The higher prices have also enticed North American shale drillers to increase supply. I expect oil prices to range from $50 - $60, which could help the Mid-water segment to remain a catalyst for several quarters. Market For Offshore Drilling Remains Oversupplied The general market for offshore contractors remains oversupplied. Industry participants have suffered from revenue declines due to waning demand for contract drilling services. Revenue earning days and average daily revenue have both been in decline. Diamond's biggest selling point is that it did not succumb to unbridled optimism that befell Seadrill ( SDRL ) and others; it did not take on excessive debt or commit to capital expenditures that only made financial sense with oil prices in the $75 - $100 range. On the earnings call management was keen to point out that it does not have any assets delayed in shipyards yet to be delivered or any sixth-generation assets uncontracted.