Actionable news
0
All posts from Actionable news
Actionable news in PGN: PARAGON OFFSHORE PLC,

Patrick Warren 496's Instablog

Hello fellow investors! I have decided to provide a monthly offshore drillers' report. In this report, I will tell how each stock has performed over the month, changes/updates in the fleet status reports, and major changes to the individual companies. I will also add details regarding when each company will report earnings. If a company has already reported earnings, I will tell how well they did (compared the analysts' estimates). As a young investor (19), I don't want to get into much commentary initially. I want to provide the facts and let investors make their own decisions. I hope to get feedback from these reports, perfect them, and then I plan to write articles of the individual companies, in addition to these monthly reports.

Below is a list of the offshore drillers I will keep up with (if you want me to add any others, let me know).

Monthly Performance

So, to start, I think it would be worthwhile to see how each driller performed over the month of October:

Company

Month (%) Change

Atwood Oceanics

8.31

Diamond Offshore

11.85

Ensco PLC

18.08

Hercules Offshore

21.82

Noble Corp

22.85

North Atlantic Drilling

7.77

Ocean Rig

-4.93

Pacific Drilling

22.14

Paragon Offshore

0

Rowan Companies

21.83

Seadrill

10.17

Seadrill Partners

16.41

Transocean

19.65

Transocean Partners

18.29

Vantage Offshore

56.36

Average

16.71

Vantage Offshore performed the best over the month with a gain of 56.36 percent, while Ocean Rig performed the worst with a negative 4.93 percent change.

Company Updates

Atwood Oceanics

Atwood releases quarterly fleet status reports, and their last one was released July 28th. Since July 28th, I have found only two updates.

  1. October 1st: Atwood announced the Atwood Achiever is receiving a one-year contract extension. For that extra year (From November 2017 to November of 2018), the day rate is $495,500 (down from the current $595,000, a 17% decline).
  2. October 28th: The Atwood Orca received a nine-month contract extension. It was originally contracted through February of 2016 at a day rate of $165,000. From November 1st (this year) through the November of 2016, the contract day rate will now be $85,000 (a 48% decline).

The Atwood Mako came off contract in October, and it is now ready stacked. The next rig to come off contract is the Atwood Manta, which will end work in December.

Atwood will be releasing 2015 fourth quarter and fiscal year results after the market closes on Monday, November 9th.

Diamond Offshore

Diamond Offshore also releases their fleet status reports quarterly, their most recent released August 3rd. Since then, no public updates have been given.

  1. The fleet status report states the Ocean Onyx came off contract in October. As far as we know, it is ready stacked.
  2. The next rigs to roll off contract are the Ocean Valiant, Ocean Endeavor, and the Ocean Clipper, all ending in December.
  3. The Ocean BlackLion will be starting a four-year contract starting in December.

Diamond Offshore will be releasing 2015 third quarter results before the market opens on Monday, November 2nd.

Ensco PLC

Ensco released their most recent fleet status report on October 19th. There were many changes from their last update on July 16th (Ensco also releases quarterly fleet status reports).

  1. The Ensco DS-4 is now ready stacked. Ensco received a $146 million payment from BP because of the early contract termination.
  2. The Ensco 8500 ended its contract and is now ready stacked.
  3. The Ensco 8505 will be starting a contract in December with Marubeni (after being ready stacked). The contract goes through January of 2018 "at various day rates between low $150,000's and low $210,000's depending on the scope of work."
  4. The Ensco 8506's received an extension until February of 2016 (originally August of 2015), and the day rate will be lowered in late November to the low $200,000's from the low $300,000's.
  5. The Ensco 68 will be starting a contract in November with Chevron, which will end in March of 2016. The day rate is in the high $60,000's.
  6. The Ensco 75 is now ready stacked.
  7. (I believe) the Ensco 87 is now ready stacked.
  8. The Ensco 120 secured a three-month extension, now ending in August of 2016. The day rate will drop from the mid...

More