Noble Corp Sells 4 Jackups for $ 292 Million | Rigzone

Noble Corporation (NYSE: NE) announced that the company’s subsidiaries have entered into a definitive agreement to sell four jackups to ADES International Holding Ltd for $ 292 million.

As part of the deal, the Noble Roger Lewis, Noble Scott Marks, Noble Joe Knight and Noble Johnny Whitstine will be sold and current drilling contracts will be transferred to ADES. The deal is expected to be concluded before the end of October and is subject to the satisfaction of closing conditions, including novation of drilling contracts and regulatory approvals. Noble said he expects to generate around $ 285 million in cash from the transaction, net of fees, expenses and working capital settlement.

Following the deal announcement, Noble Corporation has updated its guidance for 2021 to show adjusted revenue of $ 870 million to $ 890 million, adjusted EBITDA of $ 110 million to $ 120 million. and capital expenditures of between $ 175 million and $ 195 million. The company’s preliminary forecast for 2022 shows adjusted revenue of between $ 975 million and $ 1.05 billion, adjusted EBITDA of $ 265 million to $ 300 million, and capital spending between $ 105 million. million dollars and 120 million dollars.

“We are very pleased to have entered into this mutually beneficial agreement with ADES, which is accretive to our shareholders,” said Robert Eifler, President and CEO of Noble Corporation, in a company statement.

“The sale of these four jackups further strengthens our already strong balance sheet and improves Noble’s financial flexibility. As we look to 2022, our expected net cash position, coupled with our expected free cash flow generation, enables the company to better implement its financial priorities to repay debt and return money to clients. shareholders, ”Eifler added in the press release.

“Our crews in the Kingdom have performed at the highest level for many years, and Noble and ADES are fully aligned to ensure that this level of operational excellence is maintained. I would like to personally thank the Noble employees who will be hired by ADES for their dedicated service and wish them continued success, ”said the CEO of Noble Corporation.

Founded in 2002, ADES Group describes itself as one of the leading providers of oil and gas drilling and production services in the Middle East and Africa, offering contract drilling, workover and offshore production services.

Noble Corporation is one of the leading offshore drilling contractors for the oil and gas industry, according to its website, which points out that the company and its predecessors have been engaged in contract drilling for oil and gas wells since 1921.

In February of this year, Noble Holding Corporation plc announced that it had completed a financial restructuring and that its debtor subsidiaries had exited Chapter 11 with a new parent company organized under the laws of the Cayman Islands named Noble Corporation. In March, Noble Corporation and Pacific Drilling Company LLC announced that they had entered into a definitive merger agreement under which Noble would acquire Pacific Drilling in an all-stock transaction. The deal was closed in April.

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