Modern Fleets Win In Deepwater Drilling

On Friday, Pacific Drilling (PACD) announced a 5-year contract for the Pacific Sharav that amounts to over $1B in revenue. According to the presentation at Global Hunter Securities, the dayrate amounts to $555,000 for the term. The deal was hinted at during the Q112 earnings report so possibly the terms shouldn't be used to read too much into the current strength of the deepwater markets. Worth noting though is that the rig won't be delivered until the fourth quarter of 2013.

With its best-in-class drillships and highly experienced team, Pacific Drilling is a fast growing company that is committed to becoming the industry's preferred ultra-deepwater drilling contractor. Pacific Drilling's fleet of seven ultra-deepwater drillships will represent one of the youngest and most technologically advanced fleets in the world. The company currently operates four recently delivered drillships, has two additional drillships under construction and one on order at Samsung.

Read the full article at Seeking Alpha.

Disclosure: Long ATW. Please review the disclaimer page for more details. 


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