Applied Drilling Technology, Inc. (ADTI)

Global Marine formed Applied Drilling Technology Inc. (ADTI) in 1979 in Houston and drilled the first offshore turnkey well the next year. ADTI has since drilled more than 400 wells. These wells have been drilled with virtually every rig type. ADTI has drilled over 4,600,000 feet of hole under turnkey contracts as of December 31, 1999. Turnkey drilling is a proven method of drilling wells whereby a contractor provides a drilled and logged wellbore to a specified depth for a fixed price. The contractor accepts all of the drilling risks of getting the well drilled to turnkey depth and charges a premium to the operator for taking those risks. In its formative years turnkey was a higher margin and lower volume business for Global Marine.