Tuscany International Drilling Inc T.TID

RESPONSE from the CEO

[veronikagermany]

From: 
To: Walter Dawson <[e-mail]> 
Sent: Monday, May 6, 2013 8:31 PM
Subject: Q1 2013 report: 2013 Capex and Brazil

 

Mr. Dawson,

Could you answer my questions below please?

 

1) Now  that   all  the  refurbishments  have  finished, what  is  the  estimated  planned  Capex   in  2013? Will   the  CapEx    for  2013   be   significantly   reduced   in  comparison   to   2012? I   assume  that   the  Capex  for  2013   will  be  very   low and  will  be  directed  on  maintenance  purposes,  correct?

 

 

Capex for 2013 is only  $17mm  for  maintenance.

 

2)  What is your outlook  about  Tuscany,  and   what  is   Tuscany's  advantage  in comparison to its peers in North America ?

 

The North American market is very unpredictable, competitive & seasonal, the reason we operate in other jurisdictions where we believe it’s a leveler playing field.  Year around work in most cases!

 

We feel confident our 2012 surprises are behind us and are diligently working to prevent future surprises. We will win!  

 

 

3)  You  said  in Q4  2012 :  "Management has decided that Rigs 121, 124 and 129 in Brazil and Rig 103 in Colombia no longer constitute any value to the Company and therefore an impairment charge of $24.8MM has been taken against the net book value of these rigs". Will Tuscany save  money  by  taking the spare parts to  repair its  other  rigs?

 

 

A decision has been made that these rigs do not deserve repair as the cost comes near (2/3) a new replacement rig. In today’s market they will be used for repairs on other rigs!

 

 

Thank you for your interest. Walter Dawson President & CEO 

Sent from my iPhone

[veronikagermany]

I urge all to contact TID to confirm that the utilization rate has jumped from 65% in Q1 2013 to ~80% in Q2 2013. TID a competitive advantage that it operates in countries where demand exceeds supply by far and the dayrates have been rising during the last two years. This is why it is a primary acquisition target. Do not ignore this unique advantage. TID is not just another company that

[michelleb33]

Ok Veronika. Im goning to contact them now and ask them whats going on

[veronikagermany]

I urge all to contact TID to confirm that the utilization rate has jumped from 65% in Q1 2013 to HIGHER than 80% in Q2 2013. TID a competitive advantage that it operates in countries where demand exceeds supply by far and the dayrates have been rising during the last two years. This is why it is a primary acquisition target. Do not ignore this unique advantage. TID is not just another

[Miner1967]

I did it, I've got almost the same response, thanks...