Valaris Ltd. announces that its jack-up rig, Valaris 144, has arrived in Angola for new drilling contracts. The company has signed agreements for drilling one well in early 2025 and a 13-well project set to begin later that year. Valaris currently holds a Zacks Rank of #5, indicating a challenging market position compared to competitors.
Valaris Ltd., an offshore drilling contractor, has announced the arrival of its jack-up rig, Valaris 144, in Angola for a new drilling contract. After completing a project in Corpus Christi, Texas, the rig commenced its journey to Angola in late January.
In 2024, Valaris secured a contract with an undisclosed operator to drill one well offshore Angola, scheduled to commence in the first quarter of 2025. This venture is projected to last approximately 45 days, with an estimated contract value of $8.5 million.
Additionally, the Valaris 144 has obtained a significant contract for 13 wells with the same operator, with an estimated duration of 730 to 770 days, set to begin in the second quarter of 2025. The contract’s total value is projected to range between $149 million and $156 million.
Valaris currently holds a Zacks Rank of 5 (Strong Sell). In contrast, other energy sector stocks such as Archrock Inc. (Zacks Rank 1), Matador Resources Corporation, and NextDecade Corporation (both Zacks Rank 2) are performing more favorably. Archrock specializes in midstream natural gas compression services, while Matador is noted for its exploration and production expertise. NextDecade is emerging in the LNG market, focusing on expanding liquefaction capacity with its Rio Grande LNG project.
Valaris Ltd. has embarked on a crucial drilling venture in Angola with its jack-up rig, Valaris 144, following a successful project in Texas. The company has secured contracts that promise significant revenues, with expectations for growth in operational timelines and contract values. Meanwhile, the comparative performance within the energy sector indicates a challenging outlook for Valaris, contrasting with the success of competitors in the market.
Original Source: www.zacks.com
