Rowan Awarded Contract for Ultra-Deepwater Drillship Rowan Reliance
HOUSTON, Aug. 6, 2013
HOUSTON, Aug. 6, 2013 /PRNewswire/ -- Rowan Companies plc ("Rowan" or the
"Company") (NYSE: RDC) announced today that one of its subsidiaries has
entered into a three-year contract with Cobalt International Energy, L.P.
("Cobalt") (NYSE: CIE) for the Rowan Reliance, one of Rowan's new
ultra-deepwater drillships currently under construction at the Hyundai Heavy
Industries Co. Ltd. ("HHI") shipyard in Ulsan, South Korea. The drillship is
expected to operate in the U.S. Gulf of Mexico.
The Rowan Reliance is expected to be delivered from HHI at the end of October
2014. The contract is expected to commence late January 2015 following
mobilization. The effective day rate for the work will be $602,000, including
mobilization revenues, and adds $660 million in revenue backlog.
Matt Ralls, Rowan's Chief Executive Officer, stated, "We are very pleased to
enter into this relationship with Cobalt. They have a very exciting growth
story with a strong track record in ultra-deepwater exploration. We will
complement their growth potential through our expansion into the
ultra-deepwater drilling segment with the most advanced drillships in the
industry. We are proud to have this opportunity to be part of the future
success of this exciting company."
The Rowan Reliance is one of four ultra-deepwater drillships being constructed
for Rowan by HHI. All four drillships are based on a GustoMSC P10,000 hull
design, capable of drilling wells to depths of 40,000 feet in water depths up
to 12,000 feet. The DP-3 compliant, dynamically positioned drillship will be
equipped with retractable thrusters, two readily deployable seven-ram BOP
systems, five mud pumps, dual mud systems and a maximum hookload capacity of
With the award of this contract for the Rowan Reliance, three of the Company's
four ultra-deepwater drillships under construction at HHI are now under
contract. The fourth remaining uncontracted drillship, the Rowan Relentless,
is scheduled to be delivered from the shipyard at the end of March 2015.
Rowan Companies plc is a major provider of international and domestic contract
drilling services with a leading position in high-specification jack-up rigs.
The Company's fleet of 30 jack-up rigs is located worldwide, including the
Middle East, the North Sea, Trinidad, Egypt, Southeast Asia and the Gulf of
Mexico. Rowan will enter the ultra-deepwater market with four
high-specification drillships expected to be delivered starting in late 2013.
The Company's Class A Ordinary Shares are traded on the New York Stock
Exchange under the symbol "RDC". For more information on the Company, please
Statements herein that are not historical facts are forward looking statements
within the meaning of the Private Securities Litigation Reform Act of 1995,
including, without limitation, statements as to the expectations, beliefs and
future expected business, financial performance and prospects of the Company.
These forward-looking statements are based on our current expectations and are
subject to certain risks, assumptions, trends and uncertainties that could
cause actual results to differ materially from those indicated by the
forward-looking statements. Among the factors that could cause actual results
to differ materially include oil and natural gas prices, the level of offshore
expenditures by energy companies, variations in energy demand, changes in day
rates, cancellation by our customers of drilling contracts or letter
agreements or letters of intent for drilling contracts or the exercise of
early termination provisions, risks associated with fixed cost drilling
operations, cost overruns or delays on shipyard repair or transportation of
rigs, maintenance and repair costs, costs or delays for conversion or upgrade
projects, operating hazards and equipment failure, risks of collision and
damage, casualty losses and limitations on insurance coverage, customer credit
and risk of customer bankruptcy, conditions in the general economy and energy
industry, weather conditions and severe weather in the Company's operating
areas, increasing complexity and costs of compliance with environmental and
other laws and regulations, changes in tax laws and interpretations by taxing
authorities, civil unrest and instability, terrorism and hostilities in our
areas of operations that may result in loss or seizure of assets, the outcome
of disputes and legal proceedings, effects of the change in our corporate
structure, and other risks disclosed in the Company's filings with the U.S.
Securities and Exchange Commission. Each forward-looking statement speaks
only as of the date hereof, and the Company expressly disclaims any obligation
to update or revise any forward-looking statements, except as required by law.
SOURCE Rowan Companies plc
Contact: Suzanne M. Spera, Director, Investor Relations, (713) 960-7517,
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