A Hercules Offshore jackup under tow. Photo: Offshore Towing Inc.
Dan Dicker, Energy contributor at TheStreet.com, talks with Jim Cramer about the recent downgrade of Hercules Offshore to bankruptcy by Deutsche Bank. With only a few of its rigs currently in service and several destined to finish contracts soon, the cash flow at HERO looks dire. But who is likely to be the next victim of depressed oil prices?
No other offshore driller is quite as specialized in the very competitive shallow water subsector or as leveraged as HERO, but several others will still face tremendous continuing difficulties going forward. One stock in particularly that Dicker thinks hasn’t stopped going down is Ensco. Although it is well financed, it has contracted to build 6 new rigs while 19 of its currently employed rigs will come offline in 2015.
Dan Dicker holds a position in Seadrill.
Via The Street
Sign up for gCaptain’s newsletter and never miss an update
Essential maritime and offshore news, insights, and updates delivered daily straight to your inbox
A service boat carrying crew members capsized alongside the Scorpio-managed oil/chemical tanker Sea Quest at the outer anchorage of Beira, Mozambique on Thursday, leaving seven people missing and multiple casualties....
The United Kingdom has sanctioned China’s Beihai LNG terminal as part of a comprehensive package targeting Russia’s energy sector and its international enablers, marking a significant escalation in Western efforts...
Swedish prosecutors have closed their investigation into damage to a communication cable between Sweden and Latvia in the Baltic Sea, concluding that the incident was accidental rather than an act...
Subscribe to gCaptain Daily and stay informed with the latest global maritime and offshore news
Essential news coupled with the finest maritime content sourced from across the globe.
Sign Up
Join The Club
