HOUSTON, Oct. 5 /PRNewswire/ -- ATWOOD OCEANICS, INC., a
Houston-based International
Drilling Contractor (NYSE: ATW), announced today that on
October 1, 2010, Atwood Oceanics
Pacific Limited ("AOPL"), a wholly-owned subsidiary of Atwood
Oceanics, Inc. (the "Company"), executed turnkey construction
agreements with PPL Shipyard PTE LTD ("PPL") to construct two (2)
Pacific Class 400 jack-up drilling units. These new rigs will have
a rated water depth of 400 feet, accommodations for 150 personnel
and significant offline handling features. The two (2) rigs
are scheduled for delivery September
30 and December 31, 2012,
respectively. The total cost, including project management,
drilling and handling tools, spares and capitalized interest, of
each high specification rig approximates $190 million. Financing for the
construction of these two rigs is expected to be provided from a
combination of ongoing cash flows of AOPL and debt, as necessary,
from AOPL's current senior credit facilities. The Company
will consider whether any additional debt may be necessary in
connection with fleet expansion.
Upon delivery, these rigs will become the twelfth and thirteenth
mobile offshore drilling units owned by the Company group.
AOPL and PPL have also arranged option agreements for up to
three (3) additional Pacific Class 400 jack-up drilling units which
require commitment by AOPL at various times beginning 90 days after
the execution of the subject construction contracts and extend to
15 months after the execution of the subject construction
contracts. No determination has been made at this time whether any
options will be exercised.
Rob Saltiel, Atwood President and CEO, commented, "We look
forward to expanding our high-specification jack-up fleet with
these Pacific Class 400 drilling rigs. This jack-up design
combines excellent capability, efficiency and flexibility that will
allow Atwood to better serve our clients. PPL shipyard has an
excellent reputation for quality and responsiveness, and we expect
they will be a great partner with us in this strategic
endeavor."
Statements contained in this report with respect to the
future are forward-looking statements. These statements
reflect management's reasonable judgment with respect to future
events. Forward-looking statements involve risks and
uncertainties. Actual results could differ materially from
those anticipated as a result of various factors including the
Company's dependence on the oil and gas industry; the risks
involved in the construction of a rig and commencement of
operations of the rig following delivery; competition; operating
risks; risks involved in foreign operations; risks associated with
possible disruption in operations due to terrorism, acts of piracy,
embargoes, war or other military operations; and governmental and
industry regulations and environmental matters. A list of
additional risk factors can be found in the Company's annual report
on Form 10-K for the year ended September
30, 2009, and the Company's quarterly report on Form 10-Q
for the quarter ended June 30, 2010,
both filed with the Securities and Exchange Commission.
SOURCE Atwood Oceanics, Inc.
Copyright t. 5 PR Newswire