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Exhibit 10.47
 
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Corporate Presentation September 2005Allis-Chalmers Energy
 

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2 Allis-Chalmers Energy Inc.Forward-Looking Statements This Presentation is
presented as a brief company overview for the information of investors, analysts
and other parties with an interest in Allis-Chalmers Energy Inc. (herein
referred to as “the Company”, “Allis-Chalmers”and by its stock exchange ticker,
“ALY”). The management of Allis-Chalmers hopes that this Presentation will
encourage analysts and investors to investigate more about the Company through
its Securities and Exchange Commission (SEC) filings, press releases and other
public materials. This Presentation does not constitute an offer to sell or a
solicitation of an offer to buy any securities of the Company. This Presentation
contains forward-looking statements, including, in particular, statements about
ALY’sbusiness, financial condition, plans, strategies and prospects.Words such
as expects, anticipates, intends, plans, believes, seeks, estimates and similar
expressions are intended to identify forward-looking statements but are not the
exclusive means of identifying forward-looking statements. These statements are
based on the Company’s current assumptions, expectations and projections about
future events based on facts known to the Company and are subject to a wide
range of business risks. The Company encourages investors to review the
information regarding the risks inherent to Allis-Chalmers and the energy
industry in which it operates, as described in its Form 10-K for the year ended
December 31, 2004, a copy of which is available free of charge over the Internet
at the SEC’s website (http://www.sec.gov). This Presentation does not purport to
be all-inclusive or to contain all of the information that a reader may desire
as to the structure or the affairs of the Company. Although the Company believes
that the assumptions reflected in these forward-looking statements are
reasonable, the Company can give no assurance that these assumptions will prove
to be correct or that financial or market forecasts, savings or other benefits
anticipated in the forward-looking statements will be achieved. Forward-looking
statements are not guarantees of future performance and actual results may
differ materially from those projected. The information contained in this
Presentation is only current as of its date, and the Company undertakes no
obligation to update this Presentation.
 

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Corporate Overview -Positioned for GrowthMulti-faceted oilfield services
business formed in 2001Operating in five primary sectors•Directional drilling
•Casing & tubing installation•Compressed air drilling •Production
services•Rental toolsTargeting markets growing faster than oil service
averageBuilding track recordSix Month Revenues for the Periods Ended June 30,($
in millions) 05 10 15 20 25 30 35 40 45 2003 2004 2005 $7.5 $14.3 $42.9
 

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Strong Industry Dynamics…have driven 10-year highs in Rig Count•85% of ALY’s
business is derived from gas drilling Positive trends in Oil & Natural Gas
Prices…10-Year Oil & Gas Prices10-Year U.S. Rig Count $0.00 $1.00 $2.00 $3.00
$4.00 $5.00 $6.00 $7.00 $8.00 Jul-95 Jul-96 Jul-97 Jul-98 Jul-99 Jul-00 Jul-01
Jul-02 Jul-03 Jul-04 Jul-05 $/Mcf $0 $10 $20 $30 $40 $50 $60 $/Bbl U.S. Avg
Wellhead Natural Gas Price WTI Crude Oil 0 2004 00 600 800 1, 000 1,200 1,400
Jul-95 Jul-96 Jul-97 Jul-98 Jul-99 Jul-00 Jul-01 Jul-02 Jul-03 Jul-04 Jul-05
Rigs Working
 

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5 Strong Industry Dynamics and within the U.S. directional and horizontal
markets Solid demand in niche markets within Mexico……Mexico Rig Count,
1995-2005Total Rig Count and Composition 1995-2005 02004
006008001,0001,2001,4001,600Jul-95Apr-96Jan-97Oct-97Jul-98May-99Feb-00Nov-00Aug-01May-02Mar-03Dec-03Sep-04Jun-05Rotary
Rigs Working0%10%20%30%40%50%Relative Composition Total Rig Count Directional &
Horizontal Relative Composition020406080100120140 Jun-95 Jun-96 Jun-97 Jun-98
Jun-99 Jun-00 Jun-01 Jun-02 Jun-03 Jun-04 Jun-05 Active Rigs Source: Baker
Hughes
 

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Focused and Proven Strategy
Providing services to the drilling and production sectors using the highest
quality equipment and skilled operators. Making acquisitions at attractive
multiples. Building a strong foundation through dedicated employees Striving to
be customer’s “First Call.” Focusing on markets that are growing faster than the
drilling rig count. Expanding product and services offerings in existing
locations.
 

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Recent Developments April 2005 -Acquired Delta Rental Service, Inc. May 2005
-Acquired Capcoil Tubing Services, Inc. July 2005 -Acquired the remaining 45%
equity interest in AirComp owned by M.I. LLC July 2005 -Restructured debt ▫New
$55.0 million credit facility Aug. 2005 -Strengthened balance sheet ▫Raised $16
million in recent equity offering Sept. 2005 -Acquired $15 million in casing and
tubing installation equipment New operating locations in Grand Junction (Co.),
Oklahoma City, Corpus Christi, Midland, Buffalo and Alice, Texas

 

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Casing & Tubing39%Other Services5%Air Drilling22%Directional Drilling34%Casing &
Tubing20%Other Services8%Air Drilling23%Directional Drilling49%Diversified
Business Mix:LTM EBITDA:LTM Revenue:(1) Other Services segment includes results
for Rental Tools segment and Production Services segment(1) (1)
 

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Directional DrillingEnhanced sales and operations teamExpanded directional
drillers from 10 to over 60Investing in motor technologyExpanding straight hole
motor businessQ2’05 revenue increased 70.3% to $10.9MM from $6.4MM in
’04Revenue($ in millions)EBITDA ($ in millions)

$16.0 $24.8 $33.9 $0.0 $5.0 $10.0 $15.0 $20.0 $25.0 $30.0 $35.0 $40.0 2003 2004
LTM
$1.4 $3.5 $5.7 $0.0 $1.0 $2.0 $3.0 $4.0 $5.0 $6.0 $7.0 2003 2004 LTM
 

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Casing & Tubing Installation Increased crew count froam 7 to 14 and opened
facilities in Alice, TX and Buffalo, TXExpanding market share & allocating
increased resources to MexicoMeeting the domestic challenge with new management
teamExtensive inventory of specialized equipmentAsset acquisition -offshore /
south LouisianaQ2’05 revenue increased 60.7% to $3.9MM from $2.4MM in
’04Revenue($ in millions)EBITDA($ in millions)$10.0 $10.4 $13.5 $0.0 $2.0 $4.0
$6.0 $8.0 $10.0 $12.0 $14.0 $16.0 2003 2004 LTM$5.0 $4.8 $6.5 $1.0 $2.0 $3.0
$4.0 $5.0 $6.0 $7.0 $8.0 2003 2004 LTM
 

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Compressed Air Drilling Services Providing air package systemsExpanding scope of
services through acquisitionsWell-positioned for under balanced drilling
growthAcquired the 45% equity interest in AirCompfrom M-I LLCQ2’05 revenue
increased 90.6% to $4.9MM from $2.6MM in ‘04Revenue($ in millions)EBITDA ($ in
millions) $6.7$11.6$15.6$0.0$2.0$4.0$6.0$8.0$10.0$12.0$14.0$16.0$18.020032004LTM
$1.2$2.5$3.7$0.0$0.5$1.0$1.5$2.0$2.5$3.0$3.5$4.0$4.520032004LTM
 

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Production Services Engaged in downholewell servicing by providing coil tubing
and capillary tubing services to enhance production from existing
wellsAcquisitions•DownholeInjection Systems LLC -Acquired December
2004•CapcoilTubing Services -Acquired May 2005
 

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Rental Tools Providing specialty rental items to the oilfield such as:•Spiral
heavy-weight drill pipe•Test plugs, retrieving tools and wearbushingsto test
blow-out preventors•Spacer spools and assorted handling
toolsAcquisitions•SafcoOilfield Products, Inc -Acquired September 2004•Delta
Rental Services, Inc. -Acquired April 2005
 

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Controlled Growth Strategy Complete attractive acquisitionsIntegrate
acquisitionsIncrease market share with existing customersDiversify customers and
geographyExpand service offering at existing locationsExpand equipment fleet
 

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Achieved Revenue 3-Year CAGR of 63%
$18.0 $32.7 $47.7 $69.6 $0 $10 $20 $30 $40 $50 $60 $70 $80 200 220 032 004 LTM
Revenue ($ in millions)
 

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Produced Solid Growth in Operating Income Operating Income($ in millions)
$2.6$4.2$7.2$(1.1)-$2$0$2$4$6$8200220022003200320042004LTMLTM
 

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Strong Six Month Results Revenue($ in millions)$21.1$42.9$0$10$20$30$40$50Six
Months 2004Six Months 2005$2.2$5.2$0$1$2$3$4$5$6$7Six Months 2004Six Months
2005Operating Income($ in millions)
 

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Strong Second Quarter Performance(in thousands, except EPS)Three Months Ended
June 30,Six Months Ended June 30,20042005Increase20042005IncreaseRevenue
$11,422$23,588106.5%$21,083$42,922103.6%Gross profit3,003 6,805 126.6%5,136
12,440 142.2%EBITDA1,919 4,432 131.0%3,787 7,987 110.9%Operating income1,150
2,914 153.4%2,180 5,161 136.7%Net income377 1,769 369.2%761 3,336 338.4%EPS
Basic0.06$ 0.13$ 116.7%0.15$ 0.24$ 60.0% Fully Diluted0.05$ 0.12$ 140.0%0.13$
0.22$ 69.2%
 
 

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Capitalization Table(in thousands) At June 30, 2005 Actual Pro Forma (1) Cash
and cash equivalents $ 2,693 $ 18,597 Long-term debt, including current
maturities $ 37,890 $ 50,182 Stockholder’s Equity Common stock $ 140 $ 158
Additional paid-in-capital 42,077 57,963 Accumulated deficit (2,022) (2,588)
Total stockholders’ equity $ 40,195 $ 55,533 Total capitalization $ 78,085 $
105,715 (1) Pro forma for acquisitions completed in July and net proceeds from
August 2005 equity offering
 

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Investment HighlightsStrong market position in segments servedSustained organic
growth•Diversified base of over 300 customers•Increased service offerings at
existing locations•Geographic diversificationOperations in TX, LA, NM, CO &
MexicoGrowth through acquisitionProven ability to integrate
acquisitions•Achieved Revenue 3-Year CAGR of 63%Experienced management teamSolid
balance sheet to support future growth
 

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Historical Results Six Months Ended June 30, Year Ended December 31, 2001 2002
2003 2004 2004) 2005) (unaudited) (unaudited) Consolidated EBITDA (loss) ($0.3)
$1.4 $5.6 $7.8 $3.8 $8.0 Depreciation and amortization 1.1 2.6 2.9 3.6 1.6 2.8
GAAP Income / (loss) from operations ($1.4) ($1.2) $2.6 $4.2 $2.2 $ 5.2 Interest
expense, net 0.9 2.3 2.5 2.8 1.1 1.2 Income taxes 0.0 0.3 0.4 0.5 0.2 0.3 Gains
on asset sales & litigation 0.0 0.0 3.4 0.0 0.0 0.0 Minority Interest, other
expense & dividends 0.0 0.7 1.0 0.2 0.5 0.6 Net income (loss) from continuing
operations (2.3) (4.3) 2.3 0.8 $0.9 $3.3 (Loss) from discontinued operations &
(Loss) from sale of discontinued operations (2.3) 0.0 0.0 0.0 0.0 0.0 Net income
(loss) to common ($4.6) ($4.3) $2.3 $0.8 $0.8 $3.3 Weighted Average Diluted
Shares O/S (mm) 0.8 3.8 5.8 12.0 6.9 14.9 Diluted EPS ($5.75) ($1.14)$0.39$0.07
$0.13 $0.22 EBITDA Reconciliation to Net Income