The drilling team is probably working tirelessly to get the rig up, against all the odds. India is renowned for throwing curve balls at the simplest task. What worries me is the cost. even though the rig is at zero rates, there are lots of support crews, hopefully including mud engineers, who are keeping the well maintained. the costs are not small. it is deliberately deceiving to simply say that the rig is zero cost. sometimes the services are 2 or 3 times more than the rig costs. sometimes.
it would be a bit too open for these guys to be honest about costs. remember that 76 went significantly over budget, seems like a repeat effort. I would not be surprised to see the costs overrun budget again. Also, what has happened to this expert US based management team, have they been sitting idly by for the past fortnight? when do they get remobilised?
OEX Price at posting:
7.0¢ Sentiment: ST Sell Disclosure: Held
