Seadrill Partners to slash dividend. Cites low rig rates, looming debt maturities

Seadrill Partners, an affiliate of offshore driller Seadrill, will reduce the quarterly distribution to its common unitholders from 10 cents per unit to 1 cent per unit.

West Vencedor / Image by Seadrill Partners

“The move reflects the slower than anticipated recovery in dayrates and the company’s desire to preserve liquidity ahead of debt maturities in the second half of 2020 and first quarter of 2021,” Seadrill partners said.

The fourth quarter cash distribution will be paid on February 14, 2019, to all unitholders of record as of the close of business on February 7, 2019, the company said.

The piece of news comes a week after the company announced it had secured a six-well contract with three option wells for the West Vencedor semi-submersible self-erecting tender assisted drilling rig offshore Cote d’Ivoire.

Backlog for the firm portion of the contract is expected to be approximately $20 million with the start expected in Q3 2019 and running through Q2 2020.

Also worth noting, Seadrill Partners earlier this month said its CEO Mark Morris would step down from his position at the end of June.

Mark Morris, said, “It has been a privilege to have led the Company over these last three and a half years, but now I am looking to seek new and different challenges.

See below Seadrill Partners’ latest fleet status report and dayrates. The fleet report has not been updated yet to include the latest contract for the West Vencedor.

Offshore Energy Today Staff

Share this article

Follow Offshore Energy Today

Events>

<< Nov 2019 >>
MTWTFSS
28 29 30 31 1 2 3
4 5 6 7 8 9 10
11 12 13 14 15 16 17
18 19 20 21 22 23 24
25 26 27 28 29 30 1

Africa Oil Week 2020

For over 25 years Africa Oil Week has been the meeting place for Africa’s most senior E&P stakeholders.

read more >

CERAWeek 2020

 Each year, CERA clients gathered for a few days in Houston…

read more >

Offshore Technology Conference (OTC) 2020

The Offshore Technology Conference (OTC) showcases leading-edge technology for offshore drilling, exploration…

read more >

2020 EXPLORATION AND PRODUCTION STANDARDS CONFERENCE ON OILFIELD EQUIPMENT AND MATERIALS

The development of consensus standards is one of API’s oldest and most successful programs.

read more >

Jobs>

Looking to fill a job opening?

By advertising your job here, on the homepage of OffshoreEnergyToday.com, you'll reach countless professionals in the sector. For more information, click below...

apply

Looking to fill a job opening?

By advertising your job here, on the homepage of OffshoreEnergyToday.com, you'll reach countless professionals in the sector. For more information, click below...

apply