Hero doesn't drill and then sale the oil for profit. The big oil companies like Exxon-Mobil etc, own the oil and sale to make profit. Hero gets contracts from big oil companies and leases out the equipment for a set price per day.
Bottom line, the price of a barrel of oil has less effect on Hero because signed contracts lock them into set lease prices.
Price of oil does in fact dictate the movement of this stock robert. Contracts are only one aspect of HERO's movement. Contracts can/will be awarded based on a company's ability to mitigate expenses. Thus, if the price of oil drops there's no incentive for an oil producing company to award additional contracts to create supply that market demand cannot absorb.
Well part of what you have said is true, but not all of it. Example: Hero signs a 3 year contract for a rig @ $100,000.00 a day, and then after the signing a barrel of oil has gone from $80.00 to $150.00, does Hero make more money because of the rise in oil prices? No, because they are locked into the contract. Big oil companies will make all the money because they own the oil.