRigs, bringing to 14 the number of additional FlexRig commitments announced since the Company's January 27, 2011, earnings release. These rigs will be built and operated in the U.S. under multi-year term contracts that provide attractive dayrates and economic returns. Since March 2010, the co has announced contracts for the construction of 45 new build FlexRigs, of which 26 have been completed. The remaining 19 rigs are expected to be delivered during calendar 2011.
7:24AM Helmerich & Payne misses by $0.04, beats on revs (HP) 69.98 : Reports Q2 (Mar) earnings of $0.93 per share, excluding non-recurring items, $0.04 worse than the Thomson Reuters consensus of $0.97; revenues rose 38.3% year/year to $604 mln vs the $592.4 mln consensus. Co also announced today that it signed contracts to build and operate eight additional FlexRigs, bringing to 14 the number of additional FlexRig commitments announced since the Company's January 27, 2011, earnings release. These rigs will be built and operated in the U.S. under multi-year term contracts that provide attractive dayrates and economic returns. Since March 2010, the co has announced contracts for the construction of 45 new build FlexRigs, of which 26 have been completed. The remaining 19 rigs are expected to be delivered during calendar 2011.