RE:Wake up, mr market!The plus side : solid top line at levels back to the top of the cycle even tough the average price per meter is lower than last year. However, again mobilisation costs and higher salaries for drillers is compressing margins and they ended up with a net loss which was surprising. Was listening to MDI presentation today and the market is tightening up. The rates should cover all the cost increases. Which leaves the mobilisation costs for their african contracts. Would expect these to be billed when incurred so this should not be an impact unless they are expensing some costs for these contracts. Would loved to know about the amount of these costs and the accounting for this. Thinking about it, Guinea also had a coup in september so I wonder if this had an impact as this contract seems quite material. Anyway, the colonel that took over seems american trained so I guess business will carry on.
GLTA