Offshore driller Ensco saw its earnings increase by US $52m to $317m in the first quarter of 2013, with the company achieving record revenues of $1.15 Bn (up 13% from a year earlier) for the quarter.
Operating income also grew 17% to $402m, with Ensco saying the increases were driven by a $28,000 increase in the average dayrate and a 6% increase in floater rig days, as new units were added to its active fleet.
Chairman, President and CEO, Dan Rabun, said: “During the quarter Ensco 8506, the final rig in the ENSCO 8500 Series®, began work for Anadarko in the US Gulf of Mexico. Ensco DS-6, our fourth Samsung DP3 drillship, commenced drilling operations for BP in Angola. In both cases, these ultra-deepwater assets started multi-year programs for repeat customers reinforcing the advantages that fleet standardisation provides for us and our customers.”
He also added that the company contracted two of its newbuild rigs during the quarter. The Ensco DS-7, its fifth Samsung ultra-deep drillship, was contracted to Total in Angola for three years. It also saw its Ensco 121 ultra-premium jackup contracted to Wintershall in the North Sea for two years.
Ensco said the addition of the Ensco 8505, Ensco 8506 and Ensco DS-6 to its active fleet and an increase in average dayrates for the jackups segment contributed largely to the overall increase in revenues.
Floater revenues were $719m in Q1 2013, up 12% from $639m a year ago. The average dayrate increased to $380,000 from $350,000 in Q1 2012, while the number of rig days increased 6% year to year due to the addition of the three newbuild floaters. Utilisation declined to 83% from 85% a year earlier primarily due to previously reported downtime, prompted by a vendor notice regarding inspection and replacement of connector bolts.
Ensco now has a $12 Bn contracted revenue backlog, excluding bonus opportunities.
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