BORR DRILLING ACQUIRES PARAGON OFFSHORE

Breaking News

Borr Drilling announced a binding tender agreement to offer to purchase all outstanding shares in Paragon Offshore. Total acquisition price for all outstanding shares is estimated at USD232.5 million. Paragon had as of January 31, 2018 a revenue backlog of USD204 million. The acquisition is expected to close in March 2018, and is subject to customary closing conditions. Paragon is an international driller with a fleet of 32 drilling units as per January 2018. This fleet includes two modern units of the leading JU-2000E design, the Prospector 1 and Prospector 5 built in 2013 and 2014 currently located in the North Sea. These rigs in particular will complement Borr’s fleet and further consolidate its leading position in the premium jack-up segment. Additionally, it provides a solid base for growth in the recovering North Sea rig market. The portfolio also includes a semisubmersible MSS1 scheduled to go on a long-term contract for TAQA in the North Sea starting in March. The Prospector 1 and five of Paragon’s older jack-ups are currently working in the North Sea, India and Middle-East, with four additional jack-ups under contract or committed, including Prospector 5. In addition, there are 21 older uncontracted jack-ups stacked in different locations. Paragon has a strong operational track record, including average uptime over the last three years of 99.15%. “We are acquiring an experienced organisation, solid management systems, and quality assets at attractive prices. By integrating a very capable operating platform, Borr will be qualified based on the historical track record to tender, win contracts and operate in most jurisdictions”, commented CEO Simon Johnson. “As almost 50% of the global rig fleet is more than 30 years old, responsible owners should take steps to rationalise their fleets and consolidate the fragmented market. Borr wants to be at the forefront of this initiative. Borr will, as communicated, focus on operating modern, high-spec assets. In view of this strategy the board will evaluate the future of the uncontracted older jack-ups which are part of the Paragon fleet. Based on the anticipated high reactivation cost, safety standards and drilling efficiency it is likely that most of these units will not be marketed for new drilling contracts,” Chairman Tor Olav Troim followed up in a comment. Borr will, following completion of the transaction, own 24 premium jack-ups built after 2000, and become the world’s largest premium jack-up rig operator. In September 2013, after comprehensive consideration, Noble Corporation announced that it would create a separate standard specification drilling company. This company, which became Paragon Offshore, would operate standard specification shallow water, midwater and deepwater assets, while Noble would retain the high specification and ultradeepwater units. The spin-off of Paragon Offshore plc was completed August 1, 2014. (Source: Borr Drilling – C20052 enetering Eemshaven, The Netherlands/Image: Wagenborg)

FIRST LIVE OIL SEEPS DISCOVERED ONSHORE JAMAICA

February 23, 2018

CGG GeoConsulting and the Petroleum Corporation of Jamaica (PCJ) have announced the discovery of two independent live oil seeps from different parts of...

Read More+
EXMAR FSRU ON ITS WAY TO SINGAPORE

February 23, 2018

Exmar announces that its FSRU (Floating Storage and Regasification Unit) barge delivered end of 2017 has left the Wison Offshore Marine and is on her way...

Read More+
SOCAR TO DRILL ONSHORE BANGLADESH

February 22, 2018

After winning the international tender previously announced by Bapex, Socar will conduct the drilling and construction of the onshore wells: Semutang Dakkhin...

Read More+
GMGS CONTRACTS FUGRO TO SEARCH FOR GAS HYDRATES IN SOUTH CHINA SEA

February 22, 2018

Fugro has been awarded a contract by Guangzhou Marine Geological Survey (GMGS) for gas hydrate investigation on the Northern Continental Slope of the South...

Read More+
TRANSOCEAN Q4 2017 RESULTS

February 22, 2018

Transocean Q4 2017 results included net unfavorable items of $18 million. After consideration of these net unfavorable items, fourth quarter 2017 adjusted...

Read More+
NOBLE ENERGY SELECTS SCHLUMBERGER PUREMEG PROCESS SOLUTION

February 22, 2018

Schlumberger announced the award by Noble Energy of an engineering and supply contract for a two-thousand-ton single-lift PUREMEG process module to be...

Read More+
GULF OF MEXICO – FATALITY ON TALOS PLATFORM IN WEST CAMERON

February 22, 2018

The Bureau of Safety and Environmental Enforcement is conducting an investigation into the fatality of a third-party construction worker in an area of...

Read More+
WARTSILA AND MAERSK DRILLING CREATE 25-YEAR THRUSTER MAINTENANCE STRATEGY

February 21, 2018

The technology group Wartsila and the global drilling contractor Maersk Drilling have joined forces in a unique co-operation to create a 25-year thruster...

Read More+
NOVATEK WINS BID FOR ALROSA GAS ASSETS

February 21, 2018

PAO Novatek won the open auction to acquire a 100% stake in Maretiom Investments Limited (owns 100% equity share in Geotransgaz) and 100% of Velarion Investments...

Read More+
ANADARKO SIGNS MOZAMBIQUE LNG DEAL WITH FRENCH EDF

February 21, 2018

Anadarko Petroleum Corporation announced Mozambique LNG1 Company, the jointly owned sales entity of the Mozambique Area 1 co-venturers, has entered into...

Read More+
FIVE-YEAR DEAL FOR BRISTOW U.S. IN GUYANA

February 20, 2018

Bristow U.S. LLC announced that it has secured a multi-year contract to provide helicopter offshore crew change and search and rescue (SAR) services to...

Read More+
LUKOIL RESERVES ESTIMATES UP

February 20, 2018

Lukoil announced the results of the oil and gas reserves assessment and independent audit as of December 31, 2017. According to the SEC (U.S. Securities...

Read More+
Page 1 of 55912345...102030...Last »