Pacific Drilling reported outcomes for the primary quarter of 2020. Net loss for first-quarter 2020 was $61.zero million or $zero.81 per diluted share, in comparison with web lack of $308.1 million or $four.11 per diluted share in fourth-quarter 2019.
Pacific Drilling CEO Bernie Wolford commented, “The first quarter of this 12 months began sturdy with enhancing market fundamentals and strong demand progress for high-specification drillships, mirrored in elevated utilization and rising dayrates. Pacific Khamsin labored via the quarter within the U.S. Gulf of Mexico on a contract that’s anticipated to maintain the rig busy working with Equinor and Total into the fourth quarter of this 12 months. Pacific Bora and Pacific Sharav each accomplished their initiatives for Eni and Chevron respectively, simply after the tip of the quarter. And, Pacific Santa Ana labored below contract for Petronas in Mauritania till March 29 when the shopper supplied us with a discover of suspension because of drive majeure. We have subsequently agreed to a diminished standby charge, which we imagine is more likely to proceed via the tip of this 12 months.”
Mr. Wolford continued, “Since mid-March, we’ve seen vital cuts in our purchasers’ present 12 months’s capital expenditure budgets because of COVID-19 pandemic associated oil demand destruction and the ensuing extreme oversupply of oil. We count on a big discount in exploration drilling within the close to time period in addition to deferral of main improvement packages till 2021 or later. As we glance forward, we see vital uncertainty within the world marketplace for our companies as our prospects have cancelled or delayed to 2021 work that had been scheduled or awarded to us for 2020. These market circumstances will negatively have an effect on our income, profitability and money flows for 2020 and 2021. In mild of those unprecedented market circumstances and in an abundance of warning to guard our entry to working capital, we drew the complete availability below our $50 million revolving credit score facility on March 20, 2020. We proceed to work intently with our purchasers to maintain our staff secure and our rigs sanitary as we navigate via these difficult occasions.”
Currently, Pacific Drilling has 7 fashionable drillships: Pacific Meltem, Pacific Sharav, Pacific Khamsin, Pacific Santa Ana, Pacific Scirocco, Pacific Mistral and Pacific Bora
(Source: Pacific Drilling – Image: Pacific Khamsin in Las Palmas/TRIAC)
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