Noble Corporation Secures $1.3 Billion in New Contracts
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 3d ago
0mins
Source: Newsfilter
- Significant Contract Value: Noble Corporation announced new contracts for 9 rigs totaling approximately $1.3 billion, indicating robust demand for deepwater drilling, which is expected to significantly enhance revenue and cash flow in the coming years.
- Expansion in Norway: The Noble GreatWhite has secured a three-year contract with Aker BP, expected to commence in Q2 2027, with a total contract value of about $473 million, marking Noble's first campaign in Norway and strengthening its market position.
- Idle Rig Redeployment: Noble plans to redeploy four currently idle deepwater rigs, which is expected to increase the contract rate of its 24 marketed floaters from 75% to 92%, significantly improving overall utilization and driving future profitability.
- Capital Expenditure Plans: Approximately $50 million in capital expenditures is anticipated for contract preparation in 2026, which, while increasing short-term costs, is expected to yield higher EBITDA and free cash flow in the long term.
Discover Tomorrow's Bullish Stocks Today
Receive free daily stock recommendations and professional analysis to optimize your portfolio's potential.
Sign up now to unlock expert insights and stay one step ahead of the market trends.
Analyst Views on NE
Wall Street analysts forecast NE stock price to fall over the next 12 months. According to Wall Street analysts, the average 1-year price target for NE is 33.20 USD with a low forecast of 32.00 USD and a high forecast of 36.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
5 Analyst Rating
1 Buy
4 Hold
0 Sell
Hold
Current: 34.620
Low
32.00
Averages
33.20
High
36.00
Current: 34.620
Low
32.00
Averages
33.20
High
36.00
About NE
Noble Corporation plc is an offshore drilling contractor for the oil and gas industry, which owns and operates technically advanced fleets in the offshore drilling industry. The Company performs, through its subsidiaries, contract drilling services with a fleet of offshore drilling units focused on ultra-deepwater and high specification jackup drilling opportunities in both established and emerging regions worldwide. It provides contract drilling services to the international oil and gas industry with its global fleet of mobile offshore drilling units. The mobile offshore drilling units comprising its offshore rig fleet operate in a global market for contract drilling services, and its customers consist primarily of large, integrated, independent, and government-owned or controlled oil and gas companies throughout the world. Its fleet of approximately 31 drilling rigs consists of 25 floaters and 6 jackups. Its fleet includes Noble Faye Kozack, Noble Venturer, Noble Viking, and others.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Noble Corporation Sells Five Jackup Rigs for $360 Million
- Transaction Value: Noble Corporation completed the sale of five jackup rigs to Borr Drilling for $360 million, generating approximately $210 million in cash and $150 million in seller notes, which enhances the company's liquidity and financial flexibility.
- Charter Agreement: Noble intends to operate the Noble Mick O'Brien and Noble Resolute rigs under a bareboat charter agreement with Borr until December 2026, ensuring a continuous revenue stream and asset utilization.
- Market Positioning: This transaction signifies a strategic shift for Noble in the global offshore drilling market, focusing on high-specification and ultra-deepwater drilling opportunities, thereby enhancing its competitiveness in the industry.
- Historical Context: Engaged in contract drilling since 1921, Noble's asset sale further optimizes its modern and technically advanced fleet, supporting its future growth strategy.
Continue Reading
Noble Corporation Sells Five Jackup Rigs for $360 Million
- Transaction Value: Noble Corporation completed the sale of five jackup rigs to Borr Drilling for $360 million, generating approximately $210 million in cash and $150 million in seller notes, thereby enhancing the company's liquidity and financial flexibility.
- Charter Agreement: Noble intends to operate the Noble Mick O'Brien and Noble Resolute under a bareboat charter agreement with Borr until December 2026, ensuring a continuous revenue stream and optimizing asset utilization.
- Market Positioning: This transaction allows Noble to focus on its modern and technologically advanced drilling fleet, further solidifying its leadership position in the offshore drilling industry while paving the way for future growth opportunities.
- Historical Context: Engaged in contract drilling since 1921, this asset sale represents part of Noble's strategic restructuring aimed at improving operational efficiency and enhancing market competitiveness.
Continue Reading