Oslo, Norway, November 21, 2022
NorAm Drilling AS (the “Company” or “NorAm”), today reported unaudited results for the three months and nine months ended September 30, 2022:
• Revenue increased to MUSD 26.5, up 19.1% from the previous quarter
• EBITDA increased to MUSD 8.5, up 104.2% from the previous quarter
• Fleet utilization increased to 98.9% compared to 94.8% in the second quarter 2022
• Average base dayrate increased to $25,200, up 17.3% from the second quarter 2022
• Current revenue backlog of MUSD 52.2 as of November 21, 2022
Marty L. Jimmerson, Chief Executive Officer & Chief Financial Officer of NorAm Drilling AS commented:
“NorAm is positioned as a leading and reliable operator of the US industry’s most advanced onshore drilling rigs and we were among the first to have all rigs reactivated after the market disruption caused by Covid-19. Our focus remains on the Permian Basin where approximately 60% of reserves in the U.S are located, and we have industry leading operating margins after maintenance capital expenditures.
We continue to see a tight supply/demand market and have executed five contracts subsequent to the third quarter with average base dayrates above $31,000 per day. After prepaying the bond loan in November, NorAm is now debt free, and we look forward to executing on dividend strategy from December onwards.”
In connection with the release, the Company invites investors and analysts to a live presentation and Q&A on Tuesday, November 22, 2022, at 09:00 AM (EST) / 3:00 PM (CET).
Follow the link to access the presentation: bit.ly/NorAmQ3
Relevant presentation material will on the same day be made available on the Investor Relations section of the Company’s website at www.noramdrilling.com.
For further queries, please contact:
Marius Furuly, Director of IR and Strategy
Tel: +47 90626191
About NorAm Drilling
NorAm Drilling owns and operates a portfolio of eleven advanced drilling rigs upgraded to maximize drilling efficiency in the Permian Basin in Texas, which is the largest oil producing region in North America. NorAm Drilling is debt free and has industry leading operating margins. The Company will have a full pay-out dividend strategy, targeting frequent cash distributions in a raising market.