July 2005

1
IPAAs 9th Annual Oil Gas Investment Symposium
London

July 2005
2
Presenting Management

• Neil G. Russell
• Sr. Vice President Business Development
• Sr. Vice President Premium Connections

3
Forward Looking Statements
To the extent this presentation reflects our
expectations about Hydrils business or
performance for any future period, we are relying
on the safe harbor protections afforded by
federal law. We caution you that Hydrils
business or performance in the future may differ
materially from those expectations.
Forward-looking statements should be weighed in
the context of the many risks, issues, and events
that could cause Hydrils actual performance to
be different from that contemplated in this
presentation, including, but not limited to, the
impact of changes in oil and natural gas prices
and worldwide and domestic economic conditions on
drilling activity and demand for and pricing of
Hydrils products, the impact of geo-political
and other events affecting international markets
and trade, Hydrils ability to remain on the
leading edge of technology in its products and
maintain and increase its market share, the
impact of international and domestic trade laws,
the loss of or change to distribution methods of
premium connections in the U.S. and Canada,
overcapacity in the pressure control industry,
high fixed costs that could affect the pricing of
Hydrils products, and the other risk factors
discussed in our most recent Quarterly Report on
Form 10-Q for the first quarter of 2005 filed
with the Securities and Exchange Commission.
4
Todays Presentation

• Overview
• Premium Connections
• Pressure Control
• Financials
• Investment Premise

5
Hydril Summary

• Founded 1933
• IPO September 2000
• Stock price - 52-week range US28.50 - 64.58
• Stock price - 30-day average US52.12
• Market Cap US1.2
  billion
• Float 82.8
• NASDAQ Ticker HYDL

As of 6/21/2005
6
Overview

• Leader in our segments
• Premium Connections
• Pressure Control
• Deep formation and offshore drilling leverage
• Technical innovator
• Global presence
• Brand name recognition
• Financial stability

7
Business Segments
Premium Connection Revenue US184.8 million
End users EP companies Manufacturing
service Low working capital International
domestic manufacturing

• Pressure Control
• Revenue US100.6 million
• End users drilling
• contractors
• Capital equipment
• Aftermarket parts
• Domestic manufacturing

2004
8
Revenue Distribution
TTM
Segments
Geographic
Pressure Control 34
United States 32
Premium Connections 66
International 68
TTM as of 3/31/05
9
Todays Presentation

• Overview
• Premium Connections
• Pressure Control
• Financials
• Investment Premise

10
Premium Connections

• Hydril invention
• Proprietary designs
• 30 U.S. patents
• End users EP companies
• Largest integral casing market share and
  threading capacity
• Early / middle cycle

11
Deep Formation Leverage
Premium Connections
20,000
10,000
15,000
US125,000
US320,000
US600,000
Note potential premium connection revenue per
well
12
Market Share
Premium Connections
United States
Ex-United States
Hydril
Others
Kawasaki
Others
Hydril
Hunting
Tenaris
VAM
VAM
Grant Prideco
Note full length threading only excludes
accessory threading, pipe, etc. excludes Russia
and China Sources Spears Associates, and
management estimates
13
Earnings Growth Opportunities
Premium Connections

• International markets growing
• U.S. demand is strong
• Expanded N. American capacity
• New products
• GB connections
• Big Wedge
• Other large diameter connections

14
Todays Presentation

• Overview
• Premium Connections
• Pressure Control
• Financials
• Investment Premise

15
Pressure Control

• Hydril invented annular blowout preventer (BOP)
• 53 U.S. patents
• End users drilling contractors
• Brand name drilling equipment franchise
• Middle / late cycle

16
Business Model
Pressure Control

• Capital Equipment

• Aftermarket

17
Market Share
Pressure Control
Capital Equipment
Aftermarket
Hydril
Hydril
Non-OEM
Others
Cooper Cameron
National Oilwell Varco
Note capital equipment served markets only
aftermarket pertains to Hydril aftermarket
products only Source management estimates
18
Deepwater Leverage
Pressure Control
Deepwater
Platform/Jackup
Land
US2.0 4.0 million
US0.5 1.0 million
US14.0 18.0 million
Note potential capital equipment revenue per rig
19
Capital Equipment Backlog
Pressure Control (US Millions)
20
Earnings Growth Opportunities
Pressure Control

• Large installed base drives aftermarket revenue
• Offshore rig upgrades and newbuilds
• New technologies and products
• Quik-Loq - high pressure, ram blowout preventer
• New generation of surface MUX controls
• Flowguard pulsation dampeners

21
Todays Presentation

• Overview
• Premium Connections
• Pressure Control
• Financials
• Investment Premise

22
Operating Results
Consolidated Company

23
Financial Summary
(US Millions, except per share data )
Note excluding one-time tax benefits
24
Todays Presentation

• Overview
• Premium Connections
• Pressure Control
• Financials
• Investment Premise

25
Investment Premise

• Leader in our segments
• Premium Connections
• Pressure Control
• Deep formation and offshore drilling leverage
• Technical innovator
• Global presence
• Brand name recognition
• Financial stability

26
P.O. Box 60458 Houston, Texas 77205-0458
Sue Nutt, Manager Investor Relations
Corporate Communications [phone]
www.hydril.com NASDAQ HYDL