Valaris Announces Jackup Contract Awards

Rhea-AI Summary

Valaris Limited (NYSE: VAL) has secured multiple contracts including one with TAQA offshore the Netherlands for the VALARIS JU-123 jackup rig, starting in Q4 2021 for a minimum of 60 days. This contract involves preparing a wellbore for the Porthos CO₂ project and will include an upgrade to a selective catalytic reduction (SCR) system to reduce emissions. Additionally, contracts have been awarded for operations in the UK North Sea and offshore Timor-Leste, with durations of 72 days and 30 days, respectively.

Positive

• Secured contract with TAQA for VALARIS JU-123, enhancing revenue streams.
• Upgrade to SCR system expected to reduce emissions significantly.
• Additional contracts awarded in lucrative markets, including UK North Sea and Timor-Leste.

Negative

• None.

HAMILTON, Bermuda--(BUSINESS WIRE)-- Valaris Limited (NYSE: VAL) ("Valaris" or the "Company") announced today that it has been awarded a contract with TAQA offshore the Netherlands for VALARIS JU-123, a heavy-duty harsh environment jackup. The contract is expected to commence in the fourth quarter of 2021 with an estimated minimum duration of 60 days.

The contract is for the preparation of a wellbore for the Porthos CO₂ transport and storage project. In conjunction with this contract, VALARIS JU-123 will be upgraded with a selective catalytic reduction (SCR) system. When in operation, the SCR system will eliminate almost all NO_x and SO_x emissions from the rig.

The rig has also been awarded a one-well contract with Cairn Energy in the UK North Sea. The contract is expected to commence in the second quarter of 2022 with an estimated duration of 72 days.

Valaris has also been awarded a one-well contract with Carnarvon Petroleum offshore Timor-Leste for VALARIS JU-107, a heavy-duty modern jackup. The contract is expected to commence in the fourth quarter of 2021 with an estimated duration of 30 days.

About Valaris Limited

Valaris Limited (NYSE: VAL) is the industry leader in offshore drilling services across all water depths and geographies. Operating a high-quality rig fleet of ultra-deepwater drillships, versatile semisubmersibles and modern shallow-water jackups, Valaris has experience operating in nearly every major offshore basin. Valaris maintains an unwavering commitment to safety, operational excellence, and customer satisfaction, with a focus on technology and innovation. Valaris Limited is a Bermuda exempted company (Bermuda No. 56245). To learn more, visit our website at www.valaris.com.

Cautionary Statements

Statements contained in this press release that are not historical facts are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements include words or phrases such as "anticipate," "believe," "estimate," "expect," "intend," "plan," "project," "could," "may," "might," “should,” “will” and similar words. Such statements are subject to numerous risks, uncertainties and assumptions that may cause actual results to vary materially from those indicated, including the Company’s liquidity and ability to access financing sources, debt restrictions that may limit our liquidity and flexibility, the COVID-19 outbreak and global pandemic, the related public health measures implemented by governments worldwide, the volatility in oil prices caused in part by the COVID-19 pandemic and the decisions by certain oil producers to reduce export prices and increase oil production, and cancellation, suspension, renegotiation or termination of drilling contracts and programs. In particular, the unprecedented nature of the current economic downturn, pandemic, and industry decline may make it particularly difficult to identify risks or predict the degree to which identified risks will impact the Company’s business and financial condition. In addition to the numerous factors described above, you should also carefully read and consider “Item 1A. Risk Factors” in Part I and “Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations” in Part II of our most recent annual report on Form 10-K, as updated in our subsequent quarterly reports on Form 10- Q, which are available on the Securities and Exchange Commission’s website at www.sec.gov or on the Investor Relations section of our website at www.valaris.com. Each forward-looking statement speaks only as of the date of the particular statement and we undertake no obligation to update or revise any forward-looking statements, except as required by law.

View source version on businesswire.com: https://www.businesswire.com/news/home/20210920005774/en/

Investor & Media Contact:

Tim Richardson

Director - Investor Relations

+1-713-979-4619

Source: Valaris Limited

FAQ

What is the latest contract awarded to Valaris (NYSE: VAL)?

Valaris was awarded a contract with TAQA offshore the Netherlands for VALARIS JU-123, starting in Q4 2021.

How long is the contract for VALARIS JU-123 with TAQA?

The contract is for a minimum duration of 60 days.

What upgrades will be made to the VALARIS JU-123 rig?

The rig will be upgraded with a selective catalytic reduction (SCR) system to significantly reduce emissions.

When will the contracts in the UK North Sea and Timor-Leste begin?

The UK North Sea contract is expected to commence in Q2 2022, while the Timor-Leste contract is set to start in Q4 2021.