Vantage Drilling's Q1 Loss Narrows. Sale of Jack-up Rig Trio to ADES to Close in Q2

Monday, May 16, 2022

Offshore drilling company Vantage Drilling International reported a net loss attributable to controlling interest of about  $14.9 million in the first quarter of 2022.

For comparison, in the first quarter of last year, Vantage Drilling's net loss attributable to controlling interest was  $36.0 million.

In the first quarter of 2022, Vantage generated revenue of $58,3 million, compared to last year's Q1 revenue of 20,1 million.

The company's EBITDA for the quarter was $6,3 million, compared to Q1 2021 negative EBITDA of $11,2 million.

According to the offshore drilling company, as of March 31, 2022, Vantage had approximately $78.6 million in cash, including $16.4 million of restricted cash, compared to $90.6 million in cash, including $17.3 million of restricted cash, at December 31, 2021. 

The company used $8.2 million in cash from operations during the first quarter of 2022 compared to $15.4 million used during the same period of 2021. 

Ihab Toma, CEO, said: “I am very proud that for the quarter, the company achieved positive EBITDA . We continue to see improving signs in the market as the recovery moves forward. Our focus remains on operating safely, efficiently, and effectively for our clients.” 

Toma added: “In addition, we are making progress towards closing the previously announced sale of three of our jack-up rigs to the ADES Group, which we expect to occur in the second quarter of 2022. The sale will materially improve the liquidity profile of the company.”

Vantage Drilling, in December 2021, agreed to sell its subsidiary Emerald Driller Company (“EDC”) to ADES for $170,000,000 in cash subject to certain adjustments. 

At the time of the sale deal announcement, Vantage said that EDC owned the Emerald Driller jackup rig, operating in Qatar, and that EDC would also own, before the closing of the sale, the Sapphire Driller jackup rig and the Aquamarine Driller jackup rig and their respective drilling contracts, "which are expected to start operations in Qatar in the first and second quarter of 2022, respectively. "

 

Categories: Energy Drilling Activity Drilling Rigs

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