- Since MTBO was extended by 2000 hours (20% extension), life cycle cost was reduced by (⅕)*$50,000 per engine = $10,000 per engine, resulting in savings of $20,000 for two engines.
- The repair saved 10 days compared to overhaul, and breakdowns were completely eliminated.
- The drilling performance improved. Rigs were able to complete wells on time & the charterer extended the contract of one rig by a period of 6 months .This enabled revenue of 180 days * $5,000 = $900,000