Hercules Offshore sheds 13 jack-up rigs

  • Exploration & Production

U.S.-based, bankrupt offshore driller, Hercules Offshore, has sold its fleet of thirteen Gulf of Mexico rigs for a little over $22 million.  

After emerging from bankruptcy in November 2015, the driller filed for bankruptcy protection again in June 2016. Under the plan, all Hercules’ assets were marketed for sale with plans to place those left unsold into a wind-down vehicle.

On December 13, 2016, the United States Bankruptcy Court for the District of Delaware approved bid procedures for the sale of all the Gulf of Mexico fleet and certain related assets of the HERO Liquidating Trust and authorized the execution of a stalking horse purchase agreement with Enterprise Offshore Drilling with respect to the sale of the GoM assets.

Enterprise Offshore was selected as a successful bidder at an auction conducted on January 12, 2017, with a bid of $22.25 million, while Triton Drilling’s offer was designated as the back-up bid.

The court held a hearing to consider the approval of the sale of Hercules’ GoM assets on January 18 and, following the hearing, approved the sale.

The sale includes thirteen jack-up rigs, including: Hercules 150, Hercules 173, Hercules 201, Hercules 205, Hercules 209, Hercules 212, Hercules 214, Hercules 251, Hercules 253, Hercules 263, Hercules 264, Hercules 300, and Hercules 350.

Hercules also recently sold two other jack-up rigs, the Hercules Resilience and Hercules Triumph, to the Norwegian offshore drilling contractor Borr Drilling, formerly known as Magni Drilling.

Offshore Energy Today Staff

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