According to Esgian, an Oslo based company that provides analytical tools for the energy industry, noted that the Norwegian company Eldorado Drilling AS raised $70 million in a private placement connected to its acquisition of two newbuild ultra-deepwater drillships. The rigs are expected to be delivered in 2024 and according to one of the banks involved, Eldorado will charter the units out externally.   The net of proceeds from the private placement will fund outstanding yard payments for the rig acquisitions and general corporate purposes. Fearnley Securities and SpareBank 1 Markets acted as joint bookrunners in the transaction. The transaction was increased from $60 million due to demand from investors.   Eldorado Drilling acquired the 12,000-ft 7th generation drillship West Dorado from Samsung Heavy Industries in January 2023.   As reported by Esgian, the second drillship acquired is the 10,000-ft 7th generation drillship Pacific Zonda, also under construction at Samsung Heavy Industries.   Photo Credit: Ultradeep - @Ultradeep3   Source: Esgian   Join our mailing list here We are #1 on Google and Bing for the "Largest Mobile Energy Network" Come join our community! Download the Rig Lynx app here  

  Exxon Mobil Corp has held preliminary talks with Pioneer Natural Resources Co about a possible acquisition of the U.S. shale oil producer, the Wall Street Journal reported on Friday, citing people familiar with the matter.   Discussions between the two companies about a potential deal have been informal, the newspaper said, adding that Exxon executives have discussed a potential tie-up with at least one other company.   Exxon and Pioneer declined to comment on the report.   Exxon views Pioneer as a top target to put its "windfall profits to use," the report said, adding that the talks may not lead to formal negotiations and Exxon may target another company.   Exxon last year earned a record $55.7 billion on sky high oil and gas prices and ended the year with $29.6 billion in cash and equivalents.   The largest U.S. oil producer this week signaled that its first-quarter operating profits dropped about 25% from the fourth quarter of last year, as oil and gas prices eased and refinery maintenance costs rose. Results for the quarter that ended on March 31 are expected to be reported on April 28.   Pioneer, the third-largest producer of oil after Chevron Corp and ConocoPhillips in the top U.S. shale basin, denied a media report six weeks ago that it was considering an acquisition of smaller rival Range Resources Corp.   It said at the time that it was "not contemplating a significant business combination or other acquisition transaction." Source: Reuters   Join our mailing list here We are #1 on Google and Bing for the "Largest Mobile Energy Network" Come join our community! Download the Rig Lynx app here  

  Exxon Mobil Corp has ended a major campaign to find oil in Brazil.   Exxon said in an e-mail to Reuters its initial exploration drilling program in Brazil is now complete and that it is "still engaged in Brazil and continues to pursue exploration activity in the country".   The oil and gas giant suffered a sequence of drilling failures as an operator in the offshore acreage it started snapping up with partners for $4 billion in 2017, Reuters reported last year.   Exxon changed its Brazil country head last year and has been saying in presentations that it will focus efforts in the country with Bacalhau field, a successful exploration campaign led by its Norwegian partner Equinor ASA. In May 2022, Exxon agreed to expand with Equinor the $8-billion Bacalhau project expected to produce 220,000 barrels of oil and gas per day.   But that campaign also suffered delays, and its startup has been delayed to 2025, from 2024. Exxon said on Wednesday it is working with co-venturers to analyze the data to assess the potential for future exploration activities in those blocks.   Exxon had bet billions of dollars on offshore drilling in Brazil, and the country is one of the three geographic areas the company is counting on for most of its future production.   The other two - Guyana and U.S. shale country - are performing well, but Exxon is yet to make a major oil discovery as an operator in Brazil's water.   The WSJ report comes less than a day after Exxon signaled that its first-quarter operating profits dropped about 25% from last year's record levels on easing oil and gas prices.   Source: Reuters   Join our mailing list here We are #1 on Google and Bing for the "Largest Mobile Energy Network" Come join our community! Download the Rig Lynx app here  

  The Norwegian Petroleum Directorate (NPD) has granted Equinor a drilling permit for well 31/2-24 and 31/2-24 A in PL 923.   The well will be drilled at location 60° 46' 4.61'' N 3° 22' 12.08'' E by the Deepsea Stavanger semi-sub.   Licensees are: Equinor 40%; DNO Norge 20%; Petoro 20%; Wellesley Petroleum 20%.   Planned spud date is June 2023.   Source: NPD   Join our mailing list here We are #1 on Google and Bing for the "Largest Mobile Energy Network" Come join our community! Download the Rig Lynx app here  

  Seadrill has completed its acquisition of Aquadrill. As a result of the transaction, Aquadrill became a wholly owned subsidiary of Seadrill. In connection with the completion of the transaction, Seadrill issued an aggregate 29,866,505 common shares to former Aquadrill unitholders and equity award holders, resulting in issued share capital of $798,665.03 divided into a total of 79,866,503 Seadrill common shares, each with a par value of $0.01, validly issued, and fully paid and non-assessable.   The combination creates an industry-leading offshore drilling company, with a modern and high specification fleet. The Company will have a streamlined cost structure and will be well-positioned for further growth given its stronger credit and liquidity profile, providing attractive cash flows.   Commenting on the transaction, Simon Johnson, Seadrill’s President and Chief Executive Officer, said, 'We are delighted to have completed the acquisition of Aquadrill, welcoming its fleet back into the Seadrill family. The management team is focused on efficiently and rapidly integrating the two companies in order to realize the synergies arising from the transaction. Today is a crucial milestone for our Company and we firmly believe that we are well-placed for this industry upcycle. We remain optimistic in the continuing development of the rig market and our ability to deliver further value to our shareholders.'   Strategic Rationale   The combination of Seadrill and Aquadrill presents a compelling strategic rationale for all stakeholders:   Creation of a leading offshore driller with best-in-class fleet: The Company will be in a strong position to serve a broader range of customers, with one of the youngest and most technologically advanced fleets in the industry, and a combined backlog of $2.6 billion. The Company will own 12 floaters (including seven 7th generation drillships), three harsh environment rigs, four benign jack-ups, and three tender-assisted rigs. Additionally, seven rigs will be managed under strategic partnerships. Increased exposure and upside to the improving market: The Company will have a diversified portfolio of contract coverage, with additional active fleet capacity to deploy in a rising market environment across critical basins in the Golden Triangle. Significant synergy potential: The Company will be uniquely positioned to rapidly integrate and realize identified and achievable synergies of at least $70 million annually on a run-rate basis. All synergies are expected to be fully realized within two years of closing the transaction.   Strong cash flow generation and further strengthened balance sheet: The Company should benefit from an enhanced cash flow profile and a strengthened balance sheet, with significant credit and liquidity improvement, and with access to a potentially lower cost of capital.   Governance and Leadership   Seadrill will continue to be domiciled in Hamilton, Bermuda. As previously announced, Julie Robertson and Simon Johnson will continue in their respective roles as Chair of the Board of Directors, and President and Chief Executive Officer. In connection with the completion of the transaction, Harry Quarls and Jonathan Swinney were appointed to fill the two new positions on Seadrill’s Board of Directors that were approved at Seadrill’s annual general meeting of shareholders on March 21, 2023. For more information relating to these new directors, please visit our website at www.seadrill.com.   Source: Seadrill   Join our mailing list here We are #1 on Google and Bing for the "Largest Mobile Energy Network" Come join our community! Download the Rig Lynx app here  

  Transocean Ltd. announced contract fixtures for two of its harsh environment semisubmersibles. Together, the fixtures represent approximately $113 million in firm contract backlog.   Transocean Endurance was awarded a multi-well plug and abandonment contract in Australia with an independent operator. The estimated 240-day contract is expected to commence in January 2024 and contribute approximately $91 million in backlog, excluding fees for mobilization. The contract also provides for a series of options, potentially keeping the rig in Australia through the fourth quarter of 2025.   In Norway, Wintershall DEA exercised a one-well option on Transocean Norge. The well is expected to commence in May 2023 ahead of the existing firm term for 60 days and contribute approximately $22 million in backlog.   “These fixtures represent additional evidence of the strength of this cyclical recovery, notably for our harsh environment assets,” said Jeremy Thigpen, Transocean’s Chief Executive Officer. “Coupled with the awards for the Transocean Enabler and Transocean Encourage that were recently announced, we have added an incremental $494 million in backlog from our high-specification harsh environment fleet."   Source: Transocean   Join our mailing list here We are #1 on Google and Bing for the "Largest Mobile Energy Network" Come join our community! Download the Rig Lynx app here  

  Transocean Ltd. announced contract awards for two of its harsh environment semisubmersibles. Together, the fixtures represent approximately $382 million in firm contract backlog.   Transocean Enabler will provide drilling services for 19 firm wells and up to eight optional wells for Equinor on the Johan Castberg field in the Barents Sea. The estimated 570-day contract is expected to commence in April 2024 and contribute approximately $217 million in backlog, excluding additional services and potential performance bonuses.   Transocean Encourage will provide drilling services for nine firm wells for Equinor in the Norwegian North Sea. The contract is expected to commence in December 2023 in direct continuation of the rig’s current program. The estimated 460-day contract is expected to contribute approximately $165 million in backlog, excluding additional services and potential performance bonuses.   As part of the Enabler and Encourage contracts, each rig will receive customer-paid upgrades to digital management systems, robotics, and operational automation. These upgrades are expected to further reduce emissions from the rig and enhance personnel safety. Transocean and Equinor have also entered into a strategic collaboration agreement to explore future opportunities in areas such as technology development, operational efficiency, and environmental sustainability.   "We are pleased to secure these new contracts and to further strengthen our relationship with Equinor," said Jeremy Thigpen, Transocean’s Chief Executive Officer. "These contracts and our strategic collaboration agreement demonstrate our long-term commitment to working together to provide innovative solutions that deliver value to both our companies.'   Source: Transocean   Join our mailing list here We are #1 on Google and Bing for the "Largest Mobile Energy Network" Come join our community! Download the Rig Lynx app here  

  Odfjell Drilling has signed two Letters of Intent ('LOI’s') with a single client for the Deepsea Atlantic to conduct operations in the north sea region. The LOI’s have a combined firm duration of 23 months and a value of approx. USD 290 million excluding integrated services, upgrades/modifications or mobilisation fees. In addition to the base value, the LOI’s include provisions for performance bonuses and fuel incentives.   Following the firm period, there are four priced one well options. The arrangement also provides for three further optional periods of approx. one-year each with the rates for each period to be mutually agreed prior to exercising.   The LOI’s are contingent on license approval with one of the LOI’s also contingent on governmental approval and formalisation of contract. The work will begin consecutively following completion of the Special Periodic Survey, currently planned during first half of 2024.   Kjetil Gjersdal, Chief Executive Officer of Odfjell Drilling AS commented:   'In the year of our 50th anniversary these LOI’s are testament to Odfjell Drilling’s experience and continued drive to innovate and remain at the forefront of change in our industry. While providing valuable, continuous and lengthy backlog these contracts are also a platform for us to take the next step in terms of automation, digitalisation and carbon reduction together with our valued client.   'Over the last decade the Deepsea Atlantic has proven itself to be one of the most efficient ‘well factories’ in the harsh environment segment. We intend to build on this impressive track record and set a new efficiency benchmark for the industry to chase.'   Source: Odfjell   Join our mailing list here We are #1 on Google and Bing for the "Largest Mobile Energy Network" Come join our community! Download the Rig Lynx app here  

  Exploration of new oil wells in Brazil will receive around US$ 1.5 billion in investments in 2023. The forecast was revealed this week by the National Petroleum Agency (ANP), which published the data in a new panel dynamic on contracts in the exploration phase. The largest share of funds (US$ 1.1 billion) will be applied to the drilling of up to 33 new wells this year. Of this total, 22 wells will be drilled in onshore fields, while the remaining 11 will be offshore.   In the seismic part, the ANP estimates that the 2D seismic survey activities in 2023 will result in the acquisition of 2,646 km and the processing of 2,346 km. This year’s 3D seismic activities will cover 522 km² for acquisition and 925 km² for processing. The agency also foresees 21 tests of exploratory wells in 2023.   Exploratory activity in Brazil will remain heated for the next two years. Also according to the ANP, in 2024, the resources foreseen in exploratory areas will be approximately US$ 1.5 billion. Of this total, US$ 1.2 billion will be used to drill 36 new wells. As for 2025, the total estimated investment is around US$ 1.4 billion – of which US$ 1.2 billion will be earmarked specifically for drilling at least 18 new wells.   The exploration phase is the first of the contracts for oil and gas areas. At this stage, the explored areas are called blocks, and the companies carry out studies and activities (such as seismic surveys and well drilling) to detect the presence of oil and/or natural gas in sufficient quantity to make its extraction economically viable. If so, the company submits a declaration of commerciality to the ANP and the block (or part of it) becomes a producing field, initiating the production phase. If not, the company can return the block (or part of it) to the ANP.   The data released this week by the ANP are included in the Exploratory Work Plans (PTE) of the companies holding oil and gas exploration and production contracts. The PTE is the instrument by which the activities are specified, along with their respective schedules and budgets, for each block under contract, as well as for the period in which the remaining obligations are performed, activities linked to the decommissioning of facilities after the end of the contract of exploration and production in the exploration phase.   Previously, the ANP had already released a dynamic panel with forecasts of activities, investments and production of fields in the production phase. In this case, in 2023 alone, there will be US$ 22.8 billion in investments. The largest share of the resources will be destined for the Santos Basin (US$ 14.3 billion). Then comes the Campos Basin, with an estimated US$ 7.6 billion. For 2024, expected investments for fields already in production amount to almost US$ 26.6 billion.   Source: PN   Join our mailing list here We are #1 on Google and Bing for the "Largest Mobile Energy Network" Come join our community! Download the Rig Lynx app here  

  Vantage Drilling International reported a net loss attributable to controlling interest of approx. $16.4 million, or $1.25 per diluted share, for the three months ended December 31, 2022, based on the weighted average shares outstanding, as compared to a net loss attributable to controlling interest of $23.5 million, or $1.79 per diluted share, for the three months ended December 31, 2021.   For the year ended December 31, 2022, Vantage reported a net loss attributable to controlling interest of approx. $3.4 million or $0.26 per diluted share, as compared to a net loss attributable to controlling interest of $110.1 million or $8.40 per diluted share for the year ended December 31, 2021.   As of December 31, 2022, Vantage had approx. $93.3 million in cash, including $19.2 million of restricted cash, compared to $90.6 million in cash, including $17.3 million of restricted cash, at December 31, 2021. The Company used $18.9 million in cash from operations in 2022 compared to $70.4 million used in 2021. At December 31, 2022, Vantage maintained $29.0 million of cash pre-funded by our Managed Services customers to address near-term obligations associated with the operation of their rigs.   Ihab Toma, CEO, commented: 'I am very proud of our operational and financial performance in 2022. The Company’s four owned rigs were contracted for most of the year with the Tungsten Explorer concluding its successful campaign in Cyprus in December before beginning to prepare to work in Namibia. The Company’s managed rigs also performed well as the West Capella concluded a strong campaign in Indonesia and prepares to commence a campaign in East Africa in Q2 2023 before returning to Indonesia in Q3 2023. Furthermore, the West Polaris finished its reactivation and successfully went on contract in December 2022 for ONGC. I am very pleased that the Emerald Driller Company supported rigs in Qatar continue to perform well and to the satisfaction of their respective clients.'   Mr. Toma continued: 'As I reflect on the year, 2022 represented an important inflection point for the Company and the industry as a whole, as the Company generated positive EBITDA in each of the four quarters. Industry fundamentals are projected to remain strong with day rates and utilization reaching levels not seen since 2015. With strong industry sentiment and the closing of our refinancing earlier this month, the Company is well positioned for the future while our focus remains the same. We are committed to ensuring our employees stay safe and providing our clients with excellent service.'   Source: Vantage   Join our mailing list here We are #1 on Google and Bing for the "Largest Mobile Energy Network" Come join our community! Download the Rig Lynx app here