EX-99 2 exhibit99form8kjan2010.htm EXHIBIT 99.1 EXHIBIT 99.1

Ensco International plc
Rig Contract Status Report
As of January 15, 2010

Statements contained in the Rig Contract Status Report regarding the Company's estimated rig availability, contract duration, future rig rates and cost adjustments, customers or contract status (including letters of intent) are forward-looking statements made pursuant to the Private Securities Litigation Reform Act of 1995. Such forward-looking statements include references to future rig rates, cost adjustments, utilization, rig enhancement projections, shipyard construction or work completion, and other contract or letter of intent commitments, including new rig commitments, contract term, the period of time and number of rigs that will be in a shipyard for repairs, maintenance, enhancement or construction, scheduled delivery dates for new rigs, and scheduled commencement dates for new contracts and rig relocations. Numerous factors could cause actual rig status, contractual and financial results to differ materially from those contemplated in the forward-looking statements, including: (i) changes in foreign or domestic laws, including tax laws, that could effectively reduce or eliminate the benefits we expect to achieve from the December 2009 merger and reorganization of the Company's corporate structure, (ii) an inability to realize expected benefits from the merger, (iii) costs related to the merger, which could be greater than expected, (iv) industry conditions and competition, including changes in rig supply and demand or new technology, (v) risks associated with the global economy and its impact on capital markets and liquidity, (vi) prices of oil and natural gas, and their impact upon future levels of drilling activity and expenditures, (vii) further declines in rig activity, which may cause us to idle or stack additional rigs, (viii) excess rig availability or supply resulting from delivery of new drilling rigs, (ix) heavy concentration of our rig fleet in premium jackups, (x) cyclical nature of the industry, (xi) worldwide expenditures for oil and natural gas drilling, (xii) the ultimate resolution of the ENSCO 69 situation in general and the potential return of the rig or package policy political risk insurance recovery in particular, (xiii) changes in the timing of revenue recognition resulting from the deferral of certain revenues for mobilization of our drilling rigs, time waiting on weather or time in shipyards, which are recognized over the contract term upon commencement of drilling operations, (xiv) operational risks, including excessive unplanned downtime and hazards created by severe storms and hurricanes, (xv) risks associated with offshore rig operations or rig relocations, (xvi) renegotiation, nullification, early termination, cancellation or breach of contracts or letters of intent with customers or other parties, including failure to negotiate definitive contracts following announcements or receipt of letters of intent, (xvii) inability to enforce contract rate adjustment terms or collect receivables, (xxiii) changes in the dates new contracts actually commence, (xxiii) changes in the dates our rigs will enter a shipyard, be delivered, return to service or enter service, (xix) risks inherent to domestic and foreign shipyard rig construction, repair or enhancement, including risks associated with concentration of our ENSCO 8500 Series ® rig construction contracts in a single shipyard, unexpected delays in equipment delivery and engineering or design issues following shipyard delivery, (xx) availability of transport vessels to relocate rigs, (xxi) environmental or other liabilities, risks or losses, whether related to hurricane damage, losses or liabilities (including wreckage or debris removal) in the Gulf of Mexico or otherwise, that may arise in the future which are not covered by insurance or indemnity in whole or in part, (xxii) limited availability or high cost of insurance coverage for certain perils such as hurricanes in the Gulf of Mexico or associated removal of wreckage or debris, (xxiii) self-imposed or regulatory limitations on drilling locations in the Gulf of Mexico during hurricane season, (xiv) impact of current and future government laws and regulation affecting the oil and gas industry in general and our operations in particular, including taxation, as well as repeal or modification of same, (xxv) our ability to attract and retain skilled personnel, (xxvi) governmental action and political and economic uncertainties, including expropriation, nationalization, confiscation or deprivation of our assets, (xxvii) terrorism or military action impacting our operations, assets or financial performance, (xxviii) outcome of litigation, legal proceedings, investigations or insurance or other claims, (xxix) adverse changes in foreign currency exchange rates, including their impact on the fair value measurement of our derivative financial instruments, (xxx) potential long-lived asset or goodwill impairments, (xxxi) potential reduction in fair value of our auction rate securities, and (xxxii) other risks as described from time to time as Risk Factors and otherwise in the Company's SEC filings. Copies of such SEC filings may be obtained at no charge by contacting our Investor Relations Department at 214-397-3045 or by referring to the Investor Relations section of our website at www.enscointernational.com. All information in this report is as of the date posted. The Company undertakes no duty to update any forward-looking statement, to conform the statement to actual results, reflect changes in the Company's expectations or otherwise update any forward-looking statement (or its associated cautionary language), whether as a result of new information or future events.. Moreover, the U.S. Congress, the U.S. Internal Revenue Service, the United Kingdom Parliament or HM Revenue & Customs may attempt to enact new statutory or regulatory provisions that could adversely affect Ensco's UK status as a non-U.S. corporation or otherwise adversely affect Ensco's UK anticipated global tax position. Retroactive statutory or regulatory actions have occurred in the past, and there can be no assurance that any such provisions, if enacted or promulgated, would not have retroactive application to Ensco, the merger or the subsequent actions. The factors identified above are believed to be important factors (but not necessarily all of the important factors) that could cause actual results to differ materially from those expressed in any forward-looking statement made by us. Other factors not discussed herein could also have material adverse effects on us. All forward-looking statements included in this Rig Contract Status Report are expressly qualified in their entirety by the foregoing cautionary statements.
Bolded rig names and underlined text signify changes in rig status from the previous month.
            Est. Avail/  
Segment /   Water      Day Rate     Contract  
Region / Rig         Design (1)         Depth' (1)    Customer/Status $000's US     Location        Change                Comments                 
                               
Deepwater

Australia
ENSCO 7500   Dynamically Positioned   8000   Chevron   Low 550s   Australia   Sep. 10   Mob day rate of mid 360s and reimbursable mobilization expenses deferred and amortized over contract. In total, these equal approx. $170,000 per day over the contract term as noted in the 2Q09 SEC Form 10-Q. Plus cost adjustments  

U.S. Gulf of Mexico
ENSCO 8500   Dynamically Positioned   8500   Eni/Anadarko   High 290s   Gulf of Mexico   Jun. 13   Plus lump sum payment of $20 million and one-time reimbursable costs of $27 million amortized over contract. Plus cost adjustments and four 1-year same-rate options  
ENSCO 8501   Dynamically Positioned   8500   Nexen/Noble Energy   Mid 360s   Gulf of Mexico   Apr. 13   Mob costs are reimbursed at $18,000 per day over primary contract term. Plus cost adjustments and unpriced options  
ENSCO 8502   Dynamically Positioned   8500   Under construction       Singapore   1Q10   Contracted in Gulf of Mexico to Nexen commencing late 2Q10 to 2Q12, high 470s plus cost adjustments. Contract can change to 3 or 4 year term at operator's election at the same day rate  
ENSCO 8503   Dynamically Positioned   8500   Under construction       Singapore   4Q10   Contracted in Gulf of Mexico to Cobalt commencing early 2011 for 2 years, mid 520s plus cost adjustments and priced & unpriced options  

Under Construction - uncontracted
ENSCO 8504   Dynamically Positioned   8500   Under construction       Singapore   2H11      
ENSCO 8505   Dynamically Positioned   8500   Under construction       Singapore   1H12      
ENSCO 8506   Dynamically Positioned   8500   Under construction       Singapore   2H12      

(1)  ENSCO 8500 Series® rigs are 6th generation, proprietary design, ultra-deepwater, dynamically positioned semisubmersibles and may be modified to drill in up to 10,000' water depths.
Note:  The day rates reflected in this Rig Contract Status Report are the operating day rates charged to customers, which may include estimated contractual adjustments for changes in operating costs and/or reimbursable cost adjustments for ongoing expenses such as crew, catering, insurance and taxes. The day rates, however, do not include certain types of non-recurring revenues such as lump sum mobilization payments, revenues earned during mobilizations, revenues associated with contract preparation and other non-recurring reimbursable items such as mobilizations and capital enhancements. Routine and non-routine downtime may influence the actual revenues recognized during the contract term. Please refer to the Company's SEC filings for more information.
 

Ensco International plc
Rig Contract Status Report
As of January 15, 2010

Bolded rig names and underlined text signify changes in rig status from the previous month.
 
             Est. Avail/  
Segment /   Water      Day Rate     Contract  
Region / Rig             Design             Depth'     Customer/Status $000's US     Location        Change                Comments                 
                               
Asia & Pacific Rim

Middle East/India
ENSCO 50   F&G L-780 Mod II-C   300   Sime Darby   Low 60s   Qatar   Mar. 10   Accommodation mode plus 47-day option  
ENSCO 53   F&G L-780 Mod II-C   300   BG   Low 100s   India   Mar. 10   Plus one well same rate option and one 6-month unpriced option  
ENSCO 54   F&G L-780 Mod II-C   300   ADOC/Bunduq   Low 150s   Qatar   Nov. 10   Plus cost adjustments and unpriced option  
ENSCO 76   MLT Super 116-C   350   Saudi Aramco   High 130s   Saudi Arabia   Sep. 10      
ENSCO 84   MLT 82 SD-C   250   Available       Bahrain   ------------      
ENSCO 88   MLT 82 SD-C   250   Ras Gas   Mid 80s   Qatar   Aug. 10   One 5-well option, high 90s and one 4-well option, mid 110s  
ENSCO 94   Hitachi 250-C   250   Ras Gas   Mid 60s   Qatar   May 12   Rate increases Jun. 10, high 60s. One 1-well option, mid 110s  
ENSCO 95   Hitachi 250-C   250   Saudi Aramco   Mid 90s   Saudi Arabia   Nov. 10      
ENSCO 96   Hitachi 250-C   250   Larsen & Toubro   Mid 50s   Qatar   Feb. 10   Accommodation mode  
ENSCO 97   MLT 82 SD-C   250   Available       Bahrain          

Southeast Asia/Australia
ENSCO 51   F&G L-780 Mod II-C   300   Available       Malaysia          
ENSCO 52   F&G L-780 Mod II-C   300   Petronas Carigali   Mid 160s   Malaysia   Nov. 10   Plus cost adjustments and unpriced options  
ENSCO 56   F&G L-780 Mod II-C   300   Available       Malaysia          
ENSCO 57   F&G L-780 Mod II-C   300   Petronas Carigali   Mid 160s   Malaysia   Feb. 10   Plus cost adjustments and unpriced options  
ENSCO 67   MLT 84-CE   400   Pertamina   Mid 80s   Indonesia   May 10   Plus two unpriced options  
ENSCO 104   KFELS MOD V-B   400   ConocoPhillips   High 210s   Australia   Aug. 10   Plus cost adjustments and five 1-well unpriced options; 2010 rate adjusts late Jan. to high 160s  
ENSCO 106   KFELS MOD V-B   400   Newfield   Mid 90s   Malaysia   Oct. 10   One unpriced 1-year option  
ENSCO 107   KFELS MOD V-B   400   Committed/
Shipyard/avail.
short-term		   ------------   Singapore   Jun. 10   Next to Premier in Vietnam mid Jun. 10 to May 12, low 100s. Plus five 1-well options at index rate  
ENSCO 108   KFELS MOD V-B   400   Total   Mid 160s   Brunei   Dec. 10   As previously disclosed, six-month option exercise resulted in reduction in firm period rate retroactive to Jun. 09. Differential in day rate was deferred, so no impact on revenue. Rate changes Jun. 10 to low 140s. Plus one 6-month option at market rate  
 
ENSCO I   Barge Rig       Cold stacked       Singapore          
 



Note:  The day rates reflected in this Rig Contract Status Report are the operating day rates charged to customers, which may include estimated contractual adjustments for changes in operating costs and/or reimbursable cost adjustments for ongoing expenses such as crew, catering, insurance and taxes. The day rates, however, do not include certain types of non-recurring revenues such as lump sum mobilization payments, revenues earned during mobilizations, revenues associated with contract preparation and other non-recurring reimbursable items such as mobilizations and capital enhancements. Routine and non-routine downtime may influence the actual revenues recognized during the contract term. Please refer to the Company's SEC filings for more information.



Please read the forward-looking statements disclaimer at the top of the first page.


Ensco International plc
Rig Contract Status Report
As of January 15, 2010

Bolded rig names and underlined text signify changes in rig status from the previous month.
            Est. Avail/  
Segment /   Water      Day Rate     Contract  
Region / Rig             Design             Depth'     Customer/Status $000's US     Location        Change                Comments                 
                               
Europe & Africa
 
North Sea
ENSCO 70   Hitachi K1032N   250   Committed/avail. short-term       UK   May 10   Expect to work starting May 10 to Jul. 10, mid 90s  
ENSCO 71   Hitachi K1032N   225   Maersk   High 80s   Denmark   Jan. 11   Plus three 1-year options  
ENSCO 72   Hitachi K1025N   225   Eni   Low 90s   UK   Feb. 10      
ENSCO 80   MLT 116-CE   225   ConocoPhillips   Low 130s   UK   Jan. 10   Sublet to Ithaca to mid Jan. 10. Then contract suspended to Jul. 10. Contracted through 2012. Rates mutually agreed annually  
ENSCO 92   MLT 116-C   225   EIS Consortium*   Mid 210s   UK   Apr. 10   Plus cost adjustments. Rate from Feb. 10, low 150s  
ENSCO 100   MLT 150-88-C   350   GDF Suez   WoW**   UK   Jun. 10   Operating rate low 110s. Plus unpriced options  
ENSCO 101   KFELS MOD V-A   400   Committed/avail. short-term       UK   Jun. 10   Next to Maersk starting Jun. 10 to Sep. 11, low 170s plus one unpriced option  
ENSCO 102   KFELS MOD V-A   400   ConocoPhillips   Low 200s   UK   Dec. 11   Plus cost adjustments. Rate after mid Jan. 10, mid 190s  

Mediterranean		                              
ENSCO 85   MLT 116-C   300   Aegean Energy   Mid 90s   Greece   Feb. 10   Next to MedOil to Apr. 10, mid 90s  
ENSCO 105   KFELS MOD V-B   400   BG   Low 200s   Tunisia   May 10   Plus cost adjustments and unpriced option  

*EIS (East Irish Sea Consortium) - Venture, BHPB, HRL Centrica, EOG
**Waiting on weather
                               
North & South America

U.S. Gulf of Mexico
ENSCO 60   Levingston 111-C   300   Cold stacked       Gulf of Mexico          
ENSCO 75   MLT Super 116-C   400   W&T   Low 90s   Gulf of Mexico   Mar. 10   Plus unpriced option  
ENSCO 82   MLT 116-C   300   Chevron   High 50s   Gulf of Mexico   Jun. 10   ------------------------------  
ENSCO 86   MLT 82 SD-C   250   Apache   Mid 40s   Gulf of Mexico   Apr. 10      
ENSCO 87   MLT 116-C   350   Apache   Mid 60s   Gulf of Mexico   May 10      
ENSCO 90   MLT 82 SD-C   250   Cold stacked       Gulf of Mexico          
ENSCO 99   MLT 82 SD-C   250   Exxon   Mid 40s   Gulf of Mexico   Mar. 10      
 
Mexico
ENSCO 81   MLT 116-C   350   Pemex   Low 100s   Mexico   Jun. 10   Indexed to global rates every six months, now fixed through term  
ENSCO 83   MLT 82 SD-C   250   Pemex   Low 110s   Mexico   Nov. 12   Plus cost adjustments  
ENSCO 89   MLT 82 SD-C   250   Pemex   Low 100s   Mexico   Mar. 12   Rates adjust to global index rate every 3 months (next Feb. 10)  
ENSCO 93   MLT 82 SD-C   250   Pemex   High 90s   Mexico   Mar. 12   Rates adjust to global index rate every 3 months (next Apr. 10)  
ENSCO 98   MLT 82 SD-C   250   Pemex   Low 110s   Mexico   Apr. 12   Plus cost adjustments  

Venezuela
ENSCO 68   MLT 84-CE   400   Chevron   Low 200s   Venezuela   May 10   Chevron assigned contract to Repsol. Rate changes mid Jan. 10 to low 170s  
 


Note:  The day rates reflected in this Rig Contract Status Report are the operating day rates charged to customers, which may include estimated contractual adjustments for changes in operating costs and/or reimbursable cost adjustments for ongoing expenses such as crew, catering, insurance and taxes. The day rates, however, do not include certain types of non-recurring revenues such as lump sum mobilization payments, revenues earned during mobilizations, revenues associated with contract preparation and other non-recurring reimbursable items such as mobilizations and capital enhancements. Routine and non-routine downtime may influence the actual revenues recognized during the contract term. Please refer to the Company's SEC filings for more information.


Please read the forward-looking statements disclaimer at the top of the first page.