Yahoo Finance·2026-02-10 20:00Group 1: Helmerich & Payne (H&P) Overview - H&P views the Middle East as a primary growth driver, particularly for international shale development and increased rig demand [1] - The company is investing heavily in the Middle East to offset stagnation in the U.S. market, with plans to operate 24 rigs in Saudi Arabia by mid-2026 [1] - H&P reported mixed financial results for Q1 2026, with revenue of $1.02 billion exceeding expectations but a GAAP EPS of -$0.98 due to a $103 million non-cash impairment charge [2] Group 2: Industry Trends and Competitors - Major oilfield-service providers are increasingly focusing on the Middle East to hedge against volatility in the U.S. market, as the region can sustain production at lower oil prices [3] - The U.S. shale revolution has significantly increased production, but growth is now declining, with active oil-directed rigs dropping over 30% from late 2022 to October 2025 [4] - Companies like Patterson-UTI Energy and SLB are also targeting the Middle East for growth, leveraging their U.S. expertise and securing major contracts in the region [6][8] Group 3: Regional Opportunities - The Middle East is identified as a primary growth engine for several companies, including Weatherford and Halliburton, with strong opportunities in Saudi Arabia, UAE, Kuwait, and Oman [10][12] - Halliburton emphasizes the importance of mature field development and enhanced oil recovery (EOR) in the region, viewing it as a stable market for services [12] - SLB has secured a $1.5 billion contract with Kuwait Oil Company and is investing in local manufacturing and talent development in Oman [9]