1. Alternatives are growing rapidly but are not yet as economically viable.

2. It is extremly risky to partner with any operation involving foreign countries. Assets are being nationalized. In other cases host countries are taking over 60 percent control over all operations, leaving little room for profits and efficiencies for USA/EU energy companies (such as Sudan, Venezuela, Iran, Iraq). These quasi-government operations are becoming less and less efficient within themselves.

3. Laws are being changed (such as in Brazil, Nigeria, Angola) where profits from these quasi-national energy operations and/or any operation are to be shared at increasing percentages with the "people".

4. What this leaves is DEEP water, off shore drilling where USA/EU energy companies can be free to operate independely from socialized energy.

Bottom line:

BRS can do work for all of the above.

BRS will benefit from the overall expenditure accleration toward offshore as a percentage of total drilling worldwide.

BRS is one company with a core business that will benefit from the trends overall.

Over 80 percent of major new discoveries are offshore.
BRS services this 80 percent. That 20 percent can be left for others.