Houston-based oil and gas E&P firm Noble Corporation announced it has now received the full settlement amount of $540m from Freeport-McMoRan for the early termination of drilling contracts for two drillships in the Gulf of Mexico.
The drillships Noble Sam Croft and Noble Tom Madden were contracted for work until July and November of 2017 respectively but they were terminated on May 10 of this year as Freeport tries to cut costs.
Noble received the payment in the form of Freeport shares which Noble resold.
Noble can also receive contingent payments up to $75m depending on the average price of crude oil in the 12-month period starting from June 30, 2016.
I believe you mean Noble Drilling Inc., not Noble Energy.
Thanks Brian, correct it should be Noble Corporation.