The transaction will generate an estimated accounting gain for Odfjell Drilling of approximately USD 11 million. The full amount will be recognized upon closing which is expected to occur in Q3 2017. The completion of the transaction is subject to customary closing conditions.
As part of the transaction Odfjell Drilling and Nabors have signed a Memorandum of Understanding with the intention to establish a strategic cooperation agreement which will ensure Odfjell Drilling access to RDS’ robotic technologies for Odfjell Drilling’s existing and future drilling rigs.
Quote from Per Lund, Senior Vice President, Innovation in Odfjell Drilling: “We are very pleased to sell RDS to Nabors. In the 3 years Odfjell Drilling has been a shareholder in RDS, we have worked closely with the company to develop and field-prove its robotic drilling products. The company is now at the verge of full scale commercialisation and we are confident that Nabors, having a manufacturing group in Canrig, will be a good future home for this exciting technology.“
For further queries, please contact:
Eirik Knudsen, VP Corporate Finance & Investor Relations
+47 934 59 173
31 August 2017
Odfjell Drilling Ltd.
This information is subject to the disclosure requirements pursuant to section 5-12 of the Norwegian Securities Trading Act.
Odfjell Drilling Ltd ("Odfjell Drilling" or the "Company") is contemplating to offer new common shares (the "Offer Shares") in a private placement raising gross proceeds of up to approximately NOK 1.56 billion, equivalent to up to approximately USD 200 million (the "Private Placement"). The subscription price per Offer Share in the Private Placement (the "Subscription Price") will be determined through an accelerated bookbuilding process.
Odfjell Drilling is pleased to announce that Statoil has awarded a conditional Letter of Intent (LOI) for a drilling contract for Deepsea Atlantic for 6 firm wells with an estimated total duration of 18 months, scheduled to commence in early first quarter 2019.
Statoil has awarded Odfjell Drilling a contract for Drilling Services Fixed Platforms on Heidrun located on the Norwegian Continental Shelf. Odfjell Drilling currently operates both Grane and Heidrun until October this year, and will thereafter continue operations on Heidrun.
Reference is made to the stock exchange notice from 31 May 2017 whereby Statoil awarded Deepsea Bergen a new drilling contract. The contract originally included one firm well plus 4 x 3 optional wells.