In the early 1960s, an onshore drilling company, Brewster-Bartle, went bankrupt. The banks that had become the owners of the company’s rigs contacted Don McMahon (whose printed signature appears on this piece), a Texas rancher and oil man, and asked him to take over the failed company. McMahon accepted the challenge and formed Diamond M Drilling Co. in 1964. He named the company after Diamond M Acres, his ranch near Simonton, Texas.
McMahon took his company public in 1970 and expanded into offshore waters with the building and purchase of jack-up, barge, and semisubmersible rigs. In the early 1970s, Diamond M was one of the largest owners of barge rigs in the energy industry. The company continued to drill both on land and offshore.
In the late 1970s, Western Oceanic tendered an offer to buy Diamond M. Unwilling to be purchased, Diamond sought and found a “white knight” in Kaneb Services, Inc.
After the oil collapse of the 1980s, Kaneb was fighting bankruptcy. Jim Tisch of Loews Corporation
, New York, (a diversified holding company) had been buying drilling rigs at distress prices. He approached Diamond M’s president, Bob Rose, in 1989 with an offer to buy a rig. Rose instead suggested that Tisch buy substantially all of the company’s assets, which Tisch did.
In an opportunistic transaction in 1992, Diamond M Corporation, under Loews' ownership, purchased all of the outstanding stock of ODECO Drilling Inc. from ODECO Oil and Gas Co., a subsidiary of Murphy Oil. Through the transaction, Diamond M acquired a total of 39 rigs - 19 semisubmersibles, 14 jack-ups, one drill ship, three platform units and two submersibles. Shortly thereafter, Diamond M Corp. briefly changed its name to Diamond M-ODECO Drilling Inc. before becoming Diamond Offshore Drilling, Inc., in 1993.
Until October 1995, Diamond Offshore remained a wholly owned subsidiary of Loews Corp. Then Loews sold 30 percent of the company in an initial public offering, and Diamond Offshore began trading on the New York Stock Exchange under the ticker symbol “DO.”
In April 1996, Diamond Offshore acquired Arethusa (Offshore) Ltd. (including eight semisubmersibles and three jack-up rigs).
Close Up of Vignette:
Common Stock, specimen, late 1900’sPrinter: Security-Columbian / United States Bank Note Company Dimensions:
8” (h) x 12” (w)State: TX-Texas Subject Matter: Oil and Related
| Oil Drilling
| Specimen Pieces Vignette Topic(s): Female Subject
| Off Shore Oil Rig Featured
| Company Logo Featured Condition:
No fold lines, punch hole cancels in the signature areas and body, very crisp.