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-----BEGIN PRIVACY-ENHANCED MESSAGE-----Proc-Type: 2001,MIC-CLEAROriginator-Name: [email protected]: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQABMIC-Info: RSA-MD5,RSA, TH1Oj/F3eXandkhCZSZXk9LHIkt9YW4ilcgxabaaRj1ySx99fAdknvrX3tZTvCY+ 1hJRAsW/FBh4h8u4YEvKSA==

0000950123-11-002020.txt : 201101110000950123-11-002020.hdr.sgml : 2011011120110111151615ACCESSION NUMBER:0000950123-11-002020CONFORMED SUBMISSION TYPE:DEFA14APUBLIC DOCUMENT COUNT:23FILED AS OF DATE:20110111DATE AS OF CHANGE:20110111EFFECTIVENESS DATE:20110111

FILER:

COMPANY DATA:COMPANY CONFORMED NAME:Allis Chalmers Energy Inc.CENTRAL INDEX KEY:0000003982STANDARD INDUSTRIAL CLASSIFICATION:OIL, GAS FIELD SERVICES, NBC [1389]IRS NUMBER:390126090STATE OF INCORPORATION:DEFISCAL YEAR END:1231

FILING VALUES:FORM TYPE:DEFA14ASEC ACT:1934 ActSEC FILE NUMBER:001-02199FILM NUMBER:11522575

BUSINESS ADDRESS:STREET 1:5075 WESTHEIMERSTREET 2:SUITE 890CITY:HOUSTONSTATE:TXZIP:77056BUSINESS PHONE:713-369-0550

MAIL ADDRESS:STREET 1:5075 WESTHEIMERSTREET 2:SUITE 890CITY:HOUSTONSTATE:TXZIP:77056

FORMER COMPANY:FORMER CONFORMED NAME:ALLIS CHALMERS CORPDATE OF NAME CHANGE:19920703

FORMER COMPANY:FORMER CONFORMED NAME:ALLIS CHALMERS MANUFACTURING CODATE OF NAME CHANGE:19710614

DEFA14A1c10835defa14a.htmSCHEDULE 14A

Schedule 14A

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

SCHEDULE 14A

Proxy Statement Pursuant to Section14(a) of the Securities
Exchange Act of 1934 (Amendment No.)

Filed by the Registrant
Filed by a Party other than the Registrant o

Check the appropriate box:

oPreliminary Proxy Statement

oConfidential, for Use of the Commission Only (as permitted by Rule14a-6(e)(2))

oDefinitive Proxy Statement

oDefinitive Additional Materials

Soliciting Material Pursuant to 240.14a-12

Allis-Chalmers Energy Inc(Name of Registrant as Specified In Its Charter)

(Name of Person(s) Filing Proxy Statement, if other than the Registrant)

Payment of Filing Fee (Check the appropriate box):

No fee required.

oFee computed on table below per Exchange Act Rules14a-6(i)(1) and 0-11.

(1)Title of each class of securities to which transaction applies:

(2)Aggregate number of securities to which transaction applies:

(3)Per unit price or other underlying value of transaction computed pursuant to Exchange ActRule0-11 (set forth the amount on which the filing fee is calculated and state how it wasdetermined):

(4)Proposed maximum aggregate value of transaction:

(5)Total fee paid:

oFee paid previously with preliminary materials.

oCheck box if any part of the fee is offset as provided by Exchange Act Rule0-11(a)(2)and identify the filing for which the offsetting fee was paid previously. Identify theprevious filing by registration statement number, or the Form or Schedule and the date of itsfiling.

(1)Amount Previously Paid:

(2)Form, Schedule or Registration Statement No.:

(3)Filing Party:

(4)Date Filed:

for the life of the well

Jorgen Peter Rasmussen

Chairman of the Board

January 2011

Services for the life of the well...

Seawell combines the experience andskills of exceptional people with thelatest technology to deliver acompelling range of products andservices throughout the lifecycle ofthe well.

We are extending the productive lifeof these vital assets for ourcustomers, the E&P companies.

Seawell at a glance

What we do..

Drilling Services:Drilling, engineering,equipment, modularrigs and relatedservices to deliverproduction wells

Well Services:

Wireline services andlogging, wellperformancetechnology, wellintegrity analysis,intervention andtechnology to enhanceperformance andextend well life

The results...

NOK 7 billion marketcap; shares (SEAW)traded on OSE, 225million shares

NOK 4 Billion inRevenue.

3,600 staff, engineersand skilledtechnicians, growingto double that in 2011

Where we do it..

Servicing the global oiland gas industry

Three important questions

What is Seawell doingdifferently in the oil servicesector?

What has Seawell already doneto create value for itscustomers and shareholders?

What is Seawell doing to createlong-term growth and value-creation in the future?

What is Seawell doing differently? Speciality Size Ingredients Market Seawell Life of the well services, specialising in well delivery and well performance Mid-tier service provider, enabling operators to get combined well services People-centric, craftsman business using innovative technology Strategic positioning to enhanced recovery and producing fields Big 4 oil service co's Life-of-field, reservoir focus; unlocking new types of reservoirs and exploration basins Life-of-field, reservoir focus; unlocking new types of reservoirs and exploration basins Life-of-field, reservoir focus; unlocking new types of reservoirs and exploration basins Life-of-field, reservoir focus; unlocking new types of reservoirs and exploration basins Regionalplayers Focused on a single market or a single customer, have only experience in one region Focused on a single market or a single customer, have only experience in one region Focused on a single market or a single customer, have only experience in one region Focused on a single market or a single customer, have only experience in one region Local players Fragmented, limited technology access Fragmented, limited technology access Fragmented, limited technology access Fragmented, limited technology access

Bits

Motors

Rotary steerable

MWD / LWD

Collars / Pipe

Platform / Land drilling

Carbon technology (C6)

Tractor services

Well intervention

Fishing

Production logging

Slickline / E-line

Mechanical tools

Integrity logging

Facilities engineering

Upgrades and Maintenance

Casing runs

Barrier Plugs

Perforating

Drilling optimization

Seawell's strategic focus

Well performance

Well delivery

The well company

Exposure to producing fields andenhanced recovery

Why we like this market?

Long-term growth requires infilldrilling and well intervention

"Cheapest" oil comes fromexisting fields less volatile thanexploration-oriented drilling

70% of the oil comes from fieldswith >30 years production

Increasing decline rates highlights the need to improve recovery

Strategic focus, not exclusive focus (e.g., Seawell still has growingexposure to U.S. shales)

Three important questions

What is Seawell doingdifferently in the crowded oilservice sector?

What has Seawell alreadydone to create value for itscustomers andshareholders?

What is Seawell doing to createlong-term growth and value-creation in the future?

We have built a solid backlog in the NorthSea

Existing contract Contract Extension

We have assembled smart technology tosolve key industry challenges CflexTMAnnular seal integrity extends well life PointTMBringing clarity to well integrity management ComtracTMRevolutionary carbon cable conveyance platform VMBTMSafe & secure V0-rated well suspension plugs

Acquired complementary businesses 2007 SEAW establishes as a spin-off from Seadrill's well service divisionEquity issue of NOK 275 million 2008 Acquisition of Noble Corp.'s North Sea platform drilling divisionAcquisition of Peak Well Solutions ASEquity issue of NOK 195 millionAcquisition of Tecwel AS 2010 Acquisition of Viking Intervention Technology ASAcquisition of Rig Inspection ServicesSigned merger agreement with Allis-Chalmers EnergyEquity issue of USD 430 millionListing of shares at Oslo BorsAcquisition of Gray Wireline

We have grown 25% annually andmaintained margins... 1Q03 2Q03 3Q03 4Q03 1Q04 2Q04 3Q04 4Q04 1Q05 2Q05 3Q05 4Q05 1Q06 2Q06 3Q06 4Q06 1Q07 2Q07 3Q07 4Q07 1Q08 2Q08 3Q08 4Q08 1Q09 2Q09 3Q09 4Q09 1Q10 2Q10 3Q10 Sales 214 209 202 213 210 199 235 327 340 369 370 435 440 440 531 564 501 522 500 574 502 619 714 716 827 794 751 728 819 904 938 EBITDA 24 29 22 31 33 20 21 38 23 38 54 63 60 65 61 79 60 77 81 80 69 85 106 108 117 129 131 114 109 144 130.7 664?

Op. revenues, NOK millions

EBITDA, NOK millions

Business segment numbers

Profit and loss September 30, September 30, December 31, December 31, December 31, PROFIT AND LOSS 2009 2010 2007 2008 2009 (NOK millions) (Unaudited) (Unaudited) Operating revenues 2,373 2,658 2,276 3,006 3,101 Reimbursable 590 408 451 619 723 Total Operating revenues 2,963 3,066 2,728 3,625 3,824 Total Operating expenses 2,681 2,762 2,477 3,319 3,465 Net operating income 282 304 251 306 359 Total financial items -101,6 -162 -8 -162 -124 Income before taxes 181 142 242 143 235 Income taxes -48 -69 -67 -24 -61 Net income 133 73 175 119 174

Balance sheet

* The subordinated debt and other intercompany debt was full repaidin August 2010 from the proceeds from Private placement BALANCE SHEET December 31, December 31, December 31, September 30, September 30, NOKm 2009 2008 2007 2010 2009 ASSETS Current assets Cash and cash equivalents 237 224 132 1,369 249 Restricted cash 52 64 50 41 30 Accounts receivables, net 550 572 397 695 603 Other current assets 191 325 143 774 274 Total current assets 1,030 1,186 722 2879 1,156 Non-current assets Drilling equipment and other fixed assets 405 314 238 379 407 Asset under construction 167 160 - 178 166 Deferred tax assets 9 19 19 1 38 Other intangible assets 136 159,2 7 201 142 Goodwill 1,590 1,605 1,020 1,642 1593 Other non-current assets 3 4 5 0 3,4 Total non-current assets 2,310 2,262 1,289 2,401 2,348

Total assets 3,340 3,447 2,010 5,280 3,505 BALANCE SHEET December 31, December 31, December 31, September 30, September 30, NOKm 2009 2008 2007 2010 2009 LIABILITIES AND SHAREHOLDERS' EQUITY Current liabilities Current portion of long term debt 261 219 75 1,121 219 Other current liabilities 701 796 458 641 663 Total current liabilities 961 1,015 533 1,761 882

Non-current liabilities Subordinated loan* 614 581 544 0 605 Long-term interest bearing debt 988 1,237 675 22 1,243 Deferred tax liability - - - - Other non-current liabilities 150 226 168 171 230 Total non current liabilities 1,751 2,045 1,387 193 2,078

Shareholders' equity Paid-in capital 1,198 1,198 1,098 2,622 1,198 Additional paid in capital 163 156 52 1,369 156 Retained earnings 337 161 38 410 295 Accum. other comprehensive income 30 -26 1 25 -3 Other equity -1,102 -1,102 -1,102 -1,102 -1,102 Non-controlling interest 1 1 4 0 0 Total shareholders' equity 627 388 87 3,325 545 Total liabilities and shareholders' equity 3,340 3,447 2,010 5,280 3,505

Three important questions

What is Seawell doingdifferently in the crowded oilservice sector?

What has Seawell already doneto create value for itscustomers and shareholders?

What is Seawell doing tocreate long-term growthand value- creation in thefuture?

Growth strategy - 4 pillars

Capturemarket share

Synergies andmore servicesoffered inexistinglocations

Increasemarket shareby listening tocustomers,differentiatedexperiences,straightforwardsolutions, andoperationalexcellence

Globalexpansion byfollowing tier-one customersinto newmarkets

Globalexpansionthroughacquisitions

Acquisitionsmust add toour skills anddifferentiatedexperience,expand globalreach

Focus on valueand accretionin allacquisitions

Continue tofocus onpractical,engineeredtechnology

Developmentof newtechnology andapplications

Capturemarket share

Grow globally

Build portfolioto deliverbetter wells

Acquirecomplementarybusinesses

Smart strategic acquisitions

Increase geographical footprint

Service and product portfolio enhancements

Technology

Skills

Images from the WPE tool, a technology gained as aresult of the acquisition of TecWel AS in 2008

Seawell and Gray Wireline combinedstrength

Gray Wireline

110 wireline units, ~400 employees

18 locations throughout U.S.

No 1 independent wireline companyin the U.S.

Cased hole wireline services in U.S.land market as well asunconventional shale plays

Strategic rationale

Access to production focusedwireline opportunities in worldslargest cased hole market

Critical mass of services in U.S.

Combination with Allis Chalmersproduction services

Vehicle for introduction of Pointultrasound services

Acquired for USD 157.5 million,

www.graywireline.com

Seawell and Allis-Chalmers combinedstrength

Allis-Chalmers today

Operations in U.S., Argentina,Brazil, Bolivia and Mexico.

Employs ~3,300 skilled andexperienced people.

3 complementary business units

Listed on NYSE; largest shareholderis Lime Rock Partners.

Strategic rationale

Extend "well specialist" portfolio.

Strong position in Latin America,major enhanced oil recovery andfield enhancement market.

No geographical overlap; better forintegrated projects.

www.alchenergy.com 2009 revenues Drilling & completions 304 Oilfield services 144 Tool rentals 59

2009 revenues by business unit, USD millions

Summary

Create significant long-term shareholder value

Building a high growth global oilfield service company

Develop organizational capabilities through a diverse multinationalworkforce

Acquire technology, services and geographical footprint where needed

Focus on service quality, operational excellence and execution

Create an integrated offering across our service lines

Disclaimer

Forward-Looking Statements

This communication contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are typically identified by words or phrases such as "will," "anticipate," "estimate," "expect," "project," "intend," "plan,""believe," "target," "forecast," and other words and terms of similar meaning. These forward-looking statements involve a number of risks anduncertainties. Seawell and Allis-Chalmers caution readers that any forward-looking statement is not a guarantee of future performance and thatactual results could differ materially from those contained in the forward-looking statement. Such forward-looking statements include, but are notlimited to, statements about the benefits of the proposed merger involving Seawell and Allis-Chalmers, including future financial and operatingresults, Seawell's and Allis-Chalmers' plans, objectives, expectations and intentions, the expected timing of completion of the transaction, andother statements that are not historical facts. Important factors that could cause actual results to differ materially from those indicated by suchforward-looking statements are set forth in Allis-Chalmers' filings with the Securities and Exchange Commission. These include risks anduncertainties relating to the ability to obtain the requisite Allis-Chalmers stockholder approval; the risk that Allis-Chalmers or Seawell may beunable to obtain governmental and regulatory approvals required for the merger, or required governmental and regulatory approvals may delaythe merger or result in the imposition of conditions that could cause the parties to abandon the merger; the risk that a condition to closing of themerger may not be satisfied; the timing to consummate the proposed merger; the risk that the businesses will not be integrated successfully; therisk that the cost savings and any other synergies from the transaction may not be fully realized or may take longer to realize than expected;disruption from the transaction making it more difficult to maintain relationships with customers, employees or suppliers; the diversion ofmanagement time on merger-related issues; general worldwide economic conditions and related uncertainties; and the effect of changes ingovernmental regulations. Neither Seawell nor Allis-Chalmers undertakes any obligation to publicly update any forward-looking statement,whether as a result of new information, future events or otherwise.

Additional Information and Where to Find It

This communication does not constitute an offer to sell or the solicitation of an offer to buy any securities or a solicitation of any vote or approval.The publication or distribution of this communication may, in some countries, be restricted by law or regulation. Accordingly, persons who comeinto possession of this document should inform themselves of and observe these restrictions. To the fullest extent permitted by applicable law,Seawell, Allis-Chalmers and their respective affiliates disclaim any responsibility or liability for the violation of such restrictions by any person. Inconnection with the proposed merger between Seawell and Allis-Chalmers, Seawell will file with the SEC a Registration Statement on Form F-4that will include a proxy statement of Allis-Chalmers that also constitutes a prospectus of Seawell. Seawell and Allis-Chalmers will mail the proxystatement/prospectus to the Allis-Chalmers stockholders. Seawell and Allis-Chalmers urge investors and stockholders to read the proxy statement/ prospectus regarding the proposed merger when it becomes available, as well as other documents filed with the SEC, because they will containimportant information. You may obtain copies of all documents filed with the SEC regarding this transaction, free of charge, at the SEC's website(www.sec.gov). You may also obtain these documents, free of charge, from Seawell's website (www.seawellcorp.com) under the tab "Investors."You may also obtain these documents, free of charge, from Allis-Chalmers' website (www.alchenergy.com) under the tab "For Investors" and thenunder the heading "SEC Filings."

Participants In The Merger Solicitation

Seawell, Allis-Chalmers, and their respective directors, executive officers and certain other members of management and employees may besoliciting proxies from Allis-Chalmers stockholders in favor of the merger and related matters. Information regarding the persons, who may, underthe rules of the SEC, is deemed participants in the solicitation of Allis-Chalmers stockholders in connection with the proposed merger will be setforth in the proxy statement/prospectus when it is filed with the SEC. You can find information about Allis-Chalmers' executive officers anddirectors in its definitive proxy statement filed with the SEC on April 30, 2010. Additional information about Seawell's executive officers anddirectors and Allis-Chalmers' executive officers and directors can be found in the above-referenced Registration Statement on Form F-4 when itbecomes available. You can obtain free copies of these documents from Seawell and Allis-Chalmers using the contact information above.

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