Fox Drilling a Intelectual and Operational Advantage
Listen to Eric Nuttal talk about Percision drilling and I hear other people talking about Ensign, these companies are a screaming buys and None Points is investing in the Drilling companies because the returns are better i guess than energy companys?
While Fox Drilling charges POU the market rate for drilling, however all the profit goes back to POU and guess what POU operates and owns a drilling company that is debt free.
Imagine how profitiable it would be to run a drilling company when you are working hand in hand with the energy company to drill the wells in a plan that is efficient, and allows you to acheive maxium utilization of the drilling rigs.
So not only do they own they drilling assets, they get a cost benifit, no marketing, no advertising, and a lot of help and support from the parent, a really efficient low cost operation with only the best equipment.
So it may seem high risk to drill 12 million dollar wells, but their risk is mitigated by having expert crews and good honest communication with the field, who are willing to go above and beyond.
POU is a treasure chest of opportunity, and investors really only have a glimpse of the opportunity before them.
MHP
IMHO