Helmerich & Payne, Inc. had signed separate term agreements with two exploration and production companies to operate a total of nine new FlexRig4s(R). Each rig agreement includes a minimum term of at least three years and construction costs are estimated at slightly over $11 million per rig. This brings to 50, the total number of new FlexRigs to be built by H&P with at least three-year commitments that have been announced by the Company since March of this year.
Company President and C.E.O., Hans Helmerich commented, "We are pleased to reach the milestone of our 50th new-build order. This latest announcement will bring our total number of FlexRigs to 100 once completed, or 71% of our entire U.S. land rig fleet. Customers continue to respond favorably to the proven performance that establishes these rigs as what we believe are best in class. We also believe the market will continue to push demand, not only for more available rigs, but for more capable rigs as well.