Parker Drilling to Return to Algeria after 26 Year Absence

Parker Drilling Company reported significantly higher operating results for the Q2 2006. Earnings before interest, taxes, depreciation and amortization (EBITDA) were $49.8 million for the Q2 of 2006, 24% higher than the $40.1 million reported in the Q2 of 2005.

The company also expects to have a banner Q3 and Q4 with new contracts being undertaken and the sale of two rigs is realized. According to the company, the sale of Rigs 73 and 75 in Nigeria for $46 million is expected to fund this week.

The company has also been awarded a new contract in Algeria, which marks its return to the North African country after a 26-year absence. Parker was awarded a two-rig, three-year contract for land drilling services in the Hassi Massoud area of Algeria. The contract will utilize two of  the company's new 2,000 horsepower land rigs currently under construction. The rigs will be mobilized immediately upon completion, with delivery dates scheduled for the fourth quarter of 2006.

"This is a very active time for Parker. With new contracts being secured at higher dayrates the outlook for the remainder of the year and 2007 is excellent," said Robert L. Parker Jr., the company’s leader.