HOUSTON, Jan. 31, 2011 /PRNewswire/ -- ATWOOD OCEANICS,
INC., a Houston-based
international drilling contractor (NYSE: ATW), announced that,
Atwood Oceanics Pacific Limited ("AOPL"), a wholly-owned subsidiary
of Atwood Oceanics, Inc. (the "Company"), on January 28, 2011 executed a turnkey construction
contract with Daewoo Shipbuilding and Marine Engineering Co., Ltd
("DSME") to construct an ultra-deepwater drillship, to be named the
Atwood Advantage, at the DSME yard in South Korea. The Atwood Advantage is
expected to be delivered by September 30,
2013 at a total cost, including project management, drilling
and handling tools and spares, of approximately $600 million. Financing for the
construction of the Atwood Advantage is expected to be
provided from a combination of ongoing cash flows and debt, as
necessary, and from AOPL's current senior credit facilities.
The Company will consider whether any additional debt may be
necessary in connection with this fleet expansion.
The Atwood Advantage will be a DP-3
dynamically-positioned, dual derrick ultra-deepwater drillship
rated to operate in water depths up to 12,000 feet and to drill to
a depth of 40,000 feet. The Atwood Advantage will also have
enhanced technical capabilities, including a 7-ram blowout
preventer, three 100-ton knuckle boom cranes, a 165-ton active
heave "tree-running" knuckle boom crane and 200 person
accommodations.
Upon delivery, the Atwood Advantage will become the
fifteenth mobile offshore drilling unit owned by the Company group.
AOPL also secured priced options to construct one or two
additional ultra-deepwater drillships which require commitment by
AOPL within nine months after contract execution. No determination
has been made at this time whether any options will be
exercised.
Rob Saltiel, President and CEO,
commented, "We are excited to announce the construction of the
Atwood Advantage drillship as the next expansion of our
ultra-deepwater rig fleet. This drillship will offer
unparalleled capability, efficiency and operations integrity to
Atwood's clients through incorporation of state-of-the-art
technologies into a proven rig design. We have chosen DSME
shipyard as our partner for this strategic project based on their
quality reputation and extensive experience in building
next-generation drillships."
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.