Global Marine Picture Brightens

Monday, June 12, 2000
As the offshore drilling picture continues to improve, companies such as Global Marine should experience a healthy market capitalization boost as shares fly high simultaneously with oil prices and rig utilization rates. Last week, for example, ABN AMRO raised its 2000 earnings estimate on offshore oil and gas drilling contractor Global Marine Inc. to 60 cents a share from 55 cents. A day previous to the upgrade, Global Marine agreed on contract extensions for three of its rigs at significantly higher daily rental rates. The extensions of 7 to 9 months are for jack-up rigs operating in the U.S. Gulf of Mexico and capable of drilling in water depths of 250 to 300 ft. The details are as follows: Vessel Dayrate Increase Extension Adriatic X $28,000 to $61,000 Nov 3 2000 to May 31 2001 Main Pass IV $18,500 to $49,000 Aug 31 2000 to May 31 2001 High Island 1 $20,000 to $40,000 Sep 17 2000 to May 31 2001 Global Marine spokesman Michael Dawson said the increased dayrates reflected the current tightness of the Gulf of Mexico market for premium jackup rigs capable of drilling in water depths of 250 ft. or greater. "These rigs are 100 percent utilized and there are no idle rigs to put into the market. Any additional rigs would have to be brought here from somewhere else in the world," he said. Dawson said current U.S. natural gas prices of over $4 per thousand cubic feet were spurring demand for rigs that could bring additional gas supplies to market quickly. ABN AMRO reiterated its buy rating and $32 a share price target on the company. Global Marine "remains one of our favorites in the drilling sector," analyst Asit Sen said. Meanwhile, Lehman Bros. analyst Jim Crandell also raised his estimate of Global Marine 2000 earnings per share to $0.60 from $0.55. It noted the contract extensions at sharply higher daily rental rates. Lehman 2000 EPS estimate raised to $0.60 from $0.55. 2001 estimate recently raised to $1.30, 2002 estimate to $2.20, 2003 estimate to $3.75. Stock recommended for purchase.
Maritime Reporter June 2015 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

Shipbuilding

Research Vessel Concept a first for Voith

The new fisheries research vessel of the Shanghai Ocean University will be a first for Voith in several respects.   It is the first fisheries research vessel

MTU Powers RSN Navy's Littoral Mission Vessel

MTU to power eight Republic of Singapore Navy’s new patrol vessels. Employees and guests, including senior representatives from the Republic of Singapore Navy (RSN) and Ministry of Defence,

ISS Inks Service Pact with Technip

Inchcape Shipping Services (ISS) and Techniphave signed a contract to provide marine agency services and logistics for the Rashid C project in the Middle East. Currently

Cruise Ship Trends

Silversea Cruises Plans New Flagship

Cruise operator Silversea Cruises has unveiled its new flagship, the Silver Muse, which will begin sailing the seas in April 2017.    Built by Italian shipbuilding company Fincantieri,

Silversea Cruises Orders Luxury Ship from Fincantieri

Shipbuilder Fincantieri has received an order to build a new luxury cruise ship for client Silversea Cruises due for delivery in April 2017.    At 40,700 grt and accommodating 596 guests,

Confidence Low in Shipping Idustry

Confidence levels in the global shipping market have fallen to a seven-year low as a glut of cargo ships, weak freight rates and excess liquidity continue to batter the industry,

 
 
Maritime Contracts Maritime Standards Naval Architecture Navigation Pod Propulsion Salvage Ship Electronics Ship Simulators Shipbuilding / Vessel Construction Sonar
rss | archive | history | articles | privacy | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.1647 sec (6 req/sec)