LONDON, Sept. 21, 2018 /PRNewswire/ -- Noble
Corporation plc (NYSE: NE) today announced the purchase of a new
Gusto MSC CJ46 design jackup rig from the PaxOcean Group (PaxOcean)
in connection with a concurrently awarded drilling contract.
Noble paid $33.75 million of the
$93.75 million purchase price in
cash, with the remainder of the purchase price, or $60 million seller-financed at a 4.25% interest
rate paid in cash and 1.25% paid in kind over the term of the
financing. The Company used existing cash balances for the initial
payment and the secured seller-financed amount is to be repaid in
four years. The Company also has an option for the purchase
of a second newbuild CJ46 jackup from PaxOcean.
The newbuild jackup, to be named the Noble Johnny
Whitstine, was built at the PaxOcean Graha shipyard in Batam,
Indonesia. The robust rig design
for moderate environments allows for operations in water depths of
up to 375 feet and well depths of 30,000 feet. A modern drilling
control system and versatile 70 ft. x 40 ft. envelope cantilever
skidding system equipped with two blow out preventers contribute to
the rig's enhanced drilling capabilities.
In connection with the purchase, Noble has entered into a new
drilling contract in the Middle
East region with a three-year primary term, plus a one-year
option, with an expected commencement of early-2019.
Julie J. Robertson, Chairman,
President and Chief Executive Officer of Noble Corporation plc,
stated, "With our premium jackup rig fleet fully committed through
late-2018, and further evidence of rising jackup demand into 2019,
we remain focused on growth opportunities that reinforce our
competitive position. This attractive acquisition of a proven and
highly versatile jackup design will provide us with a near term
contract commitment and future opportunities where growing customer
demand is evident."
About Noble Corporation plc
Noble is a leading
offshore drilling contractor for the oil and gas industry. The
Company owns and operates one of the most modern, versatile and
technically advanced fleets in the offshore drilling industry.
Noble performs, through its subsidiaries, contract drilling
services with a fleet of 25 offshore drilling units, consisting of
12 drillships and semisubmersibles and 13 jackups, focused largely
on ultra-deepwater and high-specification jackup drilling
opportunities in both established and emerging regions worldwide.
Noble is a public limited company registered in England and Wales with company number 08354954 and
registered office at Devonshire House, 1 Mayfair Place,
London, W1J 8AJ England. Additional information on Noble is
available at www.noblecorp.com.
Forward-looking Disclosure Statement
Statements
regarding the new drilling contract, the contract commencement, the
seller-finance terms, contract commitments, capital expenditures,
customer relationships and requirements, strategic initiatives,
growth opportunities, the offshore drilling market, market outlook,
capital allocation strategies, as well as any other statements that
are not historical facts in this release, are forward-looking
statements that involve certain risks, uncertainties and
assumptions. These include but are not limited to matters that
prevent or delay the closing of the transaction, operating hazards
and delays, shipyard risks and timing, delays in mobilization of
the rig, risks associated with operations outside of the U.S.,
actions or claims by regulatory authorities, customers and other
third parties, legislation and regulations affecting drilling
operations, compliance with regulatory requirements, factors
affecting the level of activity in the oil and gas industry, supply
and demand of drilling rigs, factors affecting the duration of
contracts, the actual amount of downtime, factors that reduce
applicable dayrates, violations of anti-corruption laws, hurricanes
and other weather conditions, market conditions, the future price
of oil and gas and other factors detailed in the Company's most
recent Form 10-K, Form 10-Q's and other filings with the Securities
and Exchange Commission. Should one or more of these risks or
uncertainties materialize, or should underlying assumptions prove
incorrect, actual results may vary materially from those
indicated.
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SOURCE Noble Corporation