Hercules sheds pair of jack-up rigs

  • Business & Finance

Drilling contractor Hercules Offshore has sold two of its jack-up drilling rigs for a total of $130 million. 

Hercules British Offshore, a subsidiary of Hercules Offshore, on Friday, December 2 entered into an agreement with Magni Drilling for the sale of two, 2013-built, jack-up drilling rigs, Hercules Triumph and Hercules Resilience.

Hercules said on Friday that Magni Drilling is buying the two drilling rigs in their entirety, together with everything onboard, including all broached and unbroached provisions, spare parts and equipment onboard or onshore, rig site inventory, drawings, operating manuals, maintenance records, service contracts and all other documents pertaining to them for $130 million in cash.

According to the driller’s last fleet status report, issued back in March 2016, Hercules Triumph and Hercules Resilience are currently stacked in the Netherlands and Gabon, respectively.

Hercules said the agreement with Magni is expected to close on or before January 10, 2017, subject to certain closing conditions.

The struggling offshore driller is currently under Chapter 11 bankruptcy protection filed for in June this year with a plan to sell off its assets. Those left unsold at the completion of the Chapter 11 process are to be placed into a wind-down vehicle to ensure their continued operation until sales were finalized.

The company emerged from its previous Chapter 11 bankruptcy in November 2015.

Offshore Energy Today Staff

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