Maersk Drilling Reports Q3 2012 Less Profitable

Press Release
Monday, November 12, 2012
'Maersk Discoverer': Photo courtesy of Maersk Drilling

In its interim third quarter financial report the company says it remains on track to attain its long-term profit target.

Maersk Drilling’s profit in the third quarter 2012 was US$ 87-million compared to US$ 139-million in the third quarter of 2011. The latest quarterly result was negatively impacted by two delayed start-ups and maintenance yard stays for two drilling rigs.

With the recent US$ 700-million contract for the second newbuild drillship and a high forward contract coverage Maersk Drilling report it is well positioned to reach its strategic aspiration of delivering a profit of US$ 1-billion. The third quarter result was negatively impacted by costly start-up issues on two drilling units.

“The start-up issues materialising in the second and third quarter are hampering our result for 2012, which is obviously not satisfying. However, these are bumps on the road and not jeopardizing our longer term strategic aspiration. We have a strong forward contract coverage providing us with a high degree of earnings visibility and the market remains very encouraging as illustrated by our latest contract for the second of our newbuild drillships,” says Claus V. Hemmingsen, CEO of Maersk Drilling and member of the Executive Board of the A.P. Moller - Maersk Group.

By the end of the third quarter Maersk Drilling’s forward contract coverage was 100% for the remaining part of 2012 and the contract coverage stays high in 2013 (97%) and 2014 (64%). In October 2012 Maersk Drilling reported a new contract of around USD 700 million for its second newbuild drillship for operations in the U.S. Gulf of Mexico. With this contract Maersk Drilling has signed contracts for five out of seven drilling units currently under construction.

Maersk Drilling is one of the four strategic core business units in the A.P. Moller - Maersk Group prioritized for investments. Maersk Drilling’s financial ambition is to deliver US$ 1-billion to the Group’s profit by 2018 by growing its business within the ultra harsh environment jack-up and ultra deepwater floater segments.

 


 

Maritime Reporter April 2015 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

People & Company News

BIMCO Welcomes EU Decision on Migrants

BIMCO has stated today that it appreciates the new efforts by EU leaders to reduce increasing reliance on merchant shipping to rescue the growing numbers of

Long Beach, Los Angeles ports host forum to gather input

More than 100 cargo owners, trucking firm leaders, longshore labor, marine terminals and other goods movement industry representatives turned out Wednesday for

Arctic Nations to Fight Climate Change Despite Russia Tensions

The eight Arctic Council nations pledged on Friday to do more to combat climate change that is shrinking the vast frigid region, with countries trying to put

Offshore

Falklands' Oil Drilling at Isobel Deep Suspended

Oil explorers drilling in the waters north of the Falkland Islands have suspended work on the second well of their 2015 current six-well drilling campaign after a technical problem.

Arctic Nations to Fight Climate Change Despite Russia Tensions

The eight Arctic Council nations pledged on Friday to do more to combat climate change that is shrinking the vast frigid region, with countries trying to put

OSV Technology: Notable Designs & Deliveries

Though the market for Offshore Support Vessels (OSVs) is soft, advances in technology, fit and finish in  the sector is unrivaled in any other maritime niche over the past five years.

Finance

Norwegian Car Carriers to Buy Two from Hyundai Samho

Oslo-listed Norwegian Car Carriers (NOCC) has signed a contract with Hyundai Samho Heavy Industries for the construction of two 6500 ceu Pure Car Truck Carrier (OCTCs).

Long Beach, Los Angeles ports host forum to gather input

More than 100 cargo owners, trucking firm leaders, longshore labor, marine terminals and other goods movement industry representatives turned out Wednesday for

Venezuela Probes ex-minister accused of corruption in Ferry Deals

A former minister in President Nicolas Maduro's government denied in an interview published on Friday accusations of corruption during the purchase of three

 
 
Maritime Careers / Shipboard Positions Maritime Security Maritime Standards Offshore Oil Pod Propulsion Port Authority Ship Electronics Ship Repair Ship Simulators Winch
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: 0.3145 sec (3 req/sec)