Greek Shipper DryShips Finalizes Enlarged Drilling Contract

Greek Shipper DryShips Finalizes Enlarged Drilling Contract
dj
Παρ, 15 Οκτωβρίου 2010 - 18:23
Greek shipping company DryShips Inc. (DRYS) said it has signed an exploration-drilling deal with Vanco Overseas Energy Ltd. worth about $160 million.
Greek shipping company DryShips Inc. (DRYS) said it has signed an exploration-drilling deal with Vanco Overseas Energy Ltd. worth about $160 million.

Shares climbed 4.6% to $4.81 premarket. As of Thursday's close, the stock had fallen 36% in the past year.

The deal, a five-well contract for exploration drilling offshore of
Ghana and Cote d'Ivoire for about a year with one drillship, is higher than the $135 million, 300-day contract the company initially announced in September. DryShips last week announced 60 days were added to the contract but didn't give an updated value.

The contract may be extended for an additional year for an additional well prior to the completion of operations on the second well in the program.

DryShips' revenue has been pressured from weak demand in shipping and offshore oil-drilling activities. It had said its second-quarter profit tumbled on losses related to interest-rate swaps as revenue increased less than expected.

Διαβάστε ακόμα