The Seadrill-owned company was recently awarded a $400 million deal by state-owned YPF to supply five newbuild rigs for drilling work in the prospective Vaca Muerta shale play in the Neuquen basin.
Analyst Turner Holm of RS Platou Markets expects the potential five-year contract to yield additional annual earnings before interest, tax, depreciation and amortisation of around $35 million over the next few years for the Oslo-listed contractor, which has suffered heavy losses of late on a downturn in North American gas drilling.
“The
