22 May 2009production update▼ Bad
Roughly a dozen rigs remained cold-stacked -- most of the older, smaller jackups now idle -- with working dayrates still around $34-51K.
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24 Apr 2009production update▼ BadMajor
The cold-stacked list grew sharply -- more than a dozen rigs now idle -- and the rigs still working saw dayrates crushed to $34-46K, a fraction of their 2006-08 highs.
19 Mar 2009production update▼ Bad
Dayrates kept falling, with some rigs working for as little as $34-51K, versus over $100K at the 2008 peak.
19 Feb 2009production update▼ BadMajor
More rigs went cold-stacked and dayrates fell further; remaining contracts averaged just 43 days as customers stopped committing long-term.
20 Jan 2009production update▼ BadMajor
Multiple Gulf of Mexico rigs were cold-stacked for the first time this cycle as the crisis hit in full -- dayrates on the remaining working rigs ranged as low as $26-86K with contracts averaging just 55 days, a spot, distressed market replacing the multi-year deals of 2007-08.
17 Dec 2008production update▼ BadMajor
A Chevron rig's forward dayrate was cut nearly in half to $51-53K (from $69-71K) -- the first clear sign of the financial crisis and collapsing oil price reaching Hercules's contracts.
20 Nov 2008production update● Neutral
Hurricane repair work continued on two rigs, but dayrates across the fleet still held in the healthy $59-86K range.
23 Oct 2008production update● Neutral
A second rig went to the shipyard for hurricane repairs, but the rest of the fleet kept working at healthy dayrates ($64-85K) -- just before the financial crisis hit demand.
24 Sept 2008production update▼ Bad
Hurricane damage showed up in the fleet for the first time this cycle -- one rig went to the shipyard for storm repairs after its customer also canceled a planned well.
21 Aug 2008production update● Neutral
The high-rate environment continued, with the fleet still mostly under contract aside from routine inspection downtime.
21 July 2008production update▲ Good
Dayrates held near cycle highs and the fleet was largely fully contracted, with rigs scheduling routine regulatory surveys well into 2009.
19 June 2008production update▲ Good
Dayrates kept climbing into mid-2008, with one rig booked forward at $81-83K -- the fleet riding the last leg of the pre-crisis rate cycle.
3 June 2008capital raising announcement● NeutralMajor
Hercules raised $250 million selling 3.375% convertible notes due 2038, using $49.2 million of the proceeds to buy back 1.45 million shares at $33.95 and the rest to pay down its revolver -- new long-dated debt taken on near the top of the offshore drilling cycle.
21 May 2008production update▲ Good
The fleet was booked out months in advance at rising dayrates, reflecting strong demand at the peak of the 2008 drilling cycle.
1 May 2008production update▲ Good
Several rigs had forward contracts awarded at meaningfully higher dayrates (one stepping up to $69-73K by year-end) -- pricing turning up again as 2008's oil-price rally fed into jackup demand.
30 Apr 2008material agreement▲ Good
Hercules increased its revolving credit facility from $150 million to $250 million for working capital and capital spending, with other terms unchanged.
17 Apr 2008production update● Neutral
Rigs kept stringing together short-term Gulf of Mexico jobs as spot activity picked up, though a couple of submersibles remained warm-stacked.
20 Mar 2008production update● Neutral
Fleet held roughly steady, with rigs re-contracting in the same $53-61K domestic range and only a handful stacked.
20 Feb 2008production update▼ BadMajor
Overall liftboat utilization fell sharply to 51% (from the 70-80% range of recent months), even as a few rigs picked up new short-term Gulf of Mexico work -- a notable air pocket in demand.
17 Jan 2008production update▼ Bad
The Chevron rigs' indexed dayrate reset down again to $53-55K, and several submersibles remained stacked -- soft Gulf of Mexico conditions continuing into early 2008.
19 Dec 2007production update▼ Bad
Three of the fleet's submersible rigs sat warm-stacked heading into 2008, and the Chevron rigs' indexed dayrate held near $59-61K -- the domestic soft patch persisting.
19 Nov 2007production update▼ Bad
Several domestic rigs remained warm-stacked or idle and dayrates stayed soft ($51-66K range) in the Gulf of Mexico, while the international fleet kept working steadily.
17 Oct 2007production update▼ Bad
The fleet report added a new US inland barge segment, while the Chevron rigs' indexed dayrate reset down to $59-61K (from $67-69K) -- continued easing in domestic pricing.
20 Sept 2007production update▼ Bad
More domestic rigs moved to "warm stacked" status as Gulf of Mexico utilization softened further, though Chevron was negotiating to extend two of its rigs.
20 Aug 2007production update● Neutral
The enlarged post-merger fleet held broadly steady, with most rigs re-contracting at similar rates to the prior month and only a couple sitting idle.
8 Aug 2007auditor change● Neutral
Hercules dismissed Grant Thornton as its auditor -- with clean opinions and no disagreements on the record -- and engaged Ernst & Young for fiscal 2007, a routine change coinciding with the company's post-TODCO scale-up.
18 July 2007production update● Neutral
With the TODCO merger now closed, the fleet report jumped to a much larger combined roster of renumbered "Hercules"-branded rigs -- though several of the newly added domestic units sat stacked and ready between contracts as the enlarged company absorbed the deal.
17 July 2007asset acquisition disposition▲ GoodMajor
Hercules closed its acquisition of TODCO on July 11, 2007, and simultaneously refinanced into a new $1.05 billion credit facility, retiring its original 2005 credit agreement -- the deal that transformed it from a liftboat/small-jackup operator into a much larger drilling company.
14 June 2007production update▼ Bad
Three domestic rigs sat idle and "stacked ready" between contracts as Gulf of Mexico demand softened, and a liftboat (the Mako) was damaged, incurring a $1 million deductible.
17 May 2007production update▼ Bad
Rig 11 moved to a lower-rate contract ($54-56K); domestic dayrates kept softening while the international fleet held steadier.