New Round of Layoffs at Maersk Drilling
Offshore drilling company Maersk Drilling has announced a new wave of layoffs and has revised its financial guidance for 2020, citing oil and gas companies' budget cuts and delays and cancellations in offshore drilling tenders.As previously reported, Maersk Drilling in April said it would lay off around 250-300 people in its North Sea crew pool, and mothball several drilling rigs due to the effects of low oil price on offshore drilling activities.The Danish offshore driller on Thursday announced a new round of cuts…
Maersk Likely to Shelve Plans to List Drilling Division
Shipping group A.P. Moller-Maersk is likely to shelve plans to list its struggling offshore drilling division because of weak market conditions, according to five finance sources familiar with the matter.The Danish company is now expected to focus on a trade sale of Maersk Drilling, and extend the timeline to divest the unit beyond its initial target of the end of 2018, said the sources who declined to be named as the discussions are private.Maersk group has not publicly put a price tag on the division…
Maersk, Statoil and OECD to Discuss Future Ocean Development
Key figures from Maersk Group, Statoil and the Organization for Economic Co-operation and Development have signed up to discuss future ocean business opportunities, demands and strategies at Opening Oceans Conference 2018 (OOC). The event, Nor-Shipping’s first outside its Norwegian home, will see c-level executives gather in Copenhagen on May 2nd and 3rd to examine how to responsibly realise the huge potential of the ocean, gaining the understanding, partners and tools to equip businesses for the way ahead.
Maersk Drilling's Fourth XLE Jack-up Rig Named
Maersk Drilling’s fourth XL Enhanced ultra harsh environment jack-up was named Friday morning at a ceremony held at the Daewoo Shipbuilding and Marine Engineering (DSME) shipyard in South Korea. Mrs. Bente Norheim, wife of Jan Norheim, Managing Director of BP Norge, honoured Maersk Drilling by naming the rig Maersk Invincible. Maersk Invincible is the fourth and final rig in a series of four ultra harsh environment jack-up rigs to enter Maersk Drilling’s fleet. The four jack-up rigs represent a total investment of USD 2.6bn.
Stausholm Resigns from Statoil Board
Jakob Stausholm has informed that he will resign from his position as member of the board of directors in Statoil ASA with immediate effect in order to avoid potential conflicts of interests following his new appointment as CFO of the Maersk group. Stausholm takes up his new position as from 1 December 2016. The nomination committee in Statoil will commence its search for a new board member, to allow for the corporate assembly to conduct a by-election when the nomination committee's recommendation is ready. Tone Lunde Bakker is chair of the nomination committee in Statoil.
Maersk Drilling Delivers $164m Profit
Maersk Drilling delivered a profit of USD 164m (USD 218m) in the second quarter of 2016. The result is positively impacted by a strong operational performance with an average uptime of 98% and savings on operating costs, however partly offset by more idle days. The underlying profit was USD 164m (USD 189m), generating a ROIC of 8.3% (10.6%). “A high operational performance averaging 98% and further savings on operating costs are both contributing factors to the satisfactory result we deliver in the second quarter.
Maersk Drilling Acquires Newbuild Jackup from Hercules
Maersk Drilling has entered into a definitive agreement to acquire the newbuild harsh environment jack-up rig, formerly named Hercules Highlander, from a subsidiary of Hercules Offshore (Nasdaq: HERO) and with immediate delivery from Jurong Shipyard Pte Ltd (Jurong) in Singapore. According to the agreement, Maersk Drilling assumes the right to take delivery of the rig and Maersk Drilling settles the final payment of approx. USD 190m with Jurong. After delivery, the rig will be mobilised to the North Sea to commence a five-year drilling contract with Maersk Oil and its partners…
Maersk Drilling Profit Up
Maersk Drilling delivered a profit of USD 222m (USD 168m) in the first quarter of 2016. The result is positively impacted by a continued good performance with an average uptime of 97% and savings on operating costs partly offset by more idle days. Furthermore, the result is positively impactd by USD 60m due to the early termination of the Mærsk Deliverer contract. The underlying profit was USD 222m (USD 195m) generating a ROIC of 11.2% (8.5%). “Maersk Drilling continues to focus on delivering excellent drilling services to our customers.
Maersk, Qatargas Ink LNG Propulsion Deal
The world’s largest LNG exporter Qatargas has signed a technical collaboration agreement with the Maersk Group to explore opportunities related to the use of LNG marine propulsion. It is estimated that the use of LNG propulsion can lead to a potential reduction in CO2 emissions of 25% compared to the use of conventional shipping fuels. The technical collaboration agreement, letter of intent, between Qatargas and the Maersk Group was signed by Mr. Khalid Bin Khalifa Al-Thani, Chief Executive Officer of Qatargas, and Mr. Nils S.
Qatar, Maersk and Shell in LNG Marine Fuel MoU
Qatar and Royal Dutch Shell have agreed to develop liquefied natural gas (LNG) as a marine fuel for use by the world's largest container shipping company, A.P. Moller-Maersk, Qatargas said in a statement on Monday. Qatargas, the world's largest LNG producer, said the three companies signed a memorandum of understanding which sees Qatargas 4, a joint venture between Qatar Petroleum and Shell, producing the fuel for use by Maersk Line. Most shipping companies currently use heavy fuel oil, or bunker fuel, to propel their vessels although LNG as marine fuel has been used by some ships in the past decade.
Maersk Drilling Posts Record Profit
Maersk Drilling delivered the best result ever with a profit of USD 751m (USD 478m) in 2015 generating a ROIC of 9.3% (7.1%). The result was positively impacted by continued strong operational performance, fleet growth and general cost savings. However, increased idle time negatively affected the results. The underlying profit was USD 732m (USD 471m). “Maersk Drilling delivered a satisfactory result given the adverse market conditions. We continue to focus on operational performance and a competitive cost level, which are key factors in order to secure contracts for our rigs in this market,” says Claus V.
Maersk Venturer to Drill for Total
Maersk Drilling has been awarded a contract for the drillship Maersk Venturer with oil major Total. The contract covers one exploration well (estimated duration 120 days) in block 14 offshore Uruguay. The estimated contract value for the programme is USD 44m excluding mobilisation. The drilling programme is expected to commence in March 2016. “We have collaborated and partnered with Total many times over the years. Total is a highly valued customer of Maersk Drilling, and we are very pleased with being selected by Total to drill their first exploration well offshore Uruguay,” says Claus V.
Maersk Oil Boosts Africa Onshore Presence
Company confirms new licenses and acreage in Kenya and Ethiopia in agreement with Africa Oil Corporation. Maersk Oil has agreed to acquire half of Africa Oil Corporation’s shares in three onshore exploration licenses in Kenya and a further two in Ethiopia. The agreement is subject to relevant government approvals in both countries. The licenses cover an area of ca. 100,000 square kilometers and include eight recent oil discoveries, with ongoing exploration and appraisal activities. Four of the blocks are operated by Tullow Oil and the remaining by Africa Oil Corporation.
Shipping Braces for post-Paris Pollution Tax
Brussels sets end-2016 deadline for CO2-cutting proposals by IMO. The shipping industry expects to be stung by a carbon levy as momentum building from climate talks in Paris starting this month makes a cut to its greenhouse gas emissions likely. Any tax - either a levy based on fuel use by diesel-driven ships or a market based mechanism - would add to rising costs for the industry, which transports 90 percent of world trade. A draft Paris text makes scant mention of reducing CO2 from marine bunker fuels.
Maersk Resilient Contracted for Danish North Sea Sector
Maersk Drilling has been awarded a new contract for the jack-up rig Maersk Resilient with Danish oil company Maersk Oil. The firm contract is for three years with an estimated contract value of USD 110m. Commencement is expected in October 2015, and Maersk Resilient will do work at various fields in the Danish sector of the North Sea. “We are very pleased with this new contract for Maersk Resilient with Maersk Oil, a key customer in the North Sea,” says Claus V. Hemmingsen, CEO in Maersk Drilling and member of the Executive Board in the Maersk Group.
Maersk Seeks to Shut Janice in UK North Sea
Maersk Oil said on Wednesday it would seek regulatory permission to shut its Janice installation, which produces around 7,000 barrels per day (bpd) from three UK North Sea oilfields, as the Danish firm reviews its operations due to falling oil prices. It is one of the first North Sea oil fields to be threatened with closure due to the drop in prices, with Brent crude futures having plunged to around $43 a barrel from over $100 a barrel last June. North Sea producers have been under increasing pressure to cut costs and improve production efficiency…
Maersk Seeks UK North Sea Installation Closure
Maersk Oil said on Wednesday it would seek regulatory permission to shut its Janice installation, which produces around 7,000 barrels per day (bpd) from three UK North Sea oilfields, as the Danish firm reviews its operations due to falling oil prices. Crude prices have dropped by more than half from year-ago levels, hammering oil producers. But while operators have announced plans to cut jobs and sell oilfields, few have flagged a shutdown in operations. Maersk Oil said it would approach Britain's Oil and Gas Authority for approval to stop production from the second or third quarter of 2016.
Viking Acquires Hook Retrofit leader
Leading marine and fire safety equipment and servicing provider VIKING Life-Saving Equipment A/S has today announced the acquisition of Nadiro A/S, a company owned by maritime and energy conglomerate Maersk Group and SH Group. Established in 2009, Svendborg, Denmark-based Nadiro manufactures high-quality lifeboat and rescue craft systems, developing and promoting its Drop-in-BallTM technology to help ensure crew safety. VIKING has had the status of Preferred Distributor and Service Provider…
Maersk Drilling Navigates Low Market Visibility
Maersk Drilling delivered a profit of USD 218m (USD 117m) in the second quarter of 2015. The result was positively impacted by continued strong operational performance, fleet growth, general cost savings and a USD 29m payment related to the divestment of the Venezuelan activities in 2014. The result was negatively impacted by three rigs being idle. The underlying profit for the quarter was USD 189m (USD 117m) generating a ROIC of 10.6% (7.2%). “We are very pleased with the result given the adverse market conditions.
DONG Hires Maersk Giant
Maersk Drilling has been awarded a new contract for the jack-up rig Mærsk Giant with Danish energy utility DONG Energy. The firm contract covers 150 days of work on the Nini and Siri field in the Danish part of the North Sea. The estimated contract value is USD 16m. The contract is in direct continuation of the current contract with Talisman keeping Maersk Giant employed until March 2016. “We are very pleased to continue our good corporation with DONG Energy, one of our key customers in the North Sea,” says Claus V.
