Offshore drilling company Noble Corporation has completed the sale of five jack-up drilling rigs, the Noble Hans Deul, Noble Sam Hartley, Noble Sam Turner, Noble Houston Colbert, and Noble Lloyd Noble, to Shelf Drilling for $375 million.
The sale of the five rigs (the Remedy Rigs) was a part of the recently completed business combination with Maersk Drilling. Noble had to sell the five rigs to alleviate competition concerns in the UK.
With the five rigs, all onshore and offshore related staff, support and infrastructure associated with the rigs, too, has been transferred to Shelf Drilling, too.
Noble will continue to operate the Noble Lloyd Noble under a bareboat charter with Shelf Drilling through the conclusion of that rig's current drilling contract with Equinor, which is expected to finish in the second quarter of 2023.
"The closing of the Remedy Rigs sale is an essential element to the transformative business combination with Maersk Drilling, which we completed earlier this week," said Robert Eifler, President and CEO of Noble. Mr. Eifler continued, "The cash proceeds from the sale will augment Noble's already conservative balance sheet and further enhance our capital flexibility. I would like to extend my sincere gratitude to the Noble employees who will transfer to Shelf Drilling and wish them continued success."
Shelf Drilling CEO David Mullen, said: “I am very pleased to announce the closing of this acquisition as it significantly enhances our asset quality and expands our geographical footprint into the North Sea at a very attractive price. We are also pleased to welcome to Shelf Drilling the experienced onshore and offshore teams that will ensure a seamless transition for our customers and operations.
"This unique transaction proves the differentiation of Shelf Drilling as we successfully completed a number of strategic actions against a challenging backdrop in getting this deal closed. This will unlock tremendous value for the company as the outlook for the sector continues to improve.”