If you're relatively new to the oil and gas space, tuning into a company webcast can be a little daunting. You will undoubtedly hear management and analysts tossing around all sorts of jargon. As an investor, you need to brush up on the lingo if you want to get the most information out of these calls.
One frequent point of discussion is the expected timing of a particular well to be "spud." A well is considered spud at the moment the drillbit hits the ground. The same goes for offshore drilling -- passing through water on the way to the seabed doesn't count. StatoilHydro
A well's spud date marks the starting point from which you measure how long it takes to drill a well. So, why is this important for investors?
Variants of this measure are "spud to completion" and "spud to sales." The former refers to the time it takes to complete a well (i.e. cement casing in place), while firms like Encore Acquisition