Alumni Newsletter Summer 2015

Greetings from the Bayou City, which is experiencing the dog days of summer in a big way. Payback, we presume, for our unusually cool and wet Spring. The one thing about Houston that can always be counted on is that the weather cannot be predicted with any certainty; and that our local weather forecasters have the best jobs in the world. They get paid no matter what, without a remote chance of being correct more than five days in advance; and sometimes not even then. The only true predictor is to wash one's car, which is the equivalent of an Indian Rain Dance. 

We might as well start calling Uptown Houston the "New City". There are no less than ten high rise buildings going up within view of yours truly's terrace or nearby. I once had a visitor from overseas who thought, truly, that Uptown was Downtown (Uptown has as much office and residential space as downtown Indianapolis or Pittsburgh, and is somewhat larger than downtown Fort Worth). I had to gently counsel that Downtown was eight miles east.

Not that I can any longer see Downtown as BHP Billiton has kindly thrown up a 50 story tower smack in the middle of my view. 

Ruminations

This is, to put it mildly, the summer of our discontent. Not for the general population of the US, in spite of a historically slow recovery from the crash of 2009. But for the offshore drilling business and its suppliers, it's a holy hell. The onshore boys own what's left of the island, except for deep water commitments which are long term in nature and can only be performed by very specialized equipment. 

What has become apparent is that an event not seen in decades is under way: a global oil price war. All of the parties involved are desperate; the US and Canadian companies to produce cash flow, the Middle East companies to maintain market share, the rogue states such as Russia, Iran and Venezuela to produce anything at all, and everyone else watching revenues fall and costs rising. The one bright spot is Mexico, which recently opened its petroleum markets for the first time since 1949. There is opportunity there. 

There is of course, an upside which not many consider. The cheaper the product, the more profitable refiners and other downstream entities such as chemical companies will be. Pipeline companies and infrastructure companies with fixed product transportation contracts will be especially profitable, since they control geographic rather than supply resources.

A crown jewel for US companies would be a lifting of the export ban of US petroleum products. Think about it: the price differential for US and Canadian crude versus world market prices is substantial. If the export ban were to be lifted (and if trans-border pipelines were to be authorized by our government), this differential would disappear. Everyone would make more money and there would be more jobs. So don't just sit there. Write your congressman and senator as to how the petroleum export ban affects you personally. The seams are already straining; export of natural gas and "light" petroleum products are already permitted. Sharing of resources with Canada and Mexico is planned. We just need to take these last steps to be globally competitive.

Which leads, of course, to the jewel of jewels: an integrated North American energy complex. Perhaps our next President will be a little more aware.

USS Recruit

Bruce Watson and I share a love of military history, but this is one I had never had heard of.

The USS Recruit was a full scale US battleship made of wood which was erected in New York City's Union Square and was placed there from 1917 to 1920. 

It seems incredible that a full-scale battleship (we think it was a New York class, the same as the USS Texas) could be constructed in a public square; but the times were ripe for recruitment and the USS Recruit garnered over 25,000 recruits for the US Navy.

The USS Recruit was the only land-based ship ever to be commissioned by the US Navy; and had a full crew with quarters on board - in Union Square!

After World War I, the USS Recruit was dismantled, and its whereabouts are unknown.

A curiosity of interest. Its real steel sisters fought the battle of Surigao Strait in 1944 to great effect, with Admiral Jesse Oldendorf "crossing the T" of a Japanese battle line; the last engagement ever battleship to battleship.

The End of the Glomar Explorer

She is gone, not so much for lack of ingenuity as to obsolescence as a deep water driller, for which she was never intended. 

The Explorer was built to retrieve a Soviet submarine from deep Pacific waters. She was described as a "magnesium mining vessel". Truth is, she had not only the most sophisticated derrick of the time but twin jackup legs to assist in lifting a specialized platform to carry the wreck, and a moon pool the size of a football field.The Explorer accomplished her mission and lifted most of the Soviet submarine from 15,000'. After conversion, at one time she was the largest drill ship in the world. It breaks our hearts to see big iron going to the wreckers; but it is as it ever was. 

The Business of the Tribe

Consult the Alumni Directory attached in the side bar to the blog. Verify your information to gsfalumni@gmail.com. The Directory is an immense resource. We're here to help as we always have been. 

On a lighter note, some of us have been having a little fun. 

Bruce and Betty Kerr are on an extended visit to France; Toulouse (pun intended) followed by the Pyrenees. 

Mike and Julie Dawson have quite wisely set up a home-away-from-home in Santa Fe, NM, where the weather is cooler and the night skies are bright with stars. They maintain a home in Sugar Creek, where the golf is good and the wine is cool.

Matt and Amy Ralls now call Austin home. Matt is the Executive Chairman of Rowan Companies; I can't recall a more skilled executive with a kinder heart. In the company of Russ Luigs, Jack Ryan and Bob Rose.

Long Khuu has moved to Kinder Morgan from Atwood. Good things will result, we're sure.

Had a nice message from Ian Clydesdale, to wit: "I joined Global Marine in the UK in October 1992 and left Transocean to join Shelf Drilling ... in December 2012. Life in Dubai is a lot of fun. The last two years have involved a lot of hard work bringing Shelf to independence from Transocean, something we finally managed to achieve in December 2014...". 

Renee Dees has moved to Vantage Drilling.

Old friend Robert Bowden is consulting, as is yours truly. A word to the wise: depending on one's interests and constitution, consulting may be the next step. One can maintain a bit of freedom whilst generating income; and to be honest, one can get bored. Never thought it would happen to me, but I missed the action. 

Yours truly has the advantage of being married to a wine specialist. This is another conundrum. I, the wayward, was waylaid by a lass who can obtain wine. Totally helpless to resist.

Being of a certain age, we continue to retire. As noted by our correspondents:

Steve Bilsing

Mark Dreith

Kathi Grier

Janet Kidd

Missing; please do contact and forward information:

Brenda Hethcoat

Christie Cable

Harmony Packard

Dru Duran

Joanne Snyder

The Last Word

This is an extremely difficult market for offshore folks and we need to gather around our friends and comrades. If someone needs help, then it's up to us to provide it. It's a crazy business and always has been. Opportunity does present itself, sometimes in unexpected forms.

We are the Tribe. We are talented and resourceful. In that we should find comfort. Who better can we serve than each other?

As always your respectful servant, 

Ed Collins aka Seahorse.

Alumni Newsletter Spring 2015

Greetings from the now certifiably soggy Bayou City. Only once a decade or so do we get the kind of rain that we have had in the last few months, and it has been a doozy for all concerned not just in Houston but also to points north and south. So first and foremost, our deepest sympathy for those who have suffered loss of loved ones or property. Texas does have the habit - once in a while - of reminding its residents who is in charge. And it's not us.

Yours truly managed to compound this series of events by turning a busted knee into a broken hand (details will not be forthcoming as wholly embarrassing). So, I've had considerable time to watch the rains come in whilst progressing from full arm cast to splint to a truly magnificent surgery scar. To make the best of it, the spouse and I journeyed to Santa Barbara and points north with friends to celebrate her 60th birthday. Having passed the mark a few years ago, this was a form of gratification to yours truly; we are once again occupying the same decade in age, which was a source of some angst when we were not. 

In any case, the Bacara resort in Santa Barbara is simply marvelous, so that is our travel tip for this issue. Villas all over the Pacific shore, and a gorgeously landscaped setting so large that they have a fleet of golf carts to ferry guests about. A second tip: El Paso de Robles del Norte, colloquially known as Paso Robles, just to the north of Santa Barbara. We knew that the winery count in Paso Robles has exploded over the last decade, but it has be seen to believed. We later managed a week in Northern California, primarily in Mendocino, with a family that has been farming there for over 120 years. There is a pattern here, of course. No rain, and with the help of good friends large quantities of very good wine mysteriously disappeared.

Ruminations

In our Winter issue we carried on extensively regarding the effect of a dramatic and persistent drop in world oil prices; the whirlwind of which we are now reaping. Although, strangely enough, U.S. production continues at a heady pace; the theory being that investments having been made, large producers with strong balance sheets can still make a profit at $60 per barrel and are pushing ahead.

We are however, not whistling in the wind here. The damage to the offshore drilling industry has been grave; look no further than Transocean's plan to scrap a significant number of older floating rigs, many of which are near and dear to the tribe's heart. Old friend Jim McCulloch wrote in a nostalgic tone regarding the ships and the culture of Global Marine, echoed by many others,

"The Explorer was a tremendous accomplishment, but I really can't argue with the decision to scrap it. The truly special parts were scrapped when we converted it into a drill ship, which now is realistically obsolescent. 

I have tears in my eyes as I think about the Jack Ryan, but the tears are really for my friend and not the ship with which we honored him. The naming of the ship was a great and well deserved honor, and a mark of respect for someone we held dear in our hearts for myriad reasons. No matter what happens to the ship, or when it happens as ships never last forever, my memories of Jack and our friendship will never fade. The same is true for the C.R. Luigs and Russ.

Russ, by the way, is doing well. I had lunch with him a few weeks ago and spoke with him yesterday. We are trying hard to instill the old Global culture at Forum and we are having some success. I consult with Russ on that effort from time to time. If you really want to honor Russ and Jack in a way that lasts longer than steel in water, and benefits many, resurrect that Global culture where you are now. I think it's a little more involved than this, but Russ says that at its core it is simply the Golden Rule.

It warms my heart to see how passionate you all are about what we shared at Global."

I think we can attribute similar sentiments to our friends in the tribe who hailed from other companies in regard to what we might call the "original age" of offshore drilling. Many of us worked for more than one, and while no one will argue that we went at it hammer and tongs there will be no disagreement that we were all comrades in arms and still are. Times may change but that does not alter the basic contract, which is to work hard, work together, and take care of each other even at risk to one's self.

One instance will always stand out in my mind. A long time ago in West Africa a friend from a competing company was severely injured in an onshore accident. No less than five competing companies immediately offered assistance, and individuals from all five personally saw him through hospitalization and worked together to get him home. He was never alone. 

The same way of thinking should apply today, as many of our friends need work and assistance. Should anyone in the tribe need such help, just drop us an email or call.

Moving on, it seems almost certain that a new wave of consolidation will occur across the energy industry as a whole, even while the offshore drilling companies are splintering into an ever growing number of highly specialized "sector" drilling companies that are defined by the equipment that they operate and the geographic areas in which they operate. But we are the exception. In the E&P and equipment sectors, it's entirely possible to imagine large combinations as the strong acquire the weak, and as equals seize opportunities to combine for mutual benefit.  So we're not done with this long story yet.

The politics of the day continue to astound, so the best course is to say nothing at all. 

I did take the big leap and acquired an IPhone 6. Wicked fast and only moderately cranky. A good friend has a 6S which he refers to as his "television". I knew there was a good reason to buy Apple stock way back when; mission accomplished.

The Business of the Tribe

Things have been very quiet as of late, which echoes our previous observation that some of us may be getting old. Thank god not all of us! Although stories of interesting retirements or semi-retirements do keep popping up.

Matt Ralls has not entirely hung up his spurs as previously reported (turned out to be an extended vacation). Matt is the Executive Chairman of Rowan and also sits on the boards of Cabot Oil and Gas and Superior Energy Services.

Sherry Richard continues as a high-end HR consultant as has joined the Board of SBM.

Mike Anderson recently moved to Transocean from Pacific Drilling as Director of Marketing. 

Robert Bowden continues to consult in accounting and finance in the most ungodly locations. Swears he will reform that behavior and spend more time at home. Which would be good, because Robert has become part of the golf group involving yours truly (when able), John McClure, Doug Stegall and Alex Krezel.

Gary Garrison reported in from Sao Paulo where he is on assignment with Kinematics. You've got to love Brazil, Gary. Get out to the beach, dear fellow. Unparalleled views.

Bill Ceppi popped up onto the radar and is working at Paragon with Andrew Tietz, Bill says hi to Dave Gordon, Robert Johnson and Mark Monroe. 

Ian Clydesdale very kindly dug around in the records and found yours truly's missive for the Global Marine News from Gabon in 1992; which I had thought was lost forever (I'm a lousy file keeper), so many thanks in order there. If you're a total masochist, I have it on PDF.

Adel El Rawi is preparing to leave Dubai and return to Egypt. Looking for work, so do speak up if you can assist this remarkably talented individual.

Chuck Sims has relocated to Lafayette, Tennessee. Drifting perilously north.

MIA: Judy Peplinski and Paul Nielson. We know they're out there, but emails bouncing.

Found: 

Charles Keaton cpk552010@gmail.com 

Sharon Devine saddevine@comcast.net

As always, be reminded that the Alumni Directory has been updated to the best of our ability, but if you know of anyone who wants to be found do let us know. NEED EMAIL in the Directory indicates those who we cannot contact, assuming that they wish to be contacted.

Memorabilia: Hang on to all that stuff, all, and don't throw it in the dumpster. Several of you have asked what can be done with these treasures, and we're looking for a home. Perhaps we'll have news by next issue.

Necrology

Only one note, but a personally sad one.  Old friend John Pond apparently has passed away at his hacienda in Central America. John was as sharp as a tack and was a more than reliable companion on foreign adventures; he could resolve a difficult problem or obtain a gin tonic with equal ease. And he could make you laugh.

The Last Word

We usually take an extended minute to wrap up the News here, but today we want to focus on one thing.

Take care of each other. It's a crazy world out there.

Your faithful servant, Ed

Alumni Newsletter Winter 2014

Greetings from the Bayou City, where a very wet and cold fall and holiday season has suddenly turned into what passes for a lovely winter day. We are sure that this will not last, but nice to be writing with the sunshine streaming in.

We are a little late with this issue, but previously there was frankly not much to write about. Now there is, so this will be a large issue.

Yours truly managed to damage a knee, which has caused considerable inconvenience but which is now repairing nicely due to the efforts of my very nice doctor at the Medical Clinic of Houston (which, bye the bye, is where you want to go to get superior treatment). So no golf as of yet; but did manage to stagger about New Orleans the week after Christmas, which we substituted for our usual post-holiday trip to New York City. I was a little worried about the condition of the French Quarter; completely unfounded, as the place has been put back together better than before. For those who are interested, the Ritz Carlton on Canal Street is, well, the Ritz. Great location, great service, great jazz bar. Best in NOLA. And the Boeing Building at the New Orleans WWII museum is really something. Ever seen a B-17 in person? Along with about 10 other notable aircraft hanging from the ceiling, as if still in flight. My god father, General Matthew Garland, flew B-17s in Europe and my dad flew C-47s in the Pacific. Neither talked about it much, but when you see the planes it's an OMG experience. If you want to have a real retro experience, get a copy of "12 O'Clock High". Gregory Peck played the role of my god father. Idiotic bravery, much like the culture of our own industry. Which perhaps explains, both on the drill floor and in the back offices, why we are all so close. Some take the risks, but they always know that someone is a their back.

Ruminations

Hard to decide where to start as the last few months have been exciting to say the least.

We have our first majority Republican congress in a decade, which may or may not bode well depending on your political point of view and whether everyone in DC can agree to behave; but history indicates that split Executive and Legislative branches are actually pretty productive. Of course everyone of our economic persuasion would like to see authorization of the Keystone XL pipeline and allowance of oil exports; the first since we need heavy crude for our Gulf refineries and are not about to import it from not-friends, and the second because we have so much light crude from the shale plays that we don't know what to do with it all. 

Speaking of which, the American energy revolution is underway, By sometime this year, North America will have become the most productive energy province in the world. The bad part is a temporary but massive drop in oil and gas prices as supply outpaces demand. This will have a real impact on weaker players in the North American energy industry; my own feeling is that weaker players will be absorbed by larger players who possess massive amounts of cash. It's all a little unsettling at the moment as many parties in the industry are announcing layoffs. But this is not the 1980's. Not only in the United States but in many of our energy partners the economies are far more diversified, and the non-energy sectors that depend on cheaper fuel and feed-stock prices will profit mightily. We can all live with oil at $70 per barrel and natural gas at $4 per MBTU, which are the projected price levels for the end of 2015. And as the bonus, these price levels will seriously damage less than friendly foreign entities who we will not name, but you all know who they are.

Continuing the subject, the US Dollar is now the most desirable currency in the world excepting the Swiss Franc. So if you feel like going to Europe or almost anywhere else, now is your chance. By the time you arrive the Euro should be close to 1:1 parity with the USD; and the Canadian dollar and the Aussie are trading 40% below their levels of a year ago. Knock yourselves out and get on a plane. It won't last forever.

Re the unsettled political situations in the world, these will not last forever either. It is not up to the great powers. We the powerful can assist, and we will. It is up to the common men and women who inhabit these places. Their desires are just like ours, and we sometimes need to recall the origin of our own nations. Free people think alike, albeit through the lens of their own cultures. The first objective is to overcome fear; the second is to act; and the third is to seek contentment. The fanatics and dictators of the world dislike these concepts very much, because fear and discontent is their stock in trade.

There was a tremendous article in the Wall Street Journal on January 24 regarding Winston Churchill, who is one of my personal heroes; not because he was a saint, but because he would not give up. Worth reading, as so few have given so much to the concept of liberty and freedom.We ourselves left the British Empire centuries ago; but time can heal old wounds and build new alliances. Winston knew this, and acted upon it. Hard to believe that he has been gone for 50 years. He died on the same day and within an hour of the death of his father, Randolph. A curious parallel to John Adams and Thomas Jefferson, who both died on July 4 within hours of each other. I remember as a child getting up at 2 AM to watch Winston's funeral cortege on a black and white TV (which the networks in a rare event at the time carried live) with my dad. 

Energy News

It seems everyone is doing a spin off of older offshore drilling rigs these days. Paragon Offshore, a former division of Noble, is the latest.  Land drillers are stacking vertical drilling rigs like crazy, but rigs with horizontal drilling capacity are working. Rail companies are doing a busy task of transporting both oil (a result of our inability to approve pipelines) and sand for fracturing processes. The coal business is cratering, primarily due to government interference. Which brings up the question: why would a responsible government attempt to destroy a business which generates 40% of the power in these United States? There is no describing this logic. At least with the new Congress there is a chance of approval of offshore drilling on the US East Coast. Not so the Arctic. There are billions of barrels of oil up there, but the administration has locked down millions of acres up there; and to be honest, we are not there yet from a technical point of view. That said, it's kind of dumb to prevent technical progress. No one would be in the offshore business today if a few bright souls had not thought to hang drilling rigs off the sides of LSTs, or later to conceive the derrick-moonpool concept for the standard floater configuration; or to invent jackup and semi-submersible drilling rigs, and later to invent functional directional drilling.  Or, in the land business, without hydraulic fracturing. We don't get political very often in this blog, but our current government is frankly crazy in regard to energy policy. There is no problem with alternatives; we have always been a creative industry, but practical as well. You can't sell what you cannot produce for a reasonable profit. 

The Business of the Clan

The fact of it is, the clan is splitting into three groups, all of which can support each other: those retiring, those retired and still working as consultants, and those working for a daily wage. Not that this is bad; it's a natural progression. So, the news, with new addresses contained in the Alumni Directory.

Very happy news: Christie and Yoni Sade have new twins, Ethan Adam and Maya On.

Matt Ralls has retired from Rowan and at last report was hanging out with Amy and the Hunts in Melbourne and Sydney, Australia. A little jealous there. I like Australia. Matt and Roger look pretty buff here. Our Austin crowd is getting bigger by the day. 

Geoff Evans has turned from a Renaissance Fair character into an actor. Played Dr. Watson in a Sherlock Holmes episode on PBS Radio. In all a very interesting retirement, with lots of costumes. 


Robert and Lynn Bowden have returned to the US. A happy event and Robert is golfing well. Also consulting, although probably spending more time away from home than he would like. Pretty crazy schedule involving multiple continents. 

James Stegall has returned to the US, where he will manage the Discoverer Seven Seas.

Old friend Jeff Shepard is retired in Reynolds Plantation, GA and is having what I would call a "grateful" retirement. He's missed a few bullets but is now golfing, hunting, fishing, travelling, and has become a grandfather as well. "Every day is Saturday", he says.  That's a pretty good way to approach life. Just for a little historic hilarity, a photo of Jeff and Trisha in Gabon in 1980s. All we guys apparently had moustaches. Trisha still cute as a bug.

Mike and Julie Dawson have relocated to Sugar Creek in Houston. They also maintain a home in Santa Fe, New Mexico. Retired, growing art collection, golfers, both better than I. And a Jaguar F-1 lurking in New Mexico. My jealousy in this regard is unbounded. 

Andy and Peggie Dement have relocated to Garland, Texas to be closer to their family. This was unexpected but Andy is a pro at the unexpected.


Jim and Susie McCulloch have relocated to Houston 77024. A welcome addition to our own weekly dinners at Sylvia's Enchilada Kitchen on Woodway. Jim is working with Forum Energy. Jim and Susie made a magnificent gift to Tulane University to endow a professorial chair in Energy Law. So, doing all the right things.

Peggy Jennings has relocated to Jacksonville, OR 97530.

Old friend Ed Fleming is working as a consultant in Houston. Still the CFO of X-Drill but recently departed from Oro Negro. Had lunch the other day and Ed says "hi" to everyone.

Wendy Clark has gone to work for Freeport LNG.

Dru Duran is working with United Communication Broadleaf Group. 


Myra Pickett was appointed Operations Accounting Controller at BHP.

Chris Corcoran is working at ABS in what is apparently a dream job.

Mandy Schaefer is working as the Compliance and Ethics Officer for the Texas Municipal Power Agency. She like Brenda Hethcoat has relocated to College Station TX; Mandy has 2 kids, Dean and Rose; in other words, quite the handfull.

Brian Hefty along with the aforementioned Andrew Tietz is working at Paragon as the VP of Tax. My favorite tax guy ever. Myrtle Jones at Halliburton gets my vote for favorite tax girl ever. Navigating the ever changing currents of tax is not an easy task.

Gregg Farris has retired after a long and successful career at Oceaneering. This of course does not mean that we have seen the last of him. A very social and very accommodating host, whose humor and kindness are much appreciated by all.

Frankie Henderson has retired after many years at Global Marine, GlobalSantaFe and Transocean with many friends made during her long tenure.

Gurbachan Virk has joined the westward-ho crowd and has moved to Pleasanton, CA. Now this is a nice part of Sonoma, which we ourselves like very much. Sonoma is so different from Napa; real farms out there, except for a few trophy properties. Which are not bad; they fit into the wilderness of Sonoma quite nicely, hiding on the River Road.

Reg Powell got in touch and, having retired from Transocean, is operating his own company: Drilling Industry Inspection Service. 

Greg Shoalmire is working as the Manager of Global Mobility for Ensco.

Kelly Millsap is working for Friedken, one of the largest Toyota importers in the US.

Kind thoughts to Mark Crispi, who had a health scare but is now recovering. 


Had a nice note from Louis Solana, who was the master of the Arctic 1, the Glomar Grand Banks, the Glomar Robert F Bauer, the Glomar Atlantic, the Glomar Explorer, and the Development Driller I. In other words, an impressive resume, and a tremendous fellow to work with. John Thorson and I just about drove him crazy in Singapore whilst reconstructing the R F Bauer. However, rig delivered more or less undamaged with the exception of a flying garbage skip upon departure.Nothing like an overactive crane operator.

Rick North has moved to Los Lunas, New Mexico, and is apparently a happy retiree. Grandchildren, barber shop quartet, working out, bridge, pool. 


A mini-reunion: David Armstrong, Karen McConaughey, Connie Abbs, Rich and JP Peplinski, Susan Fontenot, Cindy Kohlhoff, John Auth, Darlene Dawson, Kyna Agerton. We need to do more of this stuff.

We have a lot of Missing In Action members, primarily from dodi.com and deepwater.com, which we imagine is due to spin offs. If you see the name of a friend on our contact spreadsheet that says NEED EMAIL, please reach out to them and ask them to contact us at gsfalumni@gmail.com with new email addresses. We're very much committed to holding the clan together.

Speaking of which, Nial Moran and Joe Boyd have put together the Santa Fe Alumni Association (SFAA), with which we encourage interaction as fellow travelers. You can reach Joe at lynnefarms@aol.com.

History

We've kind of bounced this idea around a little bit, but between us all we have a lot of history regarding Global Marine, Santa Fe, GlobalSantaFe, Transocean and their predecessor companies in our possession.  Seems to me that we could put something together with a willing sponsor, but such a sponsor has yet to be identified that would be satisfactory to all concerned.  It would be a shame to have all of this memorabilia dispersed, and I will begin to try to find a home for it. What a legacy! If anyone has ideas in this regard, please do contact me directly at ecollinsii@comcast.net. 

Necrology

Bruce Watson reported that Joe Harlan passed away in 2014. Besides Joe, who will be missed, we fortunately have no further passings to report. Which in this day and age is a good thing.

The Last Word

Every once in a while, things in this industry get out of hand. We are at the moment observing a seismic shift (no pun intended) in the structure of the international offshore and onshore drilling industries. How it will turn out no one can tell; but it is reasonable to expect that foreign demand will increase, especially as the economic health of our trading partners may improve due to economic recovery measures; and further because trading partners will become much more specific with whom they trade. 

The outcome will undoubtedly be unfavorable for our industry in the short term; but three factors should be considered in the long term. First, the cost of fuel has been dramatically been reduced for many corporate and private consumers, which will generate new prosperity across large areas of the global economy. Second, demand for energy will increase as this prosperity occurs while reductions of supply will inevitably occur, thereby mitigating the current price plunge. And third, the generations are changing. Those who wish to retire will do so comfortably; and demand for skilled labor in the industry will increase with the departure of these older workers. So take a deep breath and go forth.

Meantime, bundle up your US Dollars and take that trip that you've been dreaming about. No better time than now. Just leave the white sneakers at home and don't even think about folk music. Leave that to Rick Steves.

Your faithful servant, Ed.