Citing the desire of the company to be extra careful after the oil spill in the Gulf of Mexico, along with changing the oil rig they were going to use, BP (NYSE:BP) spokesman Robert Wine said the company is readying itself to begin offshore drilling off the coast of Libya in June; a little later than anticipated.
Wine noted, "We postponed it to do extra checks following the oil spill and also the rig we had lined up we decided wasn't suitable, so we've got another rig.
"Onshore, we've got a rig in place and they are getting ready, so that should get under way shortly."
Originally the company had had plans in place to launch offshore drilling in Libya in 2010.
As to the changing of oil rigs, BP was going to use a rig from Noble Corp. (NYSE:NE), but decided to go with the Deep Ocean Ascension from Pride International Inc (NYSE:PDE) instead.
Showing posts with label Pride International. Show all posts
Showing posts with label Pride International. Show all posts
Friday, February 18, 2011
Monday, February 7, 2011
Pride International (NYSE:PDE) Soars on Ensco (NYSE:ESV) Acquisition
On the announcement that Ensco (NYSE:ESV) was going to acquire Pride International (NYSE:PDE) for $7.3 billion, shares of Pride surged by over 16 percent on the news, although Ensco pulled back.
Once the deal is completed the new company will be the second-largest off-shore drilling company in the world, valued at over $16 billion. The combined company will include 74 rigs.
Ensco Chief Executive Officer Dan Rabun said in a statement, "The combination is an ideal strategic fit, as our rig types, markets, customers and expertise complement each other with minimal overlap."
The offer by Ensco values Pride International at $41.60, a premium of 21 percent over its Friday close.
Terms of the deal will be cash and shares, whereby shareholders in Pride will receive 0.4778 newly issued shares of Ensco, plus $15.60 in cash for each share of Pride common stock.
Ensco shareholders will have a stake of about 62 percent in the combined company and Pride shareholders close to 38 percent. The deal could close in the second quarter.
The company will be named Ensco after the deal is closed.
Pride was trading at $39.87, gaining $5.48, or 15.93 percent, as of 11:28 AM EST. Ensco was trading at $52.00, down 2.41, or 4.43 percent.
Once the deal is completed the new company will be the second-largest off-shore drilling company in the world, valued at over $16 billion. The combined company will include 74 rigs.
Ensco Chief Executive Officer Dan Rabun said in a statement, "The combination is an ideal strategic fit, as our rig types, markets, customers and expertise complement each other with minimal overlap."
The offer by Ensco values Pride International at $41.60, a premium of 21 percent over its Friday close.
Terms of the deal will be cash and shares, whereby shareholders in Pride will receive 0.4778 newly issued shares of Ensco, plus $15.60 in cash for each share of Pride common stock.
Ensco shareholders will have a stake of about 62 percent in the combined company and Pride shareholders close to 38 percent. The deal could close in the second quarter.
The company will be named Ensco after the deal is closed.
Pride was trading at $39.87, gaining $5.48, or 15.93 percent, as of 11:28 AM EST. Ensco was trading at $52.00, down 2.41, or 4.43 percent.
Tuesday, January 25, 2011
Pride International (NYSE:PDE) EPS Lowered on Late Start Ups
Pride International (NYSE:PDE) had their EPS estimate for 2011 lowered by Barclays, which cited late start ups as the reasoning behind their decision.
Barclays says, "Lowering Estimates: Primarily due to later than expected start ups for the Deep Ocean Ascension and the Deep Ocean Clarion, we are reducing our 2011 EPS estimate to $2.75 (from $2.90). Our 4Q10 estimate of $0.41 remains unchanged. We are also modestly lowering our 2012 EPS estimate to $3.30 (from $3.37) as we now expect the Pride South Seas to remain stacked through 2012."
Barclays maintains an "Overweight" rating on Pride International (PDE), which closed Monday at $32.55, down $0.08, or 0.25 percent. Barclays has a price target on Pride of $35.
Barclays says, "Lowering Estimates: Primarily due to later than expected start ups for the Deep Ocean Ascension and the Deep Ocean Clarion, we are reducing our 2011 EPS estimate to $2.75 (from $2.90). Our 4Q10 estimate of $0.41 remains unchanged. We are also modestly lowering our 2012 EPS estimate to $3.30 (from $3.37) as we now expect the Pride South Seas to remain stacked through 2012."
Barclays maintains an "Overweight" rating on Pride International (PDE), which closed Monday at $32.55, down $0.08, or 0.25 percent. Barclays has a price target on Pride of $35.
Tuesday, January 11, 2011
Pride International (NYSE:PDE) Lacks Positive Catalyst in 2011
Pride International (NYSE:PDE) have little in the way of postive catalysts in 2011, and older midwater floaters and jackups could produce negative catalysts going forward, according to Global Hunter.
Global said, "Pride stock currently trades near our $31 price target and with the exception of being rumored as a takeover target, we anticipate limited positive catalysts. The contracts provided by the new ultra-deepwater rigs provide a solid backlog, but near-term challenges remain regarding startup timing for the rigs. Furthermore, the older jackups and midwater floaters could produce negative catalysts as well with the potential for reduced utilization or dayrates. As such, we reiterate our rating."
Global Hunter Securities reiterates a "Neutral" on Pride International, which was trading at $32.43, down $0.04, or 0.12 percent, as of 1:53 PM EST. Global has a price target of $31 on them.
Global said, "Pride stock currently trades near our $31 price target and with the exception of being rumored as a takeover target, we anticipate limited positive catalysts. The contracts provided by the new ultra-deepwater rigs provide a solid backlog, but near-term challenges remain regarding startup timing for the rigs. Furthermore, the older jackups and midwater floaters could produce negative catalysts as well with the potential for reduced utilization or dayrates. As such, we reiterate our rating."
Global Hunter Securities reiterates a "Neutral" on Pride International, which was trading at $32.43, down $0.04, or 0.12 percent, as of 1:53 PM EST. Global has a price target of $31 on them.
Monday, October 18, 2010
Wells Fargo (NYSE:WFC) Down on Pride International (NYSE:PDE)
Wells Fargo (NYSE:WFC) downgraded Pride International (NYSE:PDE) from "Outperform" to "Market Perform," citing valuation, which they did raise from $32-35 to $34-36.
Wells said, "After strong price performance for the offshore drilling group since 9/7 (+19% on average versus +7% for the SPX), and PDE in particular (+23%), we believe the risk/reward profile for PDE shares is less compelling at current valuation of 7.0x 2011E EBITDA and 120% EV/estimated NAV. While we remain comfortable with our estimates and PDE management's ability to execute, the drilling fleet is largely contracted through 2011, so we see limited opportunity for positive near-term catalysts, to continue this recent outperformance."
Pride ended Friday's trading session at $31.95, gaining $0.15, or 0.47 percent.
Volume for the day was up over 50 percent from its daily 3-month average.
Wells said, "After strong price performance for the offshore drilling group since 9/7 (+19% on average versus +7% for the SPX), and PDE in particular (+23%), we believe the risk/reward profile for PDE shares is less compelling at current valuation of 7.0x 2011E EBITDA and 120% EV/estimated NAV. While we remain comfortable with our estimates and PDE management's ability to execute, the drilling fleet is largely contracted through 2011, so we see limited opportunity for positive near-term catalysts, to continue this recent outperformance."
Pride ended Friday's trading session at $31.95, gaining $0.15, or 0.47 percent.
Volume for the day was up over 50 percent from its daily 3-month average.
Wednesday, October 6, 2010
Barclays (NYSE:BCS) Sees Strong Third Quarter for Noble (NYSE:NE), Halliburton (NYSE:HAL), Baker Hughes (NYSE:BHI), Others
After visiting a number of U.S. Oil Services & Drilling companies last week in their Oilfield Tour in Houston, Texas, Barclays (NYSE:BCS) said they see most companies performing strongly in the third quarter in the sector.
Barclays said:
"Last week we hosted the 21st "Original" Oilfield Tour in Houston,
Texas. The companies we visited on the tour included Baker Hughes (NYSE:BHI), CGGVeritas, FMC Technologies (NYSE:FTI), Halliburton (NYSE:HAL), National Oilwell Varco (NYSE:NOV), Noble Corporation (NYSE:NE), Patterson-UTI Energy (Nasdaq:PTEN), Pride International (NYSE:PDE), Superior Energy Services (NYSE:SPN) and Weatherford International (NYSE:WFT)."
The many companies, for the most part, are positive about the global cycle they feel is now taking hold.
"Similar to the themes highlighted at our 2010 CEO Energy Conference, the companies we visited continued to express optimism that the international upcycle is taking hold. Third quarter results in North America for most companies are likely to be strong. The view of the offshore markets was mixed, with optimism expressed for ultra-deepwater and premium jackup demand globally, while the outlook in the Gulf of Mexico remains weak," concluded Barclays.
Barclays said:
"Last week we hosted the 21st "Original" Oilfield Tour in Houston,
Texas. The companies we visited on the tour included Baker Hughes (NYSE:BHI), CGGVeritas, FMC Technologies (NYSE:FTI), Halliburton (NYSE:HAL), National Oilwell Varco (NYSE:NOV), Noble Corporation (NYSE:NE), Patterson-UTI Energy (Nasdaq:PTEN), Pride International (NYSE:PDE), Superior Energy Services (NYSE:SPN) and Weatherford International (NYSE:WFT)."
The many companies, for the most part, are positive about the global cycle they feel is now taking hold.
"Similar to the themes highlighted at our 2010 CEO Energy Conference, the companies we visited continued to express optimism that the international upcycle is taking hold. Third quarter results in North America for most companies are likely to be strong. The view of the offshore markets was mixed, with optimism expressed for ultra-deepwater and premium jackup demand globally, while the outlook in the Gulf of Mexico remains weak," concluded Barclays.
Tuesday, September 21, 2010
Barclays (NYSE:BCS) Response to 'U.S. Oil Services & Drilling: 2010 CEO Energy Conference'
Barclays (NYSE:BCS) said the companies presenting at the 2010 Barclays Capital CEO Energy Conference were overall positive.
They said, "Presenting companies at the 2010 Barclays Capital CEO Energy Conference were generally optimistic. The international E&P spending recovery has begun and appears poised to accelerate into 2011. North America was most often predicted to flatten. The view on the offshore markets was mixed with optimism expressed for ultra-deepwater and premium jackup demand, while the mid-water and commodity jackup markets are likely to remain under pressure. The outlook on the Gulf of Mexico was clearly one of caution."
Barclays went on to describe what they were looking for in companies and specific companies they liked:
"We continue to emphasize companies with leverage to major secular growth themes in the industry. Our top picks are Weatherford (NYSE:WFT), Schlumberger (NYSE:SLB), Cameron International (NYSE:CAM), National Oilwell Varco (NYSE:NOV), Dresser-Rand Group (NYSE:DRC), SeaDrill Limited (NYSE:SDRL) and Pride International (NYSE:PDE)."
They said, "Presenting companies at the 2010 Barclays Capital CEO Energy Conference were generally optimistic. The international E&P spending recovery has begun and appears poised to accelerate into 2011. North America was most often predicted to flatten. The view on the offshore markets was mixed with optimism expressed for ultra-deepwater and premium jackup demand, while the mid-water and commodity jackup markets are likely to remain under pressure. The outlook on the Gulf of Mexico was clearly one of caution."
Barclays went on to describe what they were looking for in companies and specific companies they liked:
"We continue to emphasize companies with leverage to major secular growth themes in the industry. Our top picks are Weatherford (NYSE:WFT), Schlumberger (NYSE:SLB), Cameron International (NYSE:CAM), National Oilwell Varco (NYSE:NOV), Dresser-Rand Group (NYSE:DRC), SeaDrill Limited (NYSE:SDRL) and Pride International (NYSE:PDE)."
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