Rig operator Diamond Offshore Drilling (NYSE:DO) posted a loss of $145 million as it released its fourth quarter results.
The Houston-based firm revealed revenue for the fourth quarter was $297.64 million, compared to third quarter revenue of $244.96 million.
Diamond Offshore said the increase in revenue quarter-over-quarter was primarily driven by the Ocean BlackHawkâs contract commencement in the Gulf of Mexico new contract commencements for the Ocean Patriot and Ocean Apex.
This was partially offset by lower revenue for the Ocean Courage due to contract preparation activities related to its new multi-year contract in Brazil, the company said.
Diamond Offshore said it added $245 million to its order backlog in the fourth quarter of 2023, while receiving $362 million in contract awards so far in 2024.
Diamond Offshore president and chief executive officer Bernie Wolford Jr. said 2023 was a “transformational year” for the company.
“We marked our one-year anniversary of re-listing on the New York Stock Exchange, made measurable improvements in our capital structure, secured $485 million dollars in new contract awards throughout the year, safely completed Special Periodical
Surveys on five rigs, and completed eight contract start-ups, including four contract
commencements in the fourth quarter, one in each of the regions in which we operate,” he said.
© Supplied by Diamond Offshore“In the first quarter of 2024, as previously announced, we secured a two-year contract extension for the Ocean BlackLion in the Gulf of Mexico at a leading edge dayrate and secured additional P&A work for the Ocean Patriot to fill a portion of the gap prior to commencement of a long-term P&A campaign in 2025.
“The recent $362 million in contract awards are in addition to our reported backlog of $1.4 billion as of January 1, which will result in notable average dayrate improvement as we transition to new contracts.”
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