Aban Offshore to sell four rigs to ADES Saudi

The sale and purchase agreement between the parties was concluded on Wednesday April 13, 2022.

Aban Offshore’s Board of Directors on March 23, 2022 approved the sale of the “Deep Driller 2”, “Deep Driller 4”, “Deep Driller 5”, “Deep Driller 6” and “Deep Driller 8” rigs . Each platform is owned by a separate subsidiary of the company.

Following board approval, Aban Offshore on Wednesday, April 13, 2022 entered into an agreement with ADES Saudi to sell four rigs, namely “Deep Driller 2”, “Deep Driller 4”, “Deep Driller 5″ and “Deep Driller 6”.

Aban Offshore will sell the “Deep Driller 2” and “Deep Driller 4” rigs for Rs 198.12 crore each.

The “Deep Driller 2” rig contributed around Rs 4.11 crore or 0.7% of Aban Offshore’s consolidated revenue in 2021-22. “Deep Driller 4” contributed about Rs 10.70 crore or 1.83% to consolidated revenue.

The “Deep Driller 5” and “Deep Driller 6” rigs will be sold for Rs 205.74 crore each.

The “Deep Driller 6” rig contributed approximately Rs 55.63 crore or 9.52% of Aban Offshore’s consolidated revenue in 2021-22. “Deep Driller 5” was out of contract for the past fiscal year.

The sale is expected to close by May 31, 2022, the company said in a statement Thursday, April 14, 2022.

The sale is subject to shareholder approval which is sought through a mail-in voting process. The result of the vote will be communicated on April 26, 2022.

Aban Offshore owns and operates several offshore drilling rigs, drillships and a floating production facility, “Tahara”. It is engaged in exploration services, drilling services, hydrocarbon production and staffing and management.

On a consolidated basis, Aban Offshore recorded a net loss of Rs 327.21 crore in Q3 December 2021 compared to a net loss of Rs 281.52 crore in Q3 December 2020. Net sales decreased by 36.28% to Rs 136 .58 crore in Q3 Dec 2021 compared to Q3 Dec 2020.

Shares of Aban Offshore rose 0.36% to Rs 55.10 on Wednesday. The national stock market is closed today due to Ambedkar Jayanti and Mahavir Jayanti.

Powered by Capital Market – Live News

(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)

Dear reader,

Business Standard has always endeavored to provide up-to-date information and commentary on developments that matter to you and that have wider political and economic implications for the country and the world. Your constant encouragement and feedback on how to improve our offering has only strengthened our resolve and commitment to these ideals. Even in these challenging times stemming from Covid-19, we remain committed to keeping you informed and updated with credible news, authoritative opinions and incisive commentary on relevant topical issues.
However, we have a request.

As we battle the economic impact of the pandemic, we need your support even more so that we can continue to bring you more great content. Our subscription model has received an encouraging response from many of you who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of bringing you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practice the journalism we are committed to.

Support quality journalism and subscribe to Business Standard.

digital editor

Source link

Comments are closed.