Rising Customer Demand Continues to Drive Newbuild Program
ENSCO DS-9 Reinforces Strategy of Fleet Standardization
LONDON--(BUSINESS WIRE)--
Given rising customer demand, Ensco
plc (NYSE: ESV) has exercised one of two options for an additional
advanced-capability DP3 ultra-deepwater drillship based on the Samsung
GF12000 hull design. The vessel, ENSCO DS-9, will be the seventh Samsung
DP3 drillship in the Ensco fleet, extending the benefits of Ensco’s
fleet standardization strategy. It will be built at the Samsung Heavy
Industries, Co. Ltd. (SHI) Shipyard in South Korea, with delivery
scheduled for the fourth quarter of 2014.
On 5 April, Ensco announced its order for ENSCO DS-8, the first
drillship based on the GF12000 hull design. This fleet expansion will
extend Ensco’s advantage of operating the newest ultra-deepwater fleet
among global drilling contractors. The latest independent customer
satisfaction survey conducted by EnergyPoint ranks Ensco #1 in Deepwater
Drilling.
Chairman, President and CEO
Dan Rabun
said, “Our decision to order two
ultra-deepwater drillships over the past three months is predicated on
detailed analysis of several important factors. Customer demand has
continued to rise and has become even more broad-based due to new
discoveries in emerging basins. The near-term supply of deepwater rigs
is limited and we believe supply-demand dynamics will continue to
support favorable day rates, which have risen sharply over the past
year. Significant interest in our latest-design drillships gives us
confidence that customers recognize the technological advantages of our
drillships relative to competitors and the benefits we provide from rig
standardization. Finally, the delivery schedule and financing terms
support favorable returns for these incremental investments in our
fleet.”
Including commissioning, systems integration testing, project management
and spares, the construction cost is expected to be comparable to the
amount recently announced for ENSCO DS-8 of approximately $645 million.
Like ENSCO DS-8, the new unit will have advanced capabilities to meet
the demands of ultra-deepwater drilling in water depths of up to 12,000
feet and a total vertical drilling depth of 40,000 feet, plus
retractable thrusters; enhanced safety and environmental features;
improved dynamic positioning capabilities; and advanced drilling and
completion functionality, including below-main-deck riser storage,
triple fluid systems, offline conditioning capability and enhanced
client and third-party facilities.
The new drillship is based on the proprietary Samsung GF12000 hull
design measuring 755 feet in length and 125 feet in width. It will offer
a payload in excess of 22,000 metric tons and a 1,250-ton hoisting
system. The rig’s design and capabilities include numerous features that
increase operating efficiency. Primary to these capabilities are
enhanced and redundant offline tubular stand building features and a
165-ton active heave compensating construction crane, allowing for the
deployment of subsea production equipment without interference with
ongoing drilling operations. The rig, which will be initially outfitted
for drilling in water depths of up to 10,000 feet, will be equipped with
dynamic positioning in compliance with DP3 certification; six-5.5
megawatt thrusters for enhanced station-keeping; expanded drilling
fluids capacity; a 15,000-psi subsea well control system with six rams,
upgradable to seven rams and/or a second BOP stack; burner boom for well
testing; and living quarters for up to 200 personnel.
Ensco’s three active DP3 drillships are currently contracted into 2016
in the U.S. Gulf of Mexico, Brazil and West Africa. A fourth, ENSCO
DS-6, is undergoing pre-commissioning modifications in preparation for
its first well assignment under a five-year contract with BP. ENSCO DS-7
and ENSCO DS-8 are scheduled for delivery in the second quarter of 2013
and third quarter of 2014, respectively. Ensco has one remaining option
for an additional drillship.
Ensco plc (NYSE: ESV) brings energy to the world as a global provider of
offshore drilling services to the petroleum industry. For 25 years, the
company has focused on operating safely and exceeding customer
expectations. Ensco is ranked #1 for total customer satisfaction and
received top honors in 12 of 16 other categories in the most recent
annual survey by EnergyPoint Research. Operating the world’s newest
ultra-deepwater fleet and largest fleet of active premium jackups, Ensco
has a major presence in the most strategic offshore basins across six
continents. Ensco plc is an English limited company (England No.
7023598) with its registered office and corporate headquarters located
at 6 Chesterfield Gardens, London W1J 5BQ.
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Statements contained in this press release that are not historical
facts are forward-looking statements within the meaning of Section 27A
of the Securities Act of 1933 and Section 21E of the Securities Exchange
Act of 1934. Forward-looking statements include words or phrases such as
“anticipate,” “believe,” “estimate,” “expect,” “intend,” “plan,”
“project,” “could,” “may,” “might,” “should,” “will” and similar words
and specifically include statements regarding the timing of delivery,
mobilization, contract commencement, relocation or other movement of
rigs. Such statements are subject to numerous risks,
uncertainties and assumptions that may cause actual results to vary
materially from those indicated, including risks inherent to shipyard
rig construction. In addition to the numerous factors described
above, you should also carefully read and consider “Item 1A. Risk
Factors” in Part I and “Item 7. Management’s Discussion and Analysis of
Financial Condition and Results of Operations” in Part II of our most
recent annual report on Form 10-K, which is available on the SEC’s
website at www.sec.gov
or on the Investor Relations section of our website at www.enscoplc.com.
Each forward-looking statement speaks only as of the date of the
particular statement, and we undertake no obligation to publicly update
or revise any forward-looking statements, except as required by law.
Source: Ensco plc