Key Takeaways From Noble Corporation Ordinary Shares (UK) (NYSE:NE)’s Fleet Status Update

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Noble Corporation Ordinary Shares (UK) (NYSE:NE) has released the latest update on the status of its fleet of rigs as of November 22, 2016. The company said the next fleet update will be on December 20, 2016. Here are some of the key takeaways from Noble’s fleet update report:

Gulf of Mexico contract extended

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Noble said that the contract for its Noble Paul Romano rig in the Gulf of Mexico has been extended at a dayrate of $128,500. The extended contract will start in mid-December 2016 and run to late May 2017.

Northern Hemisphere update

In the Northern Hemisphere where Noble has multiple rigs, the company said the current contract on its rig Noble Bob Douglas is estimated to end in mid-February 2017. The rig is operated by Anadarko on a contract that started in late May 2014 at a dayrate of $635,000. Noble has won a new contract for Noble Bob Douglas that will start in April 2017 and run until June 2017. The operator is Apache at a dayrate that has not been disclosed.

Middle East and India fleet report

Noble has several rig contracts in the Middle East and India region. One of the rigs is Noble Roger Lewis, whose contract started in early January 2016 and is set to end in early March 2017. The rig is operated by Saudi Aramco and attracts a dayrate of $167,000. Noble said the rig will be down for about 30 days for repairs at zero dayrate in 4Q16. The company further said the rig is scheduled to have operational downtime of about 15 days in 1Q17 to allow for regulatory inspection and it will not earn any dayrates during the hiatus.

Far East & Oceania region

Noble said that Noble Bully II (a), one of its rigs in the Far East and Oceania region, has a multiyear contract that began in December 2014 and is estimated to expire in April 2022. The rig is operated by Shell and attracts a dayrate of $456,000. The company further said that the contract will have a fixed dayrate for the first five years but the dayrate of the second phase of the contract will be calculated on the basis of market index.

Europe and Mediterranean region

One of Noble’s rigs in Europe and Mediterranean region is Noble Globetrotter II, whose contract started in early September 2013 and is set to run until early September 2023 while attracting a dayrate of $434,000. The dayrate will be fixed for the first five years of the contract but will be modified in the second five-year phase.

3Q16 earnings

Noble posted EPS loss of $0.23 on revenue of $385.2 million in 3Q16. The results missed the consensus estimate that called for EPS loss of $0.19 on revenue of $409.4 million.

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