IPAA 2005 Oil & Gas Investment Symposium April 18, 2005

Robert L. Parker Jr – President & CEO

David C. Mannon – Sr. VP & COO

IPAA2005 Oil & Gas

Investment Symposium

April 18, 2005

IPAA2005 Oil & Gas

Investment Symposium

April 18, 2005

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Forward Looking StatementsForward Looking Statements

The following presentation contains certain statements that may be deemed to be “forward-looking statements” within the meaning of the Securities Acts. All statements, other than statements of historical facts, that address activities, events or developments that the Company expects, projects, believes or anticipates will or may occur in the future, the outlook for rig utilization and dayrates, general industry conditions including bidding activity, future operating results of the Company’s rigs and rental tool operations, capital expenditures, asset sales, expansion and growth opportunities, financing activities, debt repayment and other such matters, are forward-looking statements. Although the Company believes that its expectations stated in this presentation are based on reasonable assumptions, actual results may differ materially from those expressed or implied in the forward-looking statements. For a more detailed discussion of risk factors, please refer to the Company’s reports filed with the SEC, and in particular, the report on Form 10-K for the year ended December 31, 2004. Each forward-looking statement speaks only as of the date of this presentation, and the Company undertakes no obligation to publicly update or revise any forward-looking statement.

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Investment HighlightsInvestment Highlights

Geographic and asset diversification

Significant presence in core international markets

High margin rental tool business

Outstanding safety record

New COO added to management team

Favorable industry outlook

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Parker Drilling OverviewParker Drilling Overview

Leading worldwide provider of contract drilling and related services Among the most geographically diverse drilling contractors in the

world – operated in 51 countries and U.S. since inception in 1934 Reputation for operational expertise and experience in drilling in

unique and challenging environments

Core operating areas include: International land drilling focused in CIS, Asia Pacific and Mexico

regions International barge drilling focused in Caspian Sea, Mexico and

Nigeria transition zones U.S. barge drilling in GOM

Quail Tools provides premium rental tools for land and offshore drilling and workover activities High margin business serving major and independent producers in

the GOM, South Texas, West Texas and Rocky Mtn. Regions

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Business StrategiesBusiness Strategies

Today:

Reduce debt an additional $65MM to achieve goal of $200MM debt reduction

Seek to increase utilization and dayrates

Manage costs / minimize capital expenditures

Tomorrow:

Pursue strategic growth opportunities

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Recent DevelopmentsRecent Developments

January 2005 – Sold jackup rig 25 for $21.5 million

Proceeds used to call $25 million of 10.125% effective 2/7/05

December 2004 –David C. Mannon appointed Chief Operating Officer

September 2004 – Issued $150 million Floater Notes

Proceeds used to pay off $70 million Term Loan and repurchase $80 million of 10.125% Notes

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Significantly Reduce DebtSignificantly Reduce Debt

Goal: total debt reduction of $200 million from 12/31/02 balance Asset sales, cash on hand, operating cash flows

Debt reduction of approximately $135 million completed

Parker Drilling Historical Debt Balances

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Utilization TrendUtilization Trend

Note: Adjusted for new Marketable Rig Count

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EBITDA MultiplesEBITDA Multiples

0.0x

2.0x

4.0x

6.0x

8.0x

10.0x

12.0x

14.0x

16.0x

Transocean ENSCO TODCO Nabors Patterson HP Precision Grey Wolf Pride Parker

2005 2006

* EBITDA multiples are used to quantify the premium value placed on a company’s stock.

As of April 11, 2005

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Company FocusCompany Focus

Quality Management Systems

Processes

Internal Controls

Safety - for our people and the environment

Downtime – reduce through preventative maintenance program and fleet standardization

Utilization – increase through rationalization of our assets

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Gulf of MexicoGulf of Mexico

ColombiaColombiaColombiaColombia

PeruPeru

NigeriaNigeria

ChadChad

KazakhstanKazakhstan

Russia

Sakhalin Sakhalin IslandIsland

ChinaChina

KuwaitKuwait

IndonesiaIndonesia

New New ZealandZealand

Papua New Papua New Guinea Guinea

BangladeshBangladesh

Land Barge Project Management Labor Contract

MexicoMexico

Quail ToolsQuail Tools

Geographic and Asset DiversificationGeographic and Asset Diversification

TurkmenistanTurkmenistan

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Revenue and EBITDA SourcesRevenue and EBITDA Sources

Revenues 2004

US Offshore22%

US Offshore26%

Quail16%

Quail29%Int’l Offshore

8% Int’l Offshore(4%)

CIS 26%

CIS 30%

Asia Pacific11%

Asia Pacific 11%

Latin Am. 2%

EBITDA 2004

Latin Am. 9%

Discontinued Ops6%

Discontinued Ops8%

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OutlookOutlook

Debt reduction process is ongoing Remain committed to reducing debt by $200 million

GOM market expected to improve Slight increases in dayrates and utilization expected for 2005

International markets expected to continue to improve CIS experiencing increased activity; Parker’s presence growing Asia-Pacific activity improving in selected markets 8 Rigs contracted in Mexico for long-term work Opportunities in North Africa and Middle East

Outlook for Quail Tools is positive Continued improvement in GOM rental activity Rocky Mountain location continues to grow

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Increase UtilizationIncrease Utilization

Utilization rates increased in 2004 and are expected to improve from current levels during 2005

GOM barges currently operating at 74% utilization

Barge rig 72 has been relocated from Nigeria to GOM

Contract in Mexico significantly increased utilization of international land rig fleet. Full impact in 2005.

International barge rig utilization has increased recently:

Barge rig 257 in the Caspian Sea

Barge rigs 75 and 73 in Nigeria

5-Year Strategic Growth Plan

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Status of GOM BusinessStatus of GOM Business

Deep Barges 9/9 $ 25,800 $ 22,700 $ 20,900

Interm. Barges 3/4 $ 19,800 $ 17,700 $ 16,100

Workover Barges 2/6 $ 12,700 $ 11,800 $ 12,300

14/19 = 74% Utilization

Rig Type Utilization Current 4Q04 3Q04

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High Margin Rental Tool BusinessHigh Margin Rental Tool Business

Quail Tools provides premium rental tools for deep water and land drilling operations Consistent high margin business even during down cycles Significant contributor to Parker Drilling’s cash flow

Four locations: Louisiana, South Texas, West Texas and Wyoming – also services Barnett Shale in North Texas Tools rented Internationally – Mexico & Sakhalin Island

($ in thousands)

2001 2002 2003 2004

Revenues $65,629 $47,510 $54,637 $67,167

Gross Profit $42,624 $25,700 $31,586 $39,130

Gross Margins 64.9% 54.1% 57.8% 58.2%

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Quail ToolsQuail Tools

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Outstanding Safety RecordOutstanding Safety Record

Quail Tools

12%

U.S. Offshore 29%

International Land 29%

International Offshore

19%

Project Mgmt.

11%

0

1

2

3

4

5

1998 1999 2000 2001 2002 2003 2004

IADC

Parker

(1) TRIR = Recordable Incidents/100 Workers per Year

Total Recordable Incidence Rate (1)

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Near-Term FocusNear-Term Focus

Continue to manage costs

Minimize capital expenditures Will be approximately $60 million in 2005 Limit to maintenance and high return projects Active preventive maintenance program

Continue to focus on Balance Sheet improvement

Begin to pursue prudent growth plan

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Favorable Industry OutlookFavorable Industry Outlook

The strength of oil and gas prices resulted in improvements to dayrates and utilizations in most of the Company’s drilling markets in 2004 During 2003 E & P companies addressed a number of issues

including debt reduction and lack of acceptable well prospects

Continued strength in commodity prices should support improving worldwide rig count.

E & P expenditures expected to increase in near future (1)

International E & P spending growth• 2005 estimate of 9% vs. 2004 actual of 11%

Domestic E & P spending growth• 2005 estimate of 14% vs. 2004 actual of 16%

(1) Based on industry research