Wow, what a completely incompetent post. You understand nothing about the business. It takes a couple of years to drill exploratory wells to pinpoint the reserves. Then it takes another couple of years after that to commercialize the well. Take into account the Arctic is undrillable a large portion of the year, and it taking 7 years for both exploration and commercialization makes sense.
What you completely failed to comphrehend is that they still need drill equipment for those 7 years before commercialiazation.
Good post. You need to use EBITDA for debt repayments as depreciation and amortization are non-cash chrages. Thus net income + non cash expenses = ability to pay.
They should as I've posted. Or NADL at least should before they sell shares to Rosneft.
Wow, what a coincidence. The market with the most HFTs, most unscrupulous bankers, the most greedy people in the entire world just happen to live/work on Wall Street.
Its like Wall Street gets in the office and immediately starts shorting.... Just sayin'.
Well, you lose the earning potential by not getting those rigs if Rosneft is cancelled. I still find that highly unlikely. Like Petrobas, national run companies don't care so much for getting the "best" deal. Russia wants the oil pretty much at any price.
What a surprise. Took it back exactly to 1.55. What are the odds it would go back to EXACTLY the same amount if HFTs weren't involved?
Oh they'll (HFTs) come in and spoil our party at the end. Not that I call a 4% up day a good day for NADL. We need 20%+ days!!!
Or I should say NADL should be buying back stock so they can sell it to Rosneft. I don't think SDRL would be exempt from the sanctions since the deal was with NADL.
Buy most of the float below $2.50. Let's say they buy 20% back. Sell that 20% and the 10% already held at $5 or higher to Rosneft.
Counter-argument could be made (which is fair) that oil shouldn't have been over $100/bbl in first place. Main point is that oil prices are highly manipulated one way or the other.
If you bothered to do any DD, you'd realize they signed the Rosneft agreement before sanctions were implemented.
And the stock magically shoots up on little volume at 1:54. HFTs at their finest.
Yep. Its the HFTs dragging it down. No one has stepped in to support the stock, but there is an interesting pickup in volume at 11:35am.
It crashed down at 11 which appeared to go in stride with Brent. Appears to be prevented from going back up right now.
Explains the larger gain by SDRL and not for NADL.