Varco's Electronic Driller First to Demonstrate Performance Benefits; See It Work During OTC at Booth 3741.

Energy Editors/Business Editors

Offshore Technology Conference

HOUSTON--(BUSINESS WIRE)--May 6, 2003

Varco International Inc. (NYSE:VRC) has released field data showing drilling performance improvement using the Varco Electronic Driller.

The Electronic Driller is the only automatic drilling system that maintains a constant drilling state at the drill bit through continuous pay out of the drill line. This constancy ensures optimum bit contact with the formation, thereby reducing bit bounce and increasing rate of penetration. Equally impressive is the greater well bore quality in wells drilled with the Electronic Driller.

"The Electronic Driller is the only automatic driller that combines ROP, weight on bit, differential pressure and drilling torque to automatically control drawworks feed off, and provides superior proportional braking control that allows for continuous fast line payout," said Greg McLaughlin, product line manager for Electronic Driller. "For conventional rigs, Varco can easily replace the electromagnetic brake with a proportionally controlled plate disk brake, which is required to achieve this performance."

Field data on the Electronic Driller showed drilling performance improvements such as 37 percent reduction of rotating hours, reduced bit wear, improved directional control and enhanced core samples.

"With over 50 Electronic Drillers recently sold, our customers are realizing significant efficiency gains during the drilling process," said McLaughlin.

Varco's drilling system also includes block control functions that provide safer rig operations during tripping. Connection times improve because the Electronic Driller can consistently position the elevator for the floormen and derrickman, which reduces driller stress by helping him with critical control functions.

Varco International Inc. is a leading provider of highly engineered drilling and well-servicing equipment, products and services to the world's oil and gas industry. With operations in over 350 locations in over 40 countries across six continents, the Company manufactures and supplies innovative drilling systems and rig instrumentation; oilfield tubular inspections and internal tubular coating; drill cuttings separation, management and disposal systems and services; and coiled tubing and pressure control equipment for land and offshore drilling and well stimulation operations. The Company also provides in-service pipeline inspections, manufactures high-pressure fiberglass and composite tubing, and sells and rents advanced in-line inspection equipment to makers of oil country tubular goods.

The foregoing contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. The forward-looking statements are those that do not state historical facts and are inherently subject to risk and uncertainties. The forward-looking statements contained herein are based on current expectations and entail various risks and uncertainties that could cause actual results to differ materially from those projected in the forward-looking statements. Such risks and uncertainties include, among others, general economic, financial and business conditions, the ultimate realization of revenue and profit from existing backlogs, risks associated with growth through acquisitions, and other factors discussed in the Company's Annual Report on Form 10-K for the year ended Dec. 31, 2002, under the caption "Factors Affecting Future Operating Results."