Now discussing coiled tubing. Let me first say that we have complete confidence in the senior management team and believe that the coiled tubing business is still a very good business and it’s still an important service for Pioneer to offer. Long term we think we will be one of the best service providers in coil just like we are in well service and in wireline.In a nutshell, the issue this quarter in coil was onshore utilization. It averaged below 60% and that cannot sustain the high fixed cost in that business. In the first quarter by contrast, we were averaging close to 70% utilization and the margins were very good.
Pioneer Energy Services' CEO Discusses Q2 2012 Results - Earnings Call Transcript
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