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    GlobalSantaFe details latest SCORE

    News // May 24, 2002
    Houston-based worldwide drilling contractor GlobalSantaFe reports that its worldwide SCORE, or Summary of Current Offshore Rig Economics, for April 2002 was down from the previous month's SCORE by 0.5 per cent.

    However, GlobalSantaFe President and CEO Sted Garber said, "The Gulf of Mexico SCORE hit its inflection point in April, reversing a 10-month downturn as day rates responded to improving utilization for certain jack-up rig classes. Elsewhere, while the offshore rig markets in Southeast Asia and West Africa remain moderately strong, there has been some mild erosion in jack-up day rates. We expect the day rate declines in West Africa to abate as the Gulf rig market continues to tighten, decreasing the incentive for Gulf-based rigs to compete for work there."

    GlobalSantaFe's SCORE compares the profitability of current mobile offshore drilling rig day rates to the profitability of day rates at the 1980-1981 peak of the offshore drilling cycle. In the 1980-1981 period, when SCORE averaged 100 per cent, new contract day rates equaled the sum of daily cash operating costs plus approximately $700 per day per million dollars invested. In addition to a worldwide SCORE covering key types of competitive offshore drilling rigs in key drilling markets, a separate SCOREis calculated for certain types of rigs and certain regions to indicate the relative condition of rig markets.

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