Noble Corporation plc (NE – Free Report) , an offshore drilling contractor, has secured work for two of its drillships, the Noble Venturer and Noble Globetrotter I. The Noble Venturer drillship has won a contract with Tullow Oil for its Ghanaian subsidiary, Tullow Ghana. The Noble Globetrotter I drillship has secured work in the U.S. Gulf of Mexico. The client’s name has not been disclosed yet.
Noble Venturer Drillship Contract Details
Under the first contract, the Noble Venturer drillship would begin operations offshore Ghana in 2025. The drillship will start this campaign directly after completing its contract with Rhino Resources. Per the terms of the contract, a total of six firm wells are to be drilled in the region. The first two wells will be drilled within 120 days. After that, the drillship will be suspended from the contract until year-end 2025 at zero rate.
During this phase, the drillship will undergo planned SPS maintenance. This involves a detailed inspection of vessels and rigs to ensure their integrity and fulfill compliance requirements. The SPS maintenance for the rig includes replacing its thrusters. The total contract duration is estimated to be 360 days.
The contract will resume in January 2026 following the completion of the maintenance activities. During this time, the remaining four wells in the contract will be drilled. The estimated duration of this phase is 240 days. The contract has been valued at $171 million. Additionally, the contract includes three options, each for two wells. The three options are estimated to have a duration of 120 days each.
Noble Globetrotter I Drillship Contract Details
The Noble Globetrotter I has secured a contract in the U.S. Gulf of Mexico for one firm well. The contract includes the provision to drill six optional wells. If all the options are exercised, the estimated duration of the contract would be 200 days, and the total contract value might amount to $70 million. The contract is anticipated to start early in January 2025.
NE’s Zacks Rank and Key Picks
NE currently carries a Zacks Rank #5 (Strong Sell).
Some better-ranked stocks from the energy sector areTechnipFMC plc (FTI – Free Report) , Oceaneering International (OII – Free Report) and Nine Energy Service (NINE – Free Report) . TechnipFMC plc and Oceaneering International currently sport a Zacks Rank #1 (Strong Buy) each, while Nine Energy Service carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
TechnipFMC plc is a leading manufacturer and supplier of products, services and fully integrated technology solutions for the energy industry. The company’s total backlog witnessed a high of $14.7 million in the third quarter of 2024, indicating an 11.1% increase from the previous year’s level. This growing backlog ensures strong revenue growth for FTI.
Oceaneering International delivers integrated technology solutions across all stages of the offshore oilfield lifecycle. The company is a leading offshore equipment and technology solutions provider to the energy industry. The company’s proven ability to deliver innovative, integrated solutions supports ongoing client retention and new business opportunities, ensuring steady revenue growth.
Nine Energy Service provides onshore completion and production services for unconventional oil and gas resource development. The company operates across key prolific basins in the United States, including the Permian, Eagle Ford, MidCon, Barnett, Bakken, Rockies, Marcellus and Utica, as well as throughout Canada. With a sustained demand for oil and gas in the future, the need for NINE’s services is anticipated to increase, which should position the company for growth in the long run.
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