HOUSTON, Jan. 19, 2011 /PRNewswire/ -- ATWOOD OCEANICS,
INC., a Houston-based
international drilling contractor (NYSE: ATW), announced today that
on January 14, 2011, Atwood Oceanics
Pacific Limited ("AOPL"), a wholly-owned subsidiary of Atwood
Oceanics, Inc. (the "Company"), exercised the first of three
options and executed a turnkey construction agreement to construct
a third Pacific Class 400 jack-up drilling unit with PPL Shipyard
PTE LTD ("PPL"). As with the October 5,
2010 announcement, this rig will have a rated water depth of
400 feet, accommodations for 150 personnel and significant offline
handling features. The total cost, including project
management, drilling and handling tools, spares and capitalized
interest, will be approximately $190
million and is scheduled for delivery on June 30, 2013. Financing for the
construction of this rig 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, this rig will become the fourteenth mobile
offshore drilling unit owned by the Company group. AOPL and
PPL have remaining option agreements for up to two (2) additional
Pacific Class 400 jack-up drilling units which require AOPL
commitment by June 30, 2011 and
December 31, 2011, respectively.
No determination has been made at this time whether any of
the two (2) remaining options will be exercised.
Rob Saltiel, Atwood President and CEO, commented, "Our
decision to exercise this option reflects continued confidence in
the Pacific Class 400 rig design and our satisfaction thus far with
the construction progress of our first two rigs at the PPL
shipyard. In addition, we believe that by committing early in
the build cycle, Atwood has procured these three high-specification
jack-ups at an attractive price."
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, 2010, filed with the Securities and Exchange
Commission.
SOURCE ATWOOD OCEANICS, INC.