Question-and-Answer Session
Operator
(Operator instructions) And our first question comes from the line of James West with Barclays Capital. Please go ahead.
James West – Barclays Capital
Hi good morning guys.
Bob Peebler
Hi.
James West – Barclays Capital
Bob, when you talk to your contractor customers and your oil company customers and get a sense for their thinking on exploration budgets, do you think – is it fair to say at this point that the exploration budgets may have hit a bottom, I mean it looks like it from kind of your numbers and from what we hear is more a seismic companies, but I'm curious as to your thoughts on that and clearly places like North America are a little bit different, but maybe on a more global basis?
Bob Peebler
I think on a global basis and aggregate, I think what you're suggesting is, is what we are also picking up on, I think there is a growing feeling of confidence that the oil prices are not going to go to 30, they are in fact only about 50, we know that some of our larger oil company customers are using towards the $50 as their, I don't think it is a price tax, but is sort of how they are adjusting organizations.
So, I think, we have also seen the bottom. My own belief is that they entered into 2009 with tremendous amount of uncertainty, it has taken them almost to this point to even get themselves organized and release budgets and I would guess as the year unfolds we will see some strengthening just in spending going forward that is what we are sort of assuming like in the data library sales and then going into 2010, obviously the oil prices hold up, I think we will see things even further strengthening.
James West – Barclays Capital
Okay and then on the FireFly, business obviously you have had a lot of success with the systems that are in the field now, I believe, you know two of these projects are more rental type agreements, when are you comfortable, I guess first on putting more FireFly equipment out in the field into new customers hands? And then two, do you think any of these rental agreements turn into sales at some point?
Bob Peebler
First is from an activity point of view, we are seeing a growing interest in FireFly as you would expect, we are getting enough activity in multiple places and we are having enough operational success and I think people are getting more and more confidence in the system. So because of that and sort of the flow of interest, we see a lot be driven by oil companies, as we look forward into next year, we can really imagine, we are going to have to expand that fleet one way or the other.
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