Vantage Drilling International (VTDRF) 8-K Vantage Drilling International Reports Third Quarter Results for 2017

Exhibit 99.1

Vantage Drilling International Reports Third Quarter Results for 2017

HOUSTON,TX--(MARKET WIRE) November 7, 2017 — Vantage Drilling International (“Vantage” or the “Company”) reported a net loss of approximately $40.1 million or $8.01 per share for the three months ended September 30, 2017 as compared to a net loss of $41.5 million or $8.31 per share for the three months ended September 30, 2016.

Vantage continued to deliver solid operating results with rig uptime of 99% and revenue efficiency of 101%. At the end of the quarter, we began the mobilization of thePlatinum Explorer to offshore India under a three year contract. The reactivation was ahead of schedule and under budget.

As of September 30, 2017, Vantage had approximately $198.6 million of available cash. Uses of cash during the quarter included, among other things, debt service costs,non-recurring professional fees related to litigation and arbitration matters and there-activation of thePlatinum Explorer.

Ihab Toma, CEO, commented. “I am pleased to report that all our jackups have been deployed and that we have ended the quarter with thePlatinum Explorer on its way to a three year contract for ONGC, in India. There-activation of thePlatinum Explorer was an extraordinary achievement, with all of our departments working in sync and with a clear objective. As a result, we have maintained our strong liquidity position, noting that the remaining expenditures associated with thePlatinum Explorerdeployment should be mostly offset by the collection of the contractual mobilization fee.”

Vantage, a Cayman Islands exempted company, is an offshore drilling contractor, with a fleet of three ultra-deepwater drillships, four premium jackup drilling rigs, and one standard jackup drilling rig. Vantage’s primary business is to contract drilling units, related equipment and work crews primarily on a dayrate basis to drill oil and natural gas wells globally for major, national and large independent oil and natural gas companies. Vantage also provides construction supervision services for, and will operate and manage, drilling units owned by others.

The information above includes forward-looking statements within the meaning of the Securities Act of 1933 and the Securities Exchange Act of 1934. These forward-looking statements are subject to certain risks, uncertainties and assumptions identified above or as disclosed from time to time in the company’s filings with the Securities and Exchange Commission. As a result of these factors, actual results may differ materially from those indicated or implied by such forward-looking statements. Vantage disclaims any intention or obligation to update publicly or revise such statements, whether as a result of new information, future events or otherwise.

Public & Investor Relations Contact:

Thomas J. Cimino

Chief Financial Officer

Vantage Drilling International

(281)404-4700

Vantage Drilling International

Consolidated Statement of Operations

(In thousands, except per share data)

(Unaudited)

	Successor												Predecessor
	Three Months Ended September 30,						Nine Months Ended September 30,			Period from February 10, 2016 to September 30,			Period from January 1, 2016 to February 10,
	2017			2016			2017			2016			2016
Revenue
Contract drilling services	$	51,831		$	34,755		$	137,672		$	99,715		$	20,891
Management fees		342			993			1,148			3,664			752
Reimbursables		5,523			4,194			14,188			14,860			1,897
Total revenue		57,696			39,942			153,008			118,239			23,540
Operating costs and expenses
Operating costs		49,848			30,983			119,030			93,387			25,213
General and administrative		6,949			10,128			29,929			27,991			2,558
Depreciation		18,538			18,977			55,531			49,434			10,696
Total operating costs and expenses		75,335			60,088			204,490			170,812			38,467
Loss from operations		(17,639	)		(20,146	)		(51,482	)��		(52,573	)		(14,927	)
Other income (expense)
Interest income		231			11			587			26			3
Interest expense and other financing charges (contractual interest of $23,219 for the period from January 1, 2016 to February 10, 2016)		(19,258	)		(18,722	)		(57,180	)		(48,144	)		(1,728	)
Other, net		858			669			2,073			987			(69	)
Reorganization items		—			35			—			(606	)		(452,919	)
Bargain purchase gain		—			—			1,910			—			—
Total other expense		(18,169	)		(18,007	)		(52,610	)		(47,737	)		(454,713	)
Loss before income taxes		(35,808	)		(38,153	)		(104,092	)		(100,310	)		(469,640	)
Income tax provision		4,260			3,373			9,067			5,978			2,371
Net loss		(40,068	)		(41,526	)		(113,159	)		(106,288	)		(472,011	)
Net loss attributable to noncontrolling interests		—			—			—			—			(969	)
Net loss attributable to VDI	$	(40,068	)	$	(41,526	)	$	(113,159	)	$	(106,288	)	$	(471,042	)
Net loss per share, basic and diluted	$	(8.01	)	$	(8.31	)	$	(22.63	)	$	(21.26	)		N/A
Weighted average successor ordinary shares outstanding, basic and diluted		5,000			5,000			5,000			5,000			N/A

Vantage Drilling International

Supplemental Operating Data

(Unaudited, in thousands, except percentages)

	Successor												Predecessor
	Three Months Ended September 30,						Nine Months Ended September 30,			Period from February 10, 2016 to September 30,			Period from January 1, 2016 to February 10,
	2017			2016			2017			2016			2016
Operating costs and expenses
Jackups	$	19,764		$	8,836		$	52,660		$	29,555		$	5,975
Deepwater		23,754			16,045			48,719			44,563			15,550
Operations support		3,158			2,645			9,441			7,456			2,219
Reimbursables		3,172			3,457			8,210			11,813			1,469
	$49,848			$30,983			$119,030			$93,387			$25,213
Utilization
Jackups		93.8	%		25.6	%		76.4	%		43.4	%		53.6	%
Deepwater		33.3	%		33.1	%		33.2	%		33.2	%		33.3	%

Vantage Drilling International    

Consolidated Balance Sheet    

(In thousands, except share and par value information)    

(Unaudited)    

	September 30, 2017			December 31, 2016
ASSETS
Current assets
Cash and cash equivalents	$	198,637		$	231,727
Trade receivables		36,103			20,850
Inventory		43,675			45,206
Prepaid expenses and other current assets		16,158			12,423
Total current assets		294,573			310,206
Property and equipment
Property and equipment		904,327			902,241
Accumulated depreciation		(123,215	)		(67,713	)
Property and equipment, net		781,112			834,528
Other assets		22,384			15,694
Total assets	$	1,098,069		$	1,160,428
LIABILITIES AND SHAREHOLDERS’ EQUITY
Current liabilities
Accounts payable	$	46,182		$	35,283
Accrued liabilities		20,073			18,448
Current maturities of long-term debt		4,430			1,430
Total current liabilities		70,685			55,161
Long–term debt, net of discount and financing costs of $68,564 and $105,568		904,084			867,372
Other long-term liabilities		9,899			11,335
Commitments and contingencies
Shareholders’ equity
Ordinary shares, $0.001 par value, 50 million shares authorized; 5,000,053 shares issued and outstanding		5			5
Additionalpaid-in capital		373,972			373,972
Accumulated deficit		(260,576	)		(147,417	)
Total shareholders’ equity		113,401			226,560
Total liabilities and shareholders’ equity	$	1,098,069		$	1,160,428

Vantage Drilling International

Consolidated Statement of Cash Flows

(In thousands)

(Unaudited)

	Successor						Predecessor
	Nine Months Ended September 30, 2017			February 10, 2016 to September 30, 2016			Period from January 1, 2016 to February 10, 2016
CASH FLOWS FROM OPERATING ACTIVITIES
Net loss	$	(113,159	)	$	(106,288	)	$	(472,011	)
Adjustments to reconcile net loss to net cash provided by (used in) operating activities:
Depreciation expense		55,531			49,434			10,696
Amortization of debt financing costs		351			310			—
Amortization of debt discount		36,653			31,075			—
Amortization of contract value		3,095			—			—
PIK interest on the Convertible Notes		5,692			4,822			—
Reorganization items		—			—			430,210
Share-based compensation expense		2,882			76			—
Gain on bargain purchase		(1,910	)		—			—
Deferred income tax benefit		(3,489	)		(2,660	)		—
Loss on disposal of assets		191			634			—
Changes in operating assets and liabilities, net of businesses acquired:
Restricted cash		—			1,000			(1,000	)
Trade receivables		(15,253	)		53,405			(3,575	)
Inventory		1,531			(1,856	)		223
Prepaid expenses and other current assets		(1,685	)		(47	)		6,893
Other assets		5,947			(1,823	)		941
Accounts payable		10,899			2,136			(14,890	)
Accrued liabilities and other long-term liabilities		(4,688	)		(26,935	)		21,148
Net cash (used in) provided by operating activities		(17,412	)		3,283			(21,365	)
CASH FLOWS FROM INVESTING ACTIVITIES
Additions to property and equipment		(1,606	)		(10,107	)		116
Cash paid forVantage 260 acquisition		(13,000	)		—			—
Net cash (used in) provided by investing activities		(14,606	)		(10,107	)		116
CASH FLOWS FROM FINANCING ACTIVITIES
Repayment of long-term debt		(1,072	)		(1,072	)		(7,000	)
Proceeds from issuance of 10% Second Lien Notes		—			—			75,000
Debt issuance costs		—			(51	)		(1,125	)
Net cash (used in) provided by financing activities		(1,072	)		(1,123	)		66,875
Net (decrease) increase in cash and cash equivalents		(33,090	)		(7,947	)		45,626
Cash and cash equivalents—beginning of period		231,727			249,046			203,420
Cash and cash equivalents—end of period	$	198,637		$	241,099		$	249,046