Sale of Remaining Cold-Stacked Jackups Part of High-Grading Strategy
LONDON--(BUSINESS WIRE)--
Ensco plc (NYSE: ESV) has sold its two remaining cold-stacked jackup
rigs for $33 million. The net book value of the two rigs, ENSCO 69 and
Wisconsin, both built in 1976, was approximately $9 million. The pre-tax
gain on the sale is approximately $24 million, which will be included in
first quarter 2014 operating results.
Executive Vice President and Chief Financial Officer Jay Swent said,
“This sale is part of Ensco’s ongoing strategy of high-grading our fleet
by divesting older, less-capable assets and reinvesting in
advanced-technology rigs. We believe our orderly process of selling rigs
has generated superior value for shareholders over time, and that this
strategy keeps us at the forefront of industry technology with one of
the newest and most capable fleets in the world.”
During the past four years, Ensco has sold 13 rigs and proceeds have
been reinvested in the fleet. Over the same period, Ensco has taken
delivery of 12 high-performance rigs, including five Samsung DP3
ultra-deepwater drillships, five ENSCO 8500 Series®
ultra-deepwater semisubmersibles and two ENSCO 120 Series ultra-premium
harsh environment jackups. In addition, Ensco has six rigs under
construction – three ultra-deepwater drillships and three premium
jackups – that reinforce the Company’s commitment to standardization.
Ensco plc (NYSE: ESV) brings energy to the world as a global provider of
offshore drilling services to the petroleum industry. For more than 25
years, the company has focused on operating safely and going beyond
customer expectations. Ensco is ranked first in total customer
satisfaction with top honors in 10 of 16 categories in the latest annual
survey by EnergyPoint Research. Operating one of the newest
ultra-deepwater rig fleets and the largest premium jackup fleet, Ensco
has a major presence in the most strategic offshore basins across six
continents. In terms of dividend yield, Ensco is among the top dividend
payers of S&P 500 companies. 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. To learn
more, visit our website at www.enscoplc.com.
Source: Ensco plc