Why? Despite the whole "shale play" the real finds are still deep sea. These wells last longer and produce more. Demand for SDRL's rigs will continue. I didn't like the double up on the dividend last December because it took demand for the stock down as a result. But next quarter things should put us over $40 again I predict.
Have you even bothered to look at what they having coming on line that is already under contract. So oil dropped a few bucks. These are long term contracts. If oil drops 20% and stays there we could be in trouble as renewal day rates would drop and debt service is high but until then this looks great for next 3 years.