John Fredriksen-controlled Seadrill has promoted from within for its new CEO. The company’s CFO, Stuart Jackson, replaces Anton Dibowitz from today. Dibowitz had been in charge since May 2017, during which time he oversaw the rig company’s difficult chapter 11 reorganisation. He has been with the company since 2008. Dibowitz will remain as an advisor to the company for the next six months.
Carrying costs of assets which will never return to the market must be eliminated
Following Jackson’s appointment, the role and responsibilities of the CFO will be divided into two new roles: Grant Creed will become chief restructuring officer and Neil Gilliver will become chief accounting officer.
Glen Ole Rodland, who took over from Fredriksen as chairman at Seadrill 11 months ago, said today: “Stuart has consistently been a strong advocate for addressing the broader industry issues summarised in having too many rigs and too much debt. With a strong restructuring and transaction-based experience across the energy sector, the board view Stuart as the ideal candidate for the next phase of Seadrill’s development.”
Jackson will set about restructuring Seadrill’s balance sheet and changing its operational model and cost levesl.
“The energy market is changing and so must Seadrill,” Rodland added.
Jackson commented: “We are in a new market and we must adapt and adjust. This means eliminating the carrying costs of assets which will never return to the market, addressing the cost base of productive assets and all delivered within a simplified organisational structure. Achieving this alongside establishing a long term, sustainable capital structure will see Seadrill well placed to participate in the industry consolidation that is well overdue. We are looking forward to tomorrow but recognise the challenge of today.”