Shelf Drilling (Buy, TP: NOK100.00) - Building backlog into 2021
On Friday Shelf Drilling announced two contracts with ENI in Italy extending into 2021. No dayrate is disclosed, but we expect each rig to generate on average cUSD12m in annual EBITDA, which we see as solid and supportive for our 2019–2020 estimates. We also see it as positive for the equity story that it was able to secure long-term contracts with a major oil company. Today it also secured a short-term job in Nigeria and we see more contract opportunities in India and Saudi Arabia.
DNB Markets is the investment banking arm of DNB Bank ASA and is focused primarily on the Nordic region, as well as internationally on niches such as global shipping, energy and related services, and seafood. DNB Markets offers services in FICC, Equities and Investment Banking advisory from offices in Oslo, Stockholm, London, Singapore and New York. Equity research coverage is offered on c250 Nordic companies. DNB was ranked no.2 in Extel Nordic Research 2017. The DNB Markets’ Credit and FICC Macro & FX Research teams are repeatedly highly rated by Prospera Nordic Institutional Investor Surveys.
Unfortunately, this report is not available for the investor type or country you selected.
Browse all ResearchPool reportsReport is subscription only.
Thank you, your report is ready.
Thank you, your report is ready.