Hercules Settles Jackup 265 Property Damage Claim

Hercules Offshore, Inc. received payment from its insurance underwriters for the previously-disclosed damage to its Hercules 265 (250' MC) jackup Dec. 20. The Company's insurance underwriters determined that the rig is a constructive total loss, and the Company received gross insurance proceeds of $50 million. As a result of this insurance collection, the Company anticipates recording an insurance gain of approximately $31 million in the fourth quarter 2013. The Company and its insurance underwriters continue to negotiate the insurance recovery amounts for costs related to the salvage of the Rig and certain other insured losses.

Hercules closed the sale of its Hercules 170 (170' ILC) jackup for a purchase price of $8.3 million Dec. 20. As a result of the sale, the Company expects to record an impairment charge of approximately $12 million in the fourth quarter 2013.

WHAT DO YOU THINK?

Post a Comment Generated by readers, the comments included herein do not reflect the views and opinions of Rigzone. All comments are subject to editorial review. Off-topic, inappropriate or insulting comments will be removed.

Related Companies
Events  SUBSCRIBE TO OUR NEWSLETTER

Our Privacy Pledge
SUBSCRIBE


Most Popular Articles


From the Career Center
Jobs that may interest you
Conductor Driller
Expertise: Driller
Location: Midland, TX
 
Site Safety Coordinator
Expertise: Safety Engineering
Location: Houston, TX
 
Messaging Cyber Intelligence Analyst
Expertise: IT - Analysis & Management|Security
Location: Houston, TX
 
search for more jobs

Brent Crude Oil : $54.15/BBL 8.19%
Light Crude Oil : $49.2/BBL 8.80%
Natural Gas : $2.689/MMBtu 1.13%
Updated in last 24 hours