Paragon Offshore (PGNPQ) 10-K 11 Mar 16 2015 FY Annual report Financial data

Document and Entity Information

Document and Entity Information - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2015	Mar. 01, 2016	Jun. 30, 2015
Entity [Abstract]
Entity Registrant Name	Paragon Offshore plc
Entity Central Index Key	1,594,590
Document Type	10-K
Document Period End Date	Dec. 31, 2015
Amendment Flag	false
Document Fiscal Year Focus	2,015
Document Fiscal Period Focus	FY
Current Fiscal Year End Date	--12-31
Entity Filer Category	Accelerated Filer
Entity Common Stock, Shares Outstanding		86,558,423
Entity Well-known Seasoned Issuer	No
Entity Voluntary Filers	No
Entity Current Reporting Status	Yes
Entity Public Float			$ 94

Consolidated and Combined State

Consolidated and Combined Statements of Operations - USD ($) shares in Thousands, $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Operating revenues
Contract drilling services	$ 1,368,731	$ 1,866,497	$ 1,807,952
Labor contract drilling services	29,108	33,401	35,146
Reimbursables and other	94,589	93,864	49,904
Total operating revenues	1,492,428	1,993,762	1,893,002
Operating costs and expenses
Contract drilling services	769,373	890,694	914,702
Labor contract drilling services	20,599	24,774	24,333
Reimbursables	81,291	77,843	38,341
Depreciation and amortization	339,268	422,235	413,305
General and administrative	59,475	62,081	64,907
Loss on impairments	1,181,358	1,059,487	43,688
Gain on sale of assets, net	(13,217)	0	(35,646)
Gain on contract settlements/extinguishments, net	0	0	(24,373)
Gain on repurchase of long-term debt	(4,345)	(18,675)	0
Total operating costs and expenses	2,433,802	2,518,439	1,439,257
Operating income (loss)	(941,374)	(524,677)	453,745
Other income (expense)
Interest expense, net of amount capitalized	(130,036)	(56,654)	(5,886)
Other, net	(310)	3,920	(1,949)
Income (loss) before income taxes	(1,071,720)	(577,411)	445,910
Income tax benefit (provision)	72,108	(69,394)	(85,605)
Net income (loss)	(999,612)	(646,805)	360,305
Net (income) loss attributable to non-controlling interest	(31)	59	0
Net income (loss) attributable to Paragon	$ (999,643)	$ (646,746)	$ 360,305
Earnings (loss) per share
Basic and diluted (in dollars per share)	$ (11.65)	$ (7.63)	$ 4.25
Weighted-average shares outstanding
Basic and diluted (in shares)	85,785	84,753	84,753

Consolidated and Combined Stat3

Consolidated and Combined Statements of Comprehensive Income (Loss) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Statement of Comprehensive Income [Abstract]
Net income (loss)	$ (999,612)	$ (646,805)	$ 360,305
Other comprehensive income (loss), net of tax
Foreign currency translation adjustments	(7,430)	(1,481)	179
Foreign currency forward contracts	0	(4,027)	0
Adjustments to pension plans	2,560	(1,141)	0
Total other comprehensive income (loss), net	(4,870)	(6,649)	179
Total comprehensive income (loss)	$ (1,004,482)	$ (653,454)	$ 360,484

Consolidated Balance Sheets

Consolidated Balance Sheets - USD ($) $ in Thousands	Dec. 31, 2015	Dec. 31, 2014
Current assets
Cash and cash equivalents	$ 773,571	$ 56,772
Restricted cash	3,000	12,502
Accounts receivable, net of allowance for doubtful accounts	266,325	539,376
Prepaid and other current assets	110,027	104,644
Total current assets	1,152,923	713,294
Property and equipment, at cost	2,652,537	4,842,112
Accumulated depreciation	(1,541,439)	(2,431,752)
Property and equipment, net	1,111,098	2,410,360
Other assets	119,844	129,735
Total assets	2,383,865	3,253,389
Current liabilities
Current maturities of long-term debt	40,629	272,166
Accounts payable and accrued expenses	85,374	160,874
Accrued payroll and related costs	48,246	81,416
Taxes payable	34,381	69,033
Interest payable	34,085	33,658
Other current liabilities	41,174	105,147
Total current liabilities	283,889	722,294
Long-term debt	2,559,462	1,888,439
Deferred income taxes	9,373	58,497
Other liabilities	37,731	89,910
Total liabilities	$ 2,890,455	$ 2,759,140
Commitments and contingencies
Equity
Ordinary shares, $0.01 par value, 186,457,393 shares authorized; with 86,026,247 and 84,753,393 issued and outstanding at December 31, 2015 and 2014, respectively	$ 860	$ 848
Additional paid-in capital	1,429,456	1,423,153
Accumulated deficit	(1,894,892)	(895,249)
Accumulated other comprehensive loss	(42,014)	(37,144)
Total shareholders’ equity (deficit)	(506,590)	491,608
Non-controlling interest	0	2,641
Total equity (deficit)	(506,590)	494,249
Total liabilities and equity	$ 2,383,865	$ 3,253,389

Consolidated Balance Sheets (Pa

Consolidated Balance Sheets (Parentheticals) - $ / shares	Dec. 31, 2015	Dec. 31, 2014
Ordinary shares
Par value (in dollars per share)	$ 0.01	$ 0.01
Shares authorized (in shares)	186,457,393	186,457,393
Shares issued (in shares)	86,026,247	84,753,393
Shares outstanding (in shares)	86,026,247	84,753,393

Consolidated and Combined Stat6

Consolidated and Combined Statements of Changes in Equity - USD ($) $ in Thousands	Total	Ordinary Shares	Additional Paid-in Capital	Accumulated Deficit	Accumulated Other Comprehensive Loss	Net Parent Investment	Total Shareholders’ Equity and Net Parent Investment	Non Controlling Interest
Balance (in shares) at Dec. 31, 2012		0
Balance at Dec. 31, 2012	$ 3,365,232	$ 0	$ 0	$ 0	$ (185)	$ 3,365,417	$ 3,365,232	$ 0
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income (loss)	360,305					360,305	360,305
Net transfers to parent	(1,720,383)					(1,720,383)	(1,720,383)
Employee related equity activity:
Other comprehensive income (loss), net	179				179		179
Balance (in shares) at Dec. 31, 2013		0
Balance at Dec. 31, 2013	2,005,333	$ 0	0	0	(6)	2,005,339	2,005,333	0
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income (loss) | Predecessor	237,428					237,428	237,428
Net income (loss) | Successor	(884,233)			(884,174)			(884,174)	(59)
Net income (loss)	(646,805)
Net changes in parent investment	(855,249)					(855,249)	(855,249)
Distribution by former parent (in shares)		84,753,000
Distribution by former parent	0	$ 848	1,417,119		(30,449)	(1,387,518)
Employee related equity activity:
Amortization of share-based compensation	7,689		7,689				7,689
Dividends paid	(11,075)			(11,075)			(11,075)
Acquisition of Prospector	11,311				(40)		(40)	11,351
Acquisition of Prospector non-controlling interest	(10,306)		(1,655)				(1,655)	(8,651)
Other comprehensive income (loss), net	$ (6,649)				(6,649)		(6,649)
Balance (in shares) at Dec. 31, 2014	84,753,393	84,753,000
Balance at Dec. 31, 2014	$ 494,249	$ 848	1,423,153	(895,249)	(37,144)	0	491,608	2,641
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income (loss)	(999,612)			(999,643)			(999,643)	31
Adjustments to distribution by former parent	(9,493)		(9,493)				(9,493)
Employee related equity activity:
Amortization of share-based compensation	16,089		16,089				16,089
Issuance of share-based compensation shares (in shares)		1,273,000
Issuance of share-based compensation shares	(768)	$ 12	(780)				(768)
Acquisition of Prospector non-controlling interest	(2,185)		487				487	(2,672)
Other comprehensive income (loss), net	$ (4,870)				(4,870)		(4,870)
Balance (in shares) at Dec. 31, 2015	86,026,247	86,026,000
Balance at Dec. 31, 2015	$ (506,590)	$ 860	$ 1,429,456	$ (1,894,892)	$ (42,014)	$ 0	$ (506,590)	$ 0

Consolidated and Combined Stat7

Consolidated and Combined Statements of Cash Flows - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Cash flows from operating activities
Net income (loss)	$ (999,612)	$ (646,805)	$ 360,305
Adjustments to reconcile net income (loss) to net cash from operating activities:
Depreciation and amortization	339,268	422,235	413,305
Loss on impairments	1,181,358	1,059,487	43,688
Gain on sale of assets, net	(13,217)	0	(35,646)
Gain on repurchase of long-term debt	(4,345)	(18,675)	0
Deferred income taxes	(61,870)	19,475	4,869
Share-based compensation	16,193	19,446	21,114
Provision for doubtful accounts	39,239	0	0
Net change in other assets and liabilities	(13,281)	(158,174)	14,840
Net cash provided by operating activities	483,733	696,989	822,475
Cash flows from investing activities
Capital expenditures	(202,909)	(261,641)	(366,361)
Proceeds from sale of assets	30,816	6,570	61,000
Acquisition of Prospector Offshore Drilling S.A.	0	(176,569)	0
Acquisition of Prospector Offshore Drilling S.A. non-controlling interest	(2,185)	(10,306)	0
Change in restricted cash	(15,528)	(12,502)	0
Change in accrued capital expenditures	(14,638)	1,230	(12,365)
Net cash used in investing activities	(204,444)	(453,218)	(317,726)
Cash flows from financing activities
Net Activity – Revolving Credit Facility	11,000	154,000	0
Additional Borrowings – Revolving Credit Facility	543,500	0	0
Proceeds from issuance of Senior Notes and Term Loan Facility	0	1,710,550	0
Proceeds from Sale-Leaseback Financing, net	291,576	0	0
Repayment of Term Loan Facility	(6,500)	(1,625)	0
Repayments on Sale-Leaseback Financing	(28,854)	0	0
Purchase of Senior Notes	(6,546)	(65,354)	0
Dividends paid	0	(11,075)	0
Debt issuance costs	0	(19,253)	(2,484)
Net transfers to parent	0	(2,698,295)	(1,757,554)
Net cash provided by (used in) financing activities	437,510	(223,580)	(538,706)
Net change in cash and cash equivalents	716,799	20,191	(33,957)
Cash and cash equivalents, beginning of period	56,772	36,581	70,538
Cash and cash equivalents, end of period	773,571	56,772	36,581
Predecessor
Cash flows from operating activities
Net income (loss)		237,428
Cash flows from financing activities
Net change in borrowings on Predecessor bank credit facilities	0	707,472	1,221,332
Line of Credit
Cash flows from financing activities
Repayment of Prospector debt	(265,666)	0	0
Callable Bond
Cash flows from financing activities
Repayment of Prospector debt	$ (101,000)	$ 0	$ 0

Organization, Current Events an

Organization, Current Events and Basis of Presentation	12 Months Ended
	Dec. 31, 2015
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Organization, Current Events and Basis of Presentation	ORGANIZATION, CURRENT EVENTS, AND BASIS OF PRESENTATION Paragon Offshore plc (together with its subsidiaries, “Paragon,” the “Company,” “we,” “us” or “our”) is a global provider of offshore drilling rigs. Our operated fleet includes 34 jackups ( including two high specification heavy duty/harsh environment jackups), four drillships and two semisubmersibles. Our primary business is contracting our rigs, related equipment and work crews to conduct oil and gas drilling and workover operations for our exploration and production customers on a dayrate basis around the world. The Company operates its geographically diverse fleet with well-established customer relationships. We operate in significant hydrocarbon-producing geographies throughout the world, including Mexico, Brazil, the North Sea, West Africa, the Middle East, India and Southeast Asia. As of December 31, 2015 , our contract backlog was $1.0 billion and included contracts with leading national, international and independent oil and gas companies. We are a public limited company registered under the Companies Act 2006 of England. In July 2014, Noble transferred to us the assets and liabilities (the “Separation”) constituting most of Noble’s standard specification drilling units and related assets, liabilities and business. On August 1, 2014, Noble made a pro rata distribution to its shareholders of all of our issued and outstanding ordinary shares (the “Distribution” and, collectively with the Separation, the “Spin-Off”). In connection with the Distribution, Noble shareholders received one ordinary share of Paragon for every three ordinary shares of Noble owned. Voluntary Reorganization under Chapter 11 Plan Support Agreement On February 12, 2016, the Debtors entered into a plan support agreement (the “PSA”) relating to a plan of reorganization (the “Plan”) pursuant to chapter 11 of the Bankruptcy Code with holders (the “Noteholder Group”) representing an aggregate of 77% of the outstanding $457 million of our 6.75% senior unsecured notes maturing July 2022 (the “2022 Senior Notes”) and the outstanding $527 million of our 7.25% senior unsecured notes maturing August 2024 (the “2024 Senior Notes” and, together with the 2022 Senior Notes, the “Senior Notes”) together with lenders (“Revolver Group”) representing an aggregate of 96% of the amounts outstanding (including letters of credit) under our Senior Secured Revolving Credit Agreement, dated June 17, 2014 (the “Revolving Credit Agreement”). The terms of the transactions contemplated by the Plan are as follows: • Lenders in our Revolving Credit Agreement shall receive a $165 million cash payment and corresponding permanent reduction in lending commitments. The Revolving Credit Agreement will be amended and all remaining amounts outstanding will be converted into a term loan with an extension of the maturity to 2021, a rate increase to LIBOR + 4.50% with a 1.00% LIBOR floor, a minimum liquidity covenant at all times set at $110 million (subject to a grace period if the minimum liquidity falls below $110 million but remains above $95 million ), a suspension of the net leverage ratio and interest coverage covenants until the first quarter of 2018, as well as certain other amendments. • Holders of our Senior Notes (the “Noteholders”) shall receive: (i) a pro rata share of a cash payment of $345 million (the “Noteholder Cash Payment”); (ii) a pro rata share of 35% of the ordinary shares of reorganized Paragon (the “Noteholder Equity”); and (iii) a deferred cash payment of $20 million if our consolidated Earnings Before Interest, Taxes, Depreciation and Amortization, and other adjustments as defined in the PSA (“Deferred Payment EBITDA”) for 2016 equals or exceeds $209 million , and a deferred cash payment of $15 million if our consolidated Deferred Payment EBITDA for 2017 equals or exceeds $248 million but is less than $276 million or $30 million if our consolidated Deferred Payment EBITDA for 2017 equals or exceeds $276 million (the “2017 Payment”). The Noteholder Group will also be entitled to designate one member to our board of directors. • Existing shareholders will retain ownership of 65% of the ordinary shares of reorganized Paragon following emergence from bankruptcy. • General unsecured claims are unimpaired under the Plan, and the Company’s Senior Secured Term Loan (the “Term Loan Facility”) shall be reinstated. • The Plan does not contemplate restructuring the financing arrangements created by the Sale-Leaseback Transaction as the Prospector subsidiaries are not Debtors in the chapter 11 filing. Settlement with Noble Corporation We also entered into a binding term sheet (the “Term Sheet”) with Noble with respect to the “Noble Settlement Agreement” (as described below). Upon execution of the Noble Settlement Agreement, certain conditions of the Tax Sharing Agreement executed between Noble and Paragon for the Spin-Off will be modified. Noble will provide direct bonding in fulfillment of the requirements necessary to challenge tax assessments in Mexico relating to our business for the tax years 2005 through 2010 (the “Mexican Tax Assessments”). The Mexican Tax Assessments were originally assigned to us by Noble pursuant to the Tax Sharing Agreement which was entered into in connection with the Spin-Off. See Note 16 - “Commitments and Contingencies ” for additional information. The Company has contested or intends to contest the Mexico Tax Assessments and may be required to post bonds in connection thereto. As of December 31, 2015, our estimated Mexican Tax Assessments totaled approximately $200 million , with assessments for 2009 and 2010 yet to be received. Additionally, Noble will be responsible for all of the ultimate tax liability for Noble legal entities and 50% of the ultimate tax liability for our legal entities following the defense of the Mexican Tax Assessments. In consideration for this support, we have agreed to release Noble, fully and unconditionally, from any and all claims in relation to the Spin-Off. The Term Sheet has been approved by the boards of directors of both companies, but remains subject to execution of a definitive Noble Settlement Agreement and the approval of such agreement by the Bankruptcy Court in our chapter 11 proceedings. Upon the execution and approval by Bankruptcy Court of a final Noble Settlement Agreement, a material portion of our Mexican Tax Assessments, and any corresponding ultimate tax liability, will be assumed by Noble. Until such time, the current Tax Sharing Agreement remains in effect. Chapter 11 Filing On February 14, 2016, the Debtors filed voluntary petitions for relief under chapter 11 of the Bankruptcy Code in the Bankruptcy Court (“the Bankruptcy cases”). The Plan remains subject to approval of the Bankruptcy Court. During the pendency of the bankruptcy proceedings, we will continue to operate our business as “debtors in possession” under the jurisdiction of the Bankruptcy Court and in accordance with the applicable provisions of the Bankruptcy Code and the orders of the Bankruptcy Court. The commencement of the Bankruptcy cases in February 2016 constituted an event of default subsequent to the balance sheet date that accelerated our obligations under the Term Loan Agreement, Revolving Credit Agreement and Senior Notes. Any efforts to enforce payments related to these obligations are automatically stayed as a result of the filing of the Petitions and are subject to the applicable provisions of the Bankruptcy Code. See Note 8 - “Debt” for debt classification. The reorganization is not expected to have a material impact on our operations and we are seeking to pay unsecured trade and other creditors in full either in the ordinary course of business or at the conclusion of the chapter 11 process. We are seeking to emerge from bankruptcy by the end of the second quarter of 2016. Events Leading to Proposed Restructuring The following is a general description of factors that ultimately led us to enter into a restructuring plan to restructure our liabilities and maximize recoveries to holders of interests and claims: • Collapse in Oil Prices - In the summer of 2014, Brent crude oil prices - a key factor in determining customer activity levels - began to decline, dropping from roughly $115 per barrel in June 2014 to approximately $60 per barrel by December of the same year. As a result of this swift and substantial decline in oil prices, many of our customers (which include national, international, and independent oil and gas companies) reduced their exploration and development capital expenditures by 20% to 25% in 2015. Oil prices continued to decline in 2015, closing at $37.28 per barrel on December 31, 2015, an additional 35% decrease over the course of a volatile year. This reduced demand has led to an oversupply of rigs competing for limited tendering activity. The oversupply of rigs has been compounded by a significant expansion of supply of (mostly non-contracted) newbuild rigs in recent years. As of February 4, 2016, Brent crude oil prices have declined by an additional approximately 8% . Several exploration and production companies have made announcements that they plan to reduce capital spending by 20% or more in 2016 as a result of expectations of continued low commodity prices. We expect that further reductions in activity will follow in 2016, as capital spending has historically been an indicator of drilling activity. Because of the amount of debt we incurred in connection with the Spin-Off and the nature of the assets acquired, we were not equipped to absorb the ongoing and precipitous decline in oil and gas prices and the corresponding decline in demand for their services. Although we do not face any maturities on our secured debt until 2019, the severity and duration of the market downturn has increased the risk that existing customer contracts, some of which are due to expire in the near term, will not be renewed or will be renewed at materially reduced prices. • Contract Terminations and Renegotiations - Throughout 2015, a number of drilling contractors reported contract cancellations by their customers. The terms of certain of our drilling contracts permit early termination of the contract by the customer, without cause, generally exercisable upon advance notice to us and, in some cases, without requiring an early termination payment. In May 2015, one of our subsidiaries received written notices of termination from Pemex with respect to drilling contracts on three of our jackups (the “Pemex Contracts”). Under these contracts, Pemex had the right to terminate upon 30 days’ notice without making an early termination payment. The three rigs are currently stacked. Additionally, Pemex offered us the option of accepting significantly lower dayrates or facing early termination with respect to rigs that remained under contract to Pemex. By the end of 2015, Pemex went from being one of our largest customers to employing only a single working rig and also disputing certain receivables. In addition to Pemex, another large customer, Petrobras, notified us that it was disputing contract language regarding the lengths of contracts for our two dynamically positioned drillships operating in Brazil (the “Petrobras Contracts”). This dispute resulted in the early termination of the drilling contract for one drillship in September 2015, significantly earlier than the original contract expiration date of March 2017. Based on communications from Petrobras, we expect that the other drillship will likely be terminated later this year. The contracts at issue constitute $142 million of our contract drilling services backlog. We continue to discuss the matter with Petrobras and plan to vigorously pursue all legal remedies available under these contracts. Furthermore, as exploration and production companies seek to reduce expenses, they have approached us and other drilling companies to seek reductions in current contract dayrates. Referred to as “blend and extend” discussions, these conversations are sometimes mutually beneficial, for example, if a drilling contractor agrees to lower its contract dayrate in exchange for an exploration and production company’s agreement to add time to the contract term. In some cases, such as those we faced in Mexico, drilling contractors may have no choice but to lower their dayrates or face termination. We have been (and may continue to be) engaged in similar discussions, which could have negative near-term impacts on revenues despite potentially providing longer-term benefits. • Deleveraging Initiatives - Due to the continuing decline in Brent crude oil prices and corresponding decline in demand for offshore drilling services, we did not expect to remain in compliance with the leverage ratio covenant under the Revolving Credit Facility during the four quarters in 2016. Accordingly, under the direction of an independent committee of our board of directors, we retained restructuring advisors to explore long term solutions to improve our overall balance sheet strength and to engage our lenders and noteholders with the intent of maximizing value for our shareholders and other stakeholders. As a result of these discussions, our board of directors ultimately decided to commence our Bankruptcy cases. Going Concern The accompanying consolidated financial statements have been prepared assuming that we will continue as a going concern and contemplate the realization of assets and the satisfaction of liabilities in the normal course of business. Our ability to continue as a going concern is contingent upon the Bankruptcy Court’s approval of our reorganization plan. This represents a material uncertainty related to events and conditions that may cause significant doubt on our ability to continue as a going concern and, therefore, we may be unable to realize our assets and discharge our liabilities in the normal course of business. While operating as debtors in possession under chapter 11, we may sell or otherwise dispose of or liquidate assets or settle liabilities, subject to the approval of the Bankruptcy Court or as otherwise permitted in the ordinary course of business (and subject to restrictions in our debt agreements), for amounts other than those reflected in the accompanying consolidated financial statements. Further, the reorganization plan could materially change the amounts and classifications of assets and liabilities reported in the consolidated financial statements. The accompanying consolidated financial statements do not include any adjustments related to the recoverability and classification of assets or the amounts and classification of liabilities or any other adjustments that might be necessary should we be unable to continue as a going concern or as a consequence of the Bankruptcy cases. Delisting from the New York Stock Exchange On December 18, 2015, the Company announced that it received notification from the NYSE that the NYSE had suspended trading in our shares effective immediately. The NYSE determined that our ordinary shares were no longer suitable for listing based on “abnormally low” price levels, pursuant to Section 802.01D of the NYSE’s Listed Company Manual. The last day that the Company’s ordinary shares traded on the NYSE was December 17, 2015. On December 18, 2015, the Company’s ordinary shares began trading on the OTC Market Group Inc.’s OTCQX market. Upon filing our voluntary petitions for relief under chapter 11 of the Bankruptcy Code, we began trading on the OTC Pink. Basis of Presentation The consolidated and combined financial information contained within this report includes periods prior to the Spin-Off on August 1, 2014. For these periods prior to the Spin-Off, the consolidated and combined financial statements and related discussion of financial condition and results of operations include historical results of the Noble Standard-Spec Business (our “Predecessor”), which comprised most of Noble’s standard specification drilling fleet and related operations. Our Predecessor’s historical combined financial statements include three standard specification drilling units that were retained by Noble and three standard specification drilling units that were sold by Noble prior to the Separation. We consolidate the historical combined financial results of our Predecessor in our consolidated and combined financial statements for all periods prior to the Spin-Off. All financial information presented after the Spin-Off represents the consolidated results of operations, financial position and cash flows of Paragon. Our Predecessor’s historical combined financial statements for the periods prior to the Spin-Off include assets and liabilities that are specifically identifiable or have been allocated to our Predecessor. Revenues and costs directly related to our Predecessor have been included in the accompanying consolidated and combined financial statements. Our Predecessor received service and support functions from Noble and the costs associated with these support functions have been allocated to our Predecessor using various inputs, such as head count, services rendered, and assets assigned to our Predecessor. Our management considers the allocation methodologies used to be reasonable and appropriate reflections of the related expenses attributable to us for purposes of the carve-out financial statements; however, the expenses reflected in the results of our Predecessor and included in these consolidated and combined statements may not be indicative of the actual expenses that would have been incurred during the periods presented if our Predecessor had operated as a separate standalone entity and may not be indicative of expenses incurred in the future by us. These allocated costs are primarily related to corporate administrative expenses including executive oversight, employee related costs including pensions and other benefits, and corporate and shared employees for the following functional groups: • information technology, • legal, accounting, finance and treasury services, • human resources, • marketing, and • other corporate and infrastructural services. Prior to the Spin-Off, our total equity represented the cumulative net parent investment by Noble, including any prior net income attributable to our Predecessor as part of Noble. At the Spin-Off, Noble contributed its entire net parent investment in our Predecessor. Concurrent with the Spin-Off and in accordance with the terms of our Separation from Noble, certain assets and liabilities were transferred between us and Noble, which have been recorded as part of the net capital contributed by Noble. During the first quarter of 2015, we recorded an out-of-period adjustment to the opening balance sheet of our Predecessor of approximately $9 million to reflect transfers of fixed assets resulting from the Spin-Off between us and our former parent, as well as revisions in estimates of liabilities associated with the Spin-Off. This adjustment did not affect our Consolidated and Combined Statements of Operations. As our Predecessor previously operated within Noble’s corporate cash management program for all periods prior to the Distribution, funding requirements and related transactions between our Predecessor and Noble have been summarized and reflected as changes in equity without regard to whether the funding represents a receivable, liability or equity. Based on the terms of our Separation from Noble, we ceased being a part of Noble’s corporate cash management program. Any transactions with Noble after August 1, 2014 have been, and will continue to be, cash settled in the ordinary course of business, and such amounts, which totaled approximately $0.2 million and $2 million at December 31, 2015 and 2014 , respectively, are included in “Accounts payable” on our Consolidated Balance Sheets

New Accounting Pronouncements

New Accounting Pronouncements	12 Months Ended
	Dec. 31, 2015
New Accounting Pronouncements and Changes in Accounting Principles [Abstract]
New Accounting Pronouncements	NEW ACCOUNTING PRONOUCEMENTS In May 2014, the FASB issued ASU No. 2014-09, which amends ASC Topic 606, Revenue from Contracts with Customers . The amendments in this ASU are intended to provide a more robust framework for addressing revenue issues, improve comparability of revenue recognition practices and improve disclosure requirements. Based on ASU No. 2015-14, Revenue from Contracts with Customers: Deferral of the Effective Date, subsequently issued in August 2015, the amendments in this ASU are effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2017. This ASU can be adopted either retrospectively or as a cumulative-effect adjustment as of the date of adoption. Entities reporting under U.S. GAAP are not permitted to adopt this standard earlier than the original effective date for public entities. We are evaluating what impact, if any, the adoption of this guidance will have on our financial condition, results of operations, cash flows or financial disclosures. In June 2014, the FASB issued ASU No. 2014-12, which amends ASC Topic 718, Compensation-Stock Compensation . The guidance requires that a performance target that affects vesting and that could be achieved after the requisite service period be treated as a performance condition and should not be reflected in the estimate of the grant-date fair value of the award. The guidance is effective for annual periods, and interim periods within those annual periods beginning after December 15, 2015. The guidance can be applied prospectively for all awards granted or modified after the effective date or retrospectively to all awards with performance targets outstanding as of the beginning of the earliest annual period presented in the financial statements and to all new or modified awards thereafter. We do not expect that our adoption will have a material impact on our financial statements or disclosures in our financial statements. In August 2014, the FASB issued ASU No. 2014-15, Presentation of Financial Statements - Going Concern . This ASU codifies management’s responsibility to evaluate whether there is substantial doubt about an entity’s ability to continue as a going concern and to provide related note disclosures. The guidance is effective for annual periods ending after December 15, 2016, and for annual and interim periods thereafter, and early adoption is permitted. The Company has elected early adoption of this guidance and has included the related disclosures in the consolidated and combined financial statements for the year ended December 31, 2015 . In January 2015, the FASB issued ASU 2015-01, Income Statement - Extraordinary and Unusual Items . This ASU simplifies income statement classification by removing the concept of extraordinary items from U.S. GAAP. As a result, items that are both unusual and infrequent will no longer be separately reported net of tax after continuing operations. The guidance is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2015 and early adoption is permitted. If we have extraordinary or unusual items in the future, our adoption could have a material impact on our financial statements or disclosures in our financial statements. In April 2015, the FASB issued ASU No. 2015-03, Simplifying the Presentation of Debt Issuance Costs. This ASU requires debt issuance costs to be presented on the balance sheet as a direct deduction from the carrying value of the associated debt liability, consistent with the presentation of a debt discount. In August 2015, the FASB issued ASU No. 2015-15, Presentation and Subsequent Measurement of Debt Issuance Costs Associated with Line-of-Credit Arrangements, which states that the SEC staff would not object to an entity deferring and presenting debt issuance costs as an asset and subsequently amortizing the deferred debt issuance costs ratably over the term of the line-of-credit arrangement, regardless of whether there are any outstanding borrowings on the line-of-credit arrangement. This guidance is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2015. We will adopt this ASU retrospectively on January 1, 2016, which will result in a reduction of both our long-term assets and long-term debt balances of approximately $20 million based on deferred financing costs for our Senior Notes and Term Loan Facility at December 31, 2015. In November 2015, the FASB issued ASU No. 2015-17, Balance Sheet Classification of Deferred Taxes . This ASU requires companies to classify all deferred tax assets and liabilities as noncurrent on the balance sheet instead of separating deferred taxes into current and noncurrent amounts. In addition, companies will no longer allocate valuation allowances between current and noncurrent deferred tax assets because those allowances also will be classified as noncurrent. The guidance is effective for financial statements issued for annual periods beginning after December 15 2016 and interim periods within those annual periods. Early adoption is permitted for all companies in any interim or annual period. We have elected early adoption of this guidance retroactively. Early adoption had no impact on prior periods as reported in our financial statements for the year ended December 31, 2015.

Summary of Significant Accounti

Summary of Significant Accounting Policies	12 Months Ended
	Dec. 31, 2015
Accounting Policies [Abstract]
Summary of Significant Accounting Policies	SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Principles of Combination and Consolidation The consolidated and combined financial statements include our accounts, those of our wholly-owned subsidiaries and entities in which we hold a controlling financial interest. The combined financial statements of our Predecessor include our net assets and results of our operations as previously described. All significant intercompany accounts and transactions have been eliminated in combination and consolidation. Cash and Cash Equivalents Cash and cash equivalents include cash on hand, demand deposits with banks and all highly liquid investments with original maturities of three months or less. Our cash, cash equivalents and short-term investments are subject to potential credit risk, and certain of our cash accounts carry balances greater than federally insured limits. Cash and cash equivalents are primarily held by major banks or investment firms. Our cash management and investment policies restrict investments to lower risk, highly liquid securities and we perform periodic evaluations of the relative credit standing of the financial institutions with which we conduct business. Restricted Cash Restricted cash consists primarily of cash held to satisfy the requirements of our Sale-Leaseback Transaction (as described in Note 8 - “Debt” ), which was executed in 2015. Under the terms of the lease agreements we are required to maintain two cash reserve accounts, a capital expenditure reserve account and a rental reserve account. The capital expenditure reserve is available specifically for special survey costs ( 3 - 5 year surveys) provided that we replenish any amount withdrawn within twelve months from the date of the withdrawal. This cash is available to us, for a designated purpose, in the short-term, and therefore the restricted cash balance is included in “Current assets” on our Consolidated Balance Sheet. The rental reserve account is the minimum amount established under the lease agreements which we are required to maintain on reserve at all times during the lease period. The balance in the account increases with periodic deposits of operating revenue in excess of allowed operating expenses. Any amount of cash in the account in excess of the minimum balance required on reserve is to be used repay our long-term debt obligation related to the Sale-Leaseback Transaction. We classify the $25 million restricted cash balance related to the rental reserve account as long-term and include the balance in “Other Assets” on our Consolidated Balance Sheets. Allowance for Doubtful Accounts We utilize the specific identification method for establishing and maintaining allowances for doubtful accounts. We review accounts receivable on a quarterly basis to determine the reasonableness of the allowance. Our allowance for doubtful accounts was $44 million and $1 million at December 31, 2015 and 2014 , respectively. Bad debt expense of $38 million and $0.1 million was recorded for the year ended December 31, 2015 and 2014 , respectively. No bad debt expense was recorded for the year ended December 31, 2013 . Bad debt expense is reported as a component of “Contract drilling services operating costs and expense” in our Consolidated and Combined Statements of Operations. Property and Equipment, at Cost Property and equipment is stated at cost, reduced by provisions to recognize economic impairment in value whenever events or changes in circumstances indicate an asset’s carrying value may not be recoverable. Major replacements and improvements are capitalized. When assets are sold, retired or otherwise disposed of, the cost and related accumulated depreciation are eliminated from the accounts and the gain or loss is recognized. Drilling equipment and facilities are depreciated using the straight-line method over their estimated useful lives as of the date placed in service or date of major refurbishment. Estimated useful lives of our drilling equipment range from three to thirty years. Other property and equipment is depreciated using the straight-line method over useful lives ranging from two to twenty-five years. Included in accounts payable were $10 million and $24 million of capital accruals as of December 31, 2015 and 2014 , respectively. Scheduled maintenance of equipment is performed based on the number of hours operated in accordance with our preventative maintenance program. Routine repair and maintenance costs are charged to expense as incurred; however, the costs of overhauls and asset replacement projects that benefit future periods and which typically occur every three to five years are capitalized when incurred and depreciated over an equivalent period. These overhauls and asset replacement projects are included in “Property and equipment, at cost” in our Consolidated Balance Sheets. Such amounts, net of accumulated depreciation, totaled $108 million and $193 million at December 31, 2015 and 2014 , respectively. Depreciation expense related to overhauls and asset replacement projects totaled $84 million , $85 million and $76 million for the years ended December 31, 2015 , 2014 and 2013 , respectively. We evaluate the impairment of property and equipment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. In addition, on an annual basis, we complete an impairment analysis on all of our rigs. An impairment loss on our property and equipment exists when the estimated undiscounted cash flows expected to result from the use of the asset and its eventual disposition are less than its carrying amount. Any impairment loss recognized represents the excess of the asset’s carrying value over the estimated fair value. As part of this analysis, we make assumptions and estimates regarding future market conditions. To the extent actual results do not meet our estimated assumptions we may take an impairment loss in the future. For discussion related to our impairment analysis see Note 5 - “Property and Equipment and Other Assets.” Goodwill Impairment Assessment Goodwill represents, at the time of an acquisition, the excess of purchase price over fair value of net assets acquired. We assess our goodwill for impairment on an annual basis on September 30 of each year or on an interim basis if events or changes in circumstances indicate that the carrying value may not be recoverable. In accordance with ASC 350, Intangibles-Goodwill and Other , we can opt to perform a qualitative assessment to test goodwill for impairment or we can directly perform a two-step impairment test. Based on our qualitative assessment, if we determine that the fair value of a reporting unit is more likely than not (i.e., a likelihood of more than 50 percent) to be less than its carrying amount, the two-step impairment test will be performed. In the absence of sufficient qualitative factors, goodwill impairment is determined using a two-step process: • Step one - Identify potential impairment by comparing the fair value of a reporting unit to the book value, including goodwill. If the fair value exceeds book value, the goodwill of the reporting unit is not considered impaired. If the book value exceeds fair value, proceed to step two. • Step two - Compare the implied fair value of the reporting unit’s goodwill to the book value of the reporting unit’s goodwill. The excess of the fair value of a reporting unit over the amounts assigned to its assets and liabilities is the implied fair value of goodwill. If the book value of goodwill exceeds the implied fair value, an impairment charge is recognized for the excess. For discussion related to our goodwill impairment assessment performed at September 30, 2015 see Note 5 - “Property and Equipment and Other Assets” . Debt Issuance Costs Deferred debt issuance costs are amortized through interest expense over the life of the debt securities. Fair Value Measurements We estimate fair value at a price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants in the principal market for the asset or liability. Our valuation techniques require inputs that we categorize using a three-level hierarchy, from highest to lowest level of observable inputs, as follows: (1) unadjusted quoted prices for identical assets or liabilities in active markets (“Level 1”), (2) direct or indirect observable inputs, including quoted prices or other market data, for similar assets or liabilities in active markets or identical assets or liabilities in less active markets (“Level 2”) and (3) unobservable inputs that require significant judgment for which there is little or no market data (“Level 3”). When multiple input levels are required for a valuation, we categorize the entire fair value measurement according to the lowest level of input that is significant to the measurement even though we may have also utilized significant inputs that are more readily observable. Our cash and cash equivalents, accounts receivable and accounts payable are by their nature short-term. As a result, the carrying values included in the accompanying Consolidated Balance Sheets approximate fair value. Certain Significant Estimates and Contingent Liabilities The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amount of revenues and expenses during the reporting period. Certain accounting policies involve judgments and uncertainties to such an extent that there is reasonable likelihood that materially different amounts could have been reported under different conditions, or if different assumptions had been used. We evaluate our estimates and assumptions on a regular basis. We base our estimates on historical experience and various other assumptions that are believed to be reasonable under the circumstances, the results of which form the basis for making judgments about carrying values of assets and liabilities that are not readily apparent from other sources. Actual results may differ from these estimates and assumptions used in preparation of our consolidated and combined financial statements included elsewhere in this Annual Report on Form 10-K. Revenue Recognition Our typical dayrate drilling contracts require our performance of a variety of services for a specified period of time. We determine progress towards completion of the contract by measuring efforts expended and the cost of services required to perform under a drilling contract, as the basis for our revenue recognition. Revenues generated from our dayrate basis drilling contracts and labor contracts are recognized on a per day basis as services are performed and begin upon the contract commencement, as defined under the specified drilling or labor contract. Dayrate revenues are typically earned, and contract drilling expenses are typically incurred ratably over the term of our drilling contracts. We review and monitor our performance under our drilling contracts to confirm the basis for our revenue recognition. Revenues from bonuses are recognized when earned. It is typical in our dayrate drilling contracts to receive compensation and incur costs for mobilization, equipment modification, or other activities prior to the commencement of the contract. Any such compensation may be paid through a lump-sum payment or other daily compensation. Pre-contract compensation and costs are deferred until the contract commences. The deferred pre-contract compensation and costs are amortized, using the straight-line method, into income over the term of the initial contract period, regardless of the activity taking place. This approach is consistent with the economics for which the parties have contracted. Once a contract commences, we may conduct various activities, including drilling and well bore related activities, rig maintenance and equipment installation, movement between well locations or other activities. Deferred revenues from drilling contracts totaled $9 million at both December 31, 2015 and December 31, 2014 . Such amounts are included in either “Other current liabilities” or “Other liabilities” in our Consolidated Balance Sheets, based upon the expected time of recognition of such deferred revenues. Deferred costs associated with deferred revenues from drilling contracts totaled $6 million at December 31, 2015 as compared to $2 million at December 31, 2014 . Such amounts are included in either “Prepaid and other current assets” or “Other assets” in our Consolidated Balance Sheets, based upon the expected time of recognition of such deferred costs. We record reimbursements from customers for “out-of-pocket” expenses as revenues and the related direct cost as operating expenses. Share-Based Compensation Plans We record the grant date fair value of share-based compensation arrangements as compensation cost using a straight-line method over the service period. Share-based compensation is expensed or capitalized based on the nature of the employee’s activities. Foreign Currency Translation We define foreign currency as any non-U.S. denominated currency. In non-U.S. locations where the U.S. dollar has been designated as the functional currency (based on an assessment of the economic circumstances of the foreign operation), local currency transaction gains and losses are included in net income. In non-U.S. locations where the local currency is the functional currency, assets and liabilities are translated at the rates of exchange on the balance sheet date, while income and expense items are translated at average rates of exchange during the year. The resulting gains or losses arising from the translation of accounts from the functional currency to the U.S. dollar are included in AOCL in the accompanying Consolidated Balance Sheets. We did not recognize any material gains or losses on foreign currency transactions or translations during the years ended December 31, 2015 , 2014 or 2013 . Income Taxes The operations of our Predecessor have been included in certain income tax returns of Noble. The income tax provisions and related deferred tax assets and liabilities that have been reflected in our Predecessor’s historical combined financial statements have been computed as if our Predecessor were a separate taxpayer using the separate return method. As a result, actual tax transactions that would not have occurred had our Predecessor been a separate entity have been eliminated in the preparation of these unaudited consolidated and combined financial statements. Income taxes of our Predecessor include results of the operations of the standard specification drilling units. In instances where the operations of the standard specification drilling units of our Predecessor were included in the filing of a return with high specification units, an allocation of income taxes was made. We operate through various subsidiaries in numerous countries throughout the world. Due to our global presence, we are subject to tax laws, policies, treaties and regulations, as well as the interpretation or enforcement thereof, in the U.K., the U.S., and any other jurisdictions in which we or any of our subsidiaries operate, were incorporated, or otherwise considered to have a tax presence. Our income tax expense is based upon our interpretation of the tax laws in effect in various countries at the time that the expense was incurred. If the taxing authorities do not agree with our assessment of the effects of such laws, policies, treaties and regulations, or the interpretation or enforcement thereof, this could have a material adverse effect on us including the imposition of a higher effective tax rate on our worldwide earnings or a reclassification of the tax impact of our significant corporate restructuring transactions. In certain jurisdictions, we have recognized deferred tax assets and liabilities. Judgment and assumptions are required in determining whether deferred tax assets will be fully or partially utilized. When we estimate that all or some portion of certain deferred tax assets such as net operating loss carryforwards will not be utilized, we establish a valuation allowance for the amount ascertained to be unrealizable. We continually evaluate strategies that could allow for future utilization of our deferred tax assets. Any change in the ability to utilize such deferred tax assets will be accounted for in the period of the event affecting the valuation allowance. If facts and circumstances cause us to change our expectations regarding future tax consequences, the resulting adjustments could have a material effect on our financial results or cash flow. In certain circumstances, we expect that, due to changing demands of the offshore drilling markets and the ability to redeploy our offshore drilling units, certain units will not reside in a location long enough to give rise to future tax consequences. As a result, no deferred tax asset or liability has been recognized in these circumstances. Should our expectations change regarding the length of time an offshore drilling unit will be used in a given location, we will adjust deferred taxes accordingly. Earnings/Loss per Share Our unvested share-based payment awards, which contain non-forfeitable rights to dividends, are participating securities and are included in the computation of earnings per share pursuant to the “two-class” method. The “two-class” method allocates undistributed earnings between ordinary shares and participating securities; however, in a period of net loss, losses are not allocated to our participating securities. The diluted earnings per share calculation under the “two-class” method would also include the dilutive effect of potential shares issued in connection with stock options. The dilutive effect of stock options would be determined using the treasury stock method. The diluted earnings per share calculation under the two class method is the same as our basic earnings per share calculation since we currently have no stock options or other potentially dilutive securities outstanding. Reclassifications Certain amounts in prior periods have been reclassified to conform to the current year presentation.

Acquisition

Acquisition	12 Months Ended
	Dec. 31, 2015
Business Combinations [Abstract]
Acquisition	ACQUISITION On November 17, 2014, we initiated the acquisition of the outstanding shares of Prospector, an offshore drilling company organized in Luxembourg and traded on the Oslo Axess, from certain shareholders and in open market purchases. As of December 31, 2014, we owned approximately 93.4 million shares, or 98.7% , of the outstanding shares of Prospector. In addition, we assumed aggregate debt of $367 million , which comprised the 2019 Second Lien Callable Bond of $100 million (“Prospector Bonds”) and the 2018 Senior Secured Credit Facility of $270 million (“Prospector Senior Credit Facility”) which at the time of acquisition had $266 million in borrowings outstanding. On January 22, 2015, we settled a mandatory tender offer for additional outstanding shares, increasing our ownership to approximately 99.6% of the outstanding shares of Prospector. On February 23, 2015, we acquired all remaining issued and outstanding shares in Prospector pursuant to the laws of Luxembourg. We spent approximately $202 million in aggregate to purchase 100% of the shares of Prospector and funded the purchase using proceeds from our revolving credit facility and cash on hand. Prospector’s results of operations were included in our results effective November 17, 2014. During the first quarter of 2015, we repurchased $100 million par value of the Prospector Bonds at a price of 101% of par, plus accrued interest, pursuant to change of control provisions of the bonds. On March 16, 2015, we repaid the principal balance outstanding under the Prospector Senior Credit Facility, which totaled approximately $261 million , including accrued interest, through the use of cash on hand and borrowings under our senior secured revolving credit facility. The Prospector Acquisition expanded and enhanced our global fleet by adding two high specification jackups (the Prospector 1 and Prospector 5 ) contracted to Total E&P U.K. Limited and Elf Exploration U.K. Limited (collectively, “Total S.A.”) for use in the U.K. sector of the North Sea. Three subsidiaries of Prospector contracted SWS in China to build the Three High-Spec Jackups Under Construction, which are currently scheduled for delivery in the first quarter of 2016, second quarter of 2016 and fourth quarter of 2016. Accounting for business combinations requires that the various assets acquired and liabilities assumed in a business combination be recorded at their respective fair values. The most significant estimates to us typically relate to acquired property and equipment. Deferred taxes are recorded for any differences between the fair value and tax basis of assets acquired and liabilities assumed. To the extent the purchase price plus the liabilities assumed (including deferred income taxes recorded in connection with the transaction) exceeds the fair value of the net assets acquired, we are required to record the excess as goodwill. We recorded $13 million of goodwill as a result of the Prospector acquisition. See Note 5 - “Property and Equipment and Other Assets” related to our goodwill impairment in the third quarter of 2015 which resulted in impairment of the entire Prospector goodwill balance. As the fair value of assets acquired and liabilities assumed is subject to significant estimates and subjective judgments, the accuracy of this assessment is inherently uncertain. The following table summarizes our final allocation of the purchase price to the estimated fair values of the assets acquired and liabilities assumed on the acquisition date of November 17, 2014: (In thousands) Fair Value ASSETS Current assets Accounts receivable $ 26,169 Restricted cash 5,023 Prepaid and other current assets 17,967 Total current assets 49,159 Property and equipment 516,979 Goodwill 13,290 Other assets 25,520 Total assets acquired $ 604,948 LIABILITIES Current liabilities Current maturities of long-term debt $ 32,970 Accounts payable 16,227 Accrued payroll and related costs 3,754 Taxes payable 4,378 Interest payable 6,466 Other current liabilities 19,120 Total current liabilities 82,915 Long-term debt 333,697 Other liabilities 456 Total liabilities assumed $ 417,068 Accumulated other comprehensive loss (40 ) Non-controlling interest 11,351 Purchase price, net of cash acquired $ 176,569 The fair value of cash and cash equivalents, accounts receivable, other current assets, accounts payable and other current liabilities was generally determined using historical carrying values given the short-term nature of these items. The fair values of drilling equipment and in-place contracts were determined using management’s estimates of future net cash flows. Such estimated future cash flows were discounted at an appropriate risk-adjusted rate of return. The fair values of the consolidated derivatives were determined based on a discounted cash flow model utilizing an appropriate market or risk-adjusted yield. The fair value of other assets and other liabilities, related to long-term tax items, was derived using estimates made by management. Fair value estimates for in-place contracts are recorded in “Prepaid and other current assets” and “Other assets” in our Consolidated Balance Sheet and will be amortized over the life of the respective contract. The average life of these contracts was approximately 2.5 years as of the date of the acquisition. We incurred $4 million in acquisition costs for the year ended December 31, 2014 related to the Prospector acquisition. These costs have been expensed and are included in “Contract drilling services expense” in our Consolidated and Combined Statement of Operations. The following unaudited pro forma financial information for the years ended December 31, 2014 and 2013, gives effect to the Prospector acquisition as if it had occurred at the beginning of the periods presented. The pro forma financial information for the year ended December 31, 2014 includes pro forma results for the period prior to the closing date of November 17, 2014 and actual results for the period from November 17, 2014 through December 31, 2014. The pro forma results are based on historical data and were not intended to be indicative of the results of future operations. (In thousands, except per share amounts) 2014 2013 Total operating revenues $ 2,036,218 $ 1,897,202 Net income (loss) (702,607 ) 344,255 Net income (loss) to Paragon Offshore (701,800 ) 344,470 Income (loss) per share (basic and diluted) $ (8.28 ) $ 4.06 Revenues from the Prospector rigs totaled $8 million from the closing date of November 17, 2014 through December 31, 2014. Operating expenses for this same period totaled $8 million for the Prospector rigs. Revenues for the year ended December 31, 2015 , which are included in our Consolidated Statement of Operations, were $143 million . Operating expenses for these rigs totaled $143 million for the year ended December 31, 2015 , which included depreciation expense of $19 million and impairment charges of $43 million related to capitalized costs on the Three High-Spec Jackups Under Construction.

Property and Equipment and Othe

Property and Equipment and Other Assets	12 Months Ended
	Dec. 31, 2015
Property, Plant and Equipment [Abstract]
Property and Equipment and Other Assets	PROPERTY AND EQUIPMENT AND OTHER ASSETS Our capital expenditures, including capitalized interest, totaled $218 million and $260 million for the years ended December 31, 2015 and 2014, respectively. Interest incurred related to property under construction, including major overhaul, improvement and asset replacement projects, is capitalized as a component of construction costs. Interest capitalized in our Predecessor’s results for the period prior to Spin-Off relates to Noble’s revolving credit facilities and commercial paper program, while interest capitalized in our results relates to our Senior Notes, Term Loan Facility, and Revolving Credit Facility (each as described and defined in Note 8 - “Debt” ). Interest expense capitalized for the years ended December 31, 2015 and 2014 was $0.1 million and $3 million , respectively. Loss on Impairment We assess the recoverability of our long-lived assets whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable (such as, but not limited to, cold stacking a rig, the expectation of cold stacking a rig in the near term, a decision to retire or scrap a rig, or excess spending over budget on a newbuild, construction project or major rig upgrade). In addition, we complete an impairment analysis on all of our rigs at least on an annual basis. An impairment loss on our property and equipment exists when the estimated fair value, which is based on estimated undiscounted cash flows expected to result from the use of the asset and its eventual disposition, is less than its carrying amount. Estimates of undiscounted future cash flows typically include (i) discrete financial forecasts, which rely on management’s estimates of revenue and operating expenses, (ii) long-term growth rates, and (iii) estimates of useful lives of the assets. Such estimates of future undiscounted cash flows are highly subjective and are based on numerous assumptions about future operations and market conditions. During the year ended December 31, 2015 , we identified indicators of impairment, including the downward movement of crude oil prices, the release of the Paragon DPDS2 , the increased probability of lower activity in Brazil and Mexico and the resultant projected declines in dayrates and utilization. As a result of these indicators, we concluded that a triggering event existed, which required us to perform an impairment assessment of our fleet of drilling rigs. We determined the fair value of our fleet using a market approach (for scrap rigs) and an income approach (for operating rigs) utilizing a weighted average cost of capital of approximately 15% and significant unobservable inputs, representative of a Level 3 fair value measurement, including the following assumptions and estimates: • dayrate revenues by rig; • utilization rate by rig if active, warm stacked or cold stacked (expressed as the actual percentage of time per year that the rig would be used at certain dayrates); • revenue escalation rates and factors; • operating costs and related days and downtime percentages for each rig if active, warm stacked or cold stacked; • estimated annual capital expenditures and costs for rig replacements and/or enhancement programs; • estimated maintenance, inspection or other costs associated with a rig returning to work; • remaining useful life and salvage value for each rig; and • estimated proceeds that may be received on disposition of a rig. The underlying assumptions and assigned probabilities of occurrence for utilization and dayrate scenarios were developed using a methodology that examines historical data for each rig, which considers the rig’s age, rated water depth and other attributes and then assesses its future marketability in light of the current and projected market environment at the time of assessment. Other assumptions, such as operating, maintenance and inspection costs, are estimated using historical data adjusted for known developments and future events that are anticipated by management at the time of the assessment. Management’s assumptions are necessarily subjective and are an inherent part of our asset impairment evaluation, and the use of different assumptions could produce results that differ from those reported. Management’s assumptions involve uncertainties about future demand for our services, dayrates, expenses and other future events, and management’s expectations may not be indicative of future outcomes. Significant unanticipated changes to these assumptions could materially alter our analysis in testing an asset for potential impairment. For example, changes in market conditions that exist at the measurement date or that are projected by management could affect our key assumptions. Other events or circumstances that could affect our assumptions may include, but are not limited to, a further sustained decline in oil and gas prices, cancellations of our drilling contracts or contracts of our competitors, contract modifications, costs to comply with new governmental regulations, growth in the global oversupply of oil and geopolitical events, such as lifting sanctions on oil-producing nations. Should actual market conditions in the future vary significantly from market conditions used in our projections, our assessment of impairment would likely be different. We compared the carrying value of each rig to its relative recoverable value determined using undiscounted cash flow projections for each rig. For each rig with a carrying value in excess of its undiscounted cash flows, we computed its impairment based on the difference between the carrying value and fair value of the rig. Based on this analysis and other operational analyses, we determined that five floaters, sixteen jackups, certain capital spares and the deposits related to the Three High-Spec Jackups Under Construction were impaired. In aggregate, we recognized non-cash impairment losses of approximately $1.1 billion during the year ended December 31, 2015 , which is included in “Loss on impairments” in our Consolidated and Combined Statements of Operations. During the year ended December 31, 2014 , we also identified triggering events, which required us to perform an impairment assessment of our fleet of drilling rigs, especially our floaters in Brazil. Based on that analysis, we recognized an impairment loss of $1.1 billion on our three drillships in Brazil and our one cold-stacked floating production storage and offloading unit in the U.S. Gulf of Mexico for the year ended December 31, 2014 . During 2013, our Predecessor determined that the Paragon FPSO , formerly the Noble Seillean , was partially impaired as a result of its annual impairment test and the current market outlook for this unit. Our Predecessor estimated the fair value of this unit by considering both income and market-based valuation approaches utilizing statistics for comparable rigs (Level 2 fair value measurement). Based on these estimates, our Predecessor recognized a charge of $40 million for the year ended December 31, 2013. Also in 2013, our Predecessor recorded an impairment charge on two cold stacked submersible rigs. These rigs had been impaired in 2011 due to the declining market outlook for drilling services for that rig type; however, in 2013 an additional impairment charge of approximately $4 million was recorded as a result of the potential disposition of these assets to an unrelated third party. These submersible rigs were sold by our Predecessor in January 2014. Goodwill Impairment Goodwill related to the Company’s previous acquisitions is included in “Other assets” on the accompanying Consolidated Balance Sheets as of December 31, 2014. For purposes of evaluating goodwill, we have a single reporting unit, which represents our Contract Drilling Services provided by our fleet of mobile offshore drilling units. Given the events impacting the Company during the current year, including the decrease in contractual activities, a sustained decline in the Company’s market capitalization and credit rating downgrades, the Company concluded that there were sufficient indicators to require a goodwill impairment analysis during the fourth quarter of 2015 in conjunction with our annual goodwill assessment. In accordance with the applicable accounting guidance, the Company performed a two-step impairment test. In the first step of the impairment test, we determined the Company had a negative carrying value resulting from our long-lived asset impairment (discussed above), therefore the second step was performed to measure the amount of impairment by comparing the implied fair value of our reporting unit’s goodwill (estimated using the income approach performed for the fixed assets impairment assessment) to the carrying amount of that goodwill. Based on this analysis, the Company determined goodwill was impaired and recognized a non-cash impairment charge of approximately $37 million for the year ended December 31, 2015 , which is included in “Loss on impairments” in our Consolidated and Combined Statements of Operations. At December 31, 2015 , the Company had no goodwill. We had no goodwill impairment during 2014 . Sales of Assets, net In January 2015, we completed the sale of the Paragon M822 for $24 million to an unrelated third party. In connection with the sale, we recorded a pre-tax gain of approximately $17 million . During the third quarter of 2013, our Predecessor completed the sale of the Noble Lewis Dugger for $61 million to an unrelated third party in Mexico. In connection with the sale, our Predecessor recorded a pre-tax gain of approximately $36 million .

Share-Based Compensation

Share-Based Compensation	12 Months Ended
	Dec. 31, 2015
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Share-Based Compensation	SHARE-BASED COMPENSATION Predecessor Plan For all periods prior to the Spin-Off, our Predecessor was managed in the normal course of business by Noble and its subsidiaries. Noble provides a stock-based compensation plan to its employees that is granted and settled in stock of Noble. Prior to the Spin-Off and to the extent that Company employees participated in this plan, the results of our Predecessor were allocated a portion of the associated expenses (see Note 17 - “ Related Parties (Including Relationship with Parent and Corporate Allocations) ” for total costs allocated to us by Noble). Our employees’ participation in Noble 1991 Plan was terminated at the time of the Distribution. All Noble time-vested restricted stock units (“TVRSU’s”) held by our employees under the Noble 1991 Plan were canceled at the Distribution and we granted Paragon TVRSU’s that were intended to be of equivalent value and remaining duration with regard to these canceled awards. With respect to outstanding Noble performance-vested restricted stock units (“PVRSU’s”) held by our employees under the Noble 1991 Plan, a portion of such PVRSU’s continues to be held by those employees and a portion has been canceled. With regard to the canceled portion of Noble PVRSU’s at the time of the Distribution, we either granted the affected employee Paragon PVRSU’s that were intended to be of equivalent value and duration at the time of grant to the canceled portion of the Noble award, or provided the employee compensation of equivalent value to the benefit the employee would have received had the canceled portion of the Noble awards remained in effect. Paragon Plans In conjunction with the Spin-Off, we adopted new equity incentive plans for our employees and directors, the Employee Plan and the Director Plan. Replacement awards of Paragon TVRSU’s and PVRSU’s granted in connection with the Spin-Off, as well as new share-settled and cash-settled awards, have been granted under the Employee Plan and the Director Plan. Shares available for issuance and outstanding restricted stock units under our two equity incentive plans as of December 31, 2015 are as follows: (excluding the impact of cash-settled awards): (In shares) Employee Plan Director Plan Shares available for future awards or grants 4,762,716 465,429 Outstanding unvested restricted stock units 6,067,406 606,935 We have awarded both TVRSU’s and PVRSU’s under our Employee Plan and TVRSU’s under our Director Plan. The TVRSU’s under our Employee Plan generally vest over a three -year period. The number of PVRSU’s which vest will depend on the degree of achievement of specified corporate accounting-based and market-based performance criteria over the service period. Under the Employee Plan we have also awarded TVRSU’s that may be settled only in cash (“CS-TVRSU’s”) and are accounted for as liability-based awards. The CS-TVRSU’s vest over a three -year period. TVRSU’s under our Employee Plan are valued on the date of award at our underlying share price. The total compensation for units that ultimately vest is recognized using a straight-line method over the service period. The shares and related nominal value are recorded when the restricted stock unit vests and additional paid-in capital is adjusted as the share-based compensation cost is recognized for financial reporting purposes. TVRSU’s under our Director Plan were modified in the second quarter of 2015 resulting in accounting treatment as liability instruments. While the restricted stock units granted under our Director Plan will ultimately vest in shares, these TVRSU’s are recorded as a liability and are valued at the end of each reporting period at our underlying share price. Our CS-TVRSU’s are also recorded as a liability and are valued at the end of each reporting period at our underlying share price. They are measured on each balance sheet date and total compensation for units that ultimately vest is recognized over the service period. We have awarded both company-based and market-based PVRSU’s under our Employee Plan. Our company-based PVRSU’s are valued on the date of award at our underlying share price. Total compensation cost recognized for the company-based PVRSU’s depends on a performance measure, ROCE, over specified performance periods. Estimated compensation cost is determined based on numerous assumptions, including an estimate of the likelihood that our ROCE will achieve the targeted thresholds and forfeiture of the PVRSU’s based on annualized ROCE performance over the terms of the awards. Our market-based PVRSU’s are valued on the date of the grant based on an estimated fair value. These PVRSU’s are based on the Company’s achievement of a market-based objective, total shareholder return (“TSR”), relative to a peer group of companies as defined in the award agreement. Estimated fair value is determined based on numerous assumptions, including an estimate of the likelihood that our stock price performance will achieve the targeted thresholds and the expected forfeiture rate. The fair value is calculated using a Monte Carlo simulation model. The assumptions used to value these market-based PVRSU’s include risk-free interest rates and historical volatility of the trading price of the Company’s common shares over a time period commensurate with the remaining term prior to vesting, as follows: Valuation assumptions: 2015 Expected volatility 34.0 % Risk-free interest rate 1.07 % Similar valuation assumptions were made for each of the companies included in the defined peer group of companies in order to simulate the future outcomes using the Monte Carlo Simulation Model. A summary of restricted stock activity for the years ended December 31, 2015 and 2014 is as follows: TVRSU’s Outstanding (1) Weighted Average Award-Date Fair Value CS-TVRSU’s Outstanding Share Price (2) PVRSU’s Outstanding (3) Weighted Average Award-Date Fair Value Outstanding at December 31, 2014 3,753,766 $ 10.54 — 261,746 $ 11.00 Awarded 4,117,919 2.49 3,408,844 587,738 2.78 Vested (1,627,403 ) 9.40 — — — Forfeited (419,425 ) 8.09 (761,279 ) — — Outstanding at December 31, 2015 5,824,857 $ 5.34 2,647,565 $ 0.09 849,484 $ 5.31 (1) This column includes 606,935 shares outstanding at December 31, 2015 that were granted under our Director Plan and are recorded as a liability valued at the end of each reporting period at our underlying share price recognized over the service period. (2) The share price represents the closing price of our shares on December 31, 2015 at which both our CS-TVRSU’s and TVRSU’s granted under our Director Plan are measured. (3) The number of PVRSU’s shown equals the units that would vest if the “maximum” level of performance is achieved. The minimum number of units is zero and the “target” level of performance is 50% of the amounts shown. Share and liability-based award amortization recognized during the year ended December 31, 2015 totaled $16 million . Share-based amortization recognized during the five months ended December 31, 2014 , not including amounts allocated to our Predecessor, totaled $8 million . At December 31, 2015 , we had $17 million of total unrecognized compensation cost related to our TVRSU’s which is expected to be recognized over a remaining weighted-average period of 1.6 years. At December 31, 2015 , we had $0.2 million of total unrecognized compensation cost related to our CS-TVRSU’s, which is expected to be recognized over a remaining weighted-average period of 2.1 years. At December 31, 2015 , we had $2.0 million of total unrecognized compensation cost related to our PVRSU’s which is expected to be recognized over a remaining weighted-average period of 1.6 years. The total potential compensation for our PVRSU’s is recognized over the service period regardless of whether the performance thresholds are ultimately achieved.

Earnings_Loss Per Share

Earnings/Loss Per Share	12 Months Ended
	Dec. 31, 2015
Earnings Per Share [Abstract]
Earnings/Loss Per Share	EARNINGS/LOSS PER SHARE Our outstanding share-based payment awards currently consist solely of restricted stock units. These unvested restricted stock units, which contain non-forfeitable rights to dividends, are deemed to be participating securities and are included in the computation of earnings per share pursuant to the “two-class” method. The “two-class” method allocates undistributed earnings between ordinary shares and participating securities; however, in a period of net loss, losses are not allocated to our participating securities. On August 1, 2014, approximately 85 million of our ordinary shares were distributed to Noble’s shareholders in conjunction with the Spin-Off. Weighted average shares outstanding, basic and diluted, has been computed based on the weighted average number of ordinary shares outstanding during the applicable period. Restricted stock units do not represent ordinary shares outstanding until they are vested and converted into ordinary shares. The diluted earnings per share calculation under the two class method is the same as our basic earnings per share calculation as we currently have no stock options or other potentially dilutive securities outstanding. No earnings were allocated to unvested share-based payment awards in our earnings per share calculation for the years ended December 31, 2015 and 2014 due to our net losses in both periods. Our basis of presentation related to weighted average unvested shares outstanding for the period prior to the Spin-Off does not include our unvested restricted stock units that were granted to our employees in conjunction with Paragon’s 2014 Employee Omnibus Incentive Plan. As a result, we also have no earnings allocated to unvested share-based payment awards in our earnings per share calculation for periods prior to the Spin-Off. The following table includes the computation of basic and diluted net income (loss) and earnings (loss) per share: Year Ended December 31, (In thousands, except per share amounts) 2015 2014 2013 Allocation of income (loss) - basic and diluted Net income (loss) attributable to Paragon $ (999,643 ) $ (646,746 ) $ 360,305 Earnings allocated to unvested share-based payment awards — — — Net income (loss) to ordinary shareholders - Basic and diluted $ (999,643 ) $ (646,746 ) $ 360,305 Weighted average shares outstanding Basic and diluted 85,785 84,753 84,753 Weighted average unvested share-based payment awards 6,197 1,761 — Earnings (loss) per share Basic and diluted $ (11.65 ) $ (7.63 ) $ 4.25

Debt

Debt	12 Months Ended
	Dec. 31, 2015
Debt Disclosure [Abstract]
Debt	DEBT A summary of long-term debt at December 31, 2015 and 2014 is as follows: December 31, (In thousands) 2015 2014 Revolving Credit Facility $ 708,500 $ 154,000 Term Loan Facility, bearing interest at 3.75%, net of unamortized discount 639,321 645,357 Senior Notes due 2022, bearing fixed interest at 6.75% per annum 456,572 457,572 Senior Notes due 2024, bearing fixed interest at 7.25% per annum 527,010 537,010 Sale-Leaseback Transaction 268,688 — Prospector 2019 Second Lien Callable Bond — 101,000 Prospector 2018 Senior Secured Credit Facility — 265,666 Total debt 2,600,091 2,160,605 Less: Current maturities of long-term debt (40,629 ) (272,166 ) Long-term debt $ 2,559,462 $ 1,888,439 Revolving Credit Facility, Term Loan Facility and Senior Notes On June 17, 2014, we entered into the Revolving Credit Agreement with lenders that provided commitments in the amount of $800 million . The Revolving Credit Agreement, which is secured by substantially all of our rigs, has a term of five years and matures in July 2019. Borrowings under the Revolving Credit Facility bear interest, at our option, at either (i) an adjusted LIBOR , plus an applicable margin ranging between 1.50% to 2.50% , depending on our leverage ratio, or (ii) a base rate plus an applicable margin ranging between 1.50% to 2.50% . Under the Revolving Credit Agreement, we may also obtain letters of credit, the issuance of which would reduce a corresponding amount available for borrowing. As of December 31, 2015 , we had $709 million in borrowings outstanding at a weighted average interest rate of 2.78% and an aggregate amount of $89 million of letters of credit issued under the Revolving Credit Facility. As of December 31, 2015, we have drawn down substantially all of the available borrowing capacity under our Revolving Credit Facility and have outstanding borrowings in the amount of approximately $709 million . The proceeds from the borrowing were used to enhance the Company’s liquidity and financial flexibility. On July 18, 2014, we issued $1.08 billion of Senior Notes and also borrowed $650 million under the Term Loan Facility. The Term Loan Facility is secured by substantially all of our rigs. The proceeds from the Term Loan Facility and the Senior Notes were used to repay $1.7 billion of intercompany indebtedness to Noble incurred as partial consideration for the Separation. The Senior Notes consisted of $500 million of 6.75% senior notes and $580 million of 7.25% senior notes, which mature on July 15, 2022 and August 15, 2024 , respectively. The Senior Notes were issued without an original issue discount. Interest on the 6.75% senior notes is payable semi-annually, in January and July, and interest on the 7.25% senior notes is payable semi-annually, in February and August. Borrowings under the Term Loan Facility bear interest at an adjusted LIBOR rate plus 2.75% , subject to a minimum LIBOR rate of 1% or a base rate plus 1.75% , at our option. We are required to make quarterly principal payments of $1.6 million plus interest and may prepay all or a portion of the Term Loan Facility at any time. The Term Loan Facility matures in July 2021. The loans under the Term Loan Facility were issued with 0.50% original issue discount. In connection with the issuance of the aforementioned Debt Facilities, we incurred $35 million of issuance costs, in aggregate, which is being amortized over the respective term of each Debt Facility. We had total debt issuance costs related to these Debt Facilities of $26 million and $31 million included in “Other assets” on our Consolidated Balance Sheets as of December 31, 2015 and 2014, respectively. During 2015 , we repurchased and canceled an aggregate principal amount of $11 million of our Senior Notes at an aggregate cost of $7 million , including accrued interest. The repurchases consisted of $1 million aggregate principal amount of our 6.75% senior notes due July 2022 and $10 million aggregate principal amount of our 7.25% senior notes due August 2024. As a result of the repurchases, we recognized a total gain on debt retirement, net of the write-off of issuance costs, of approximately $4 million in “Gain on repurchase of long-term debt.” All Senior Note repurchases were made using available cash balances. During the year ended December 31, 2014, we repurchased and canceled an aggregate principal amount of $85 million of our Senior Notes at an aggregate cost of $67 million including accrued interest. The repurchases consisted of $42 million aggregate principal amount of our 6.75% senior notes due July 2022 and $43 million aggregate principal amount of our 7.25% senior notes due August 2024. As a result of the repurchases, we recognized a total gain on debt retirement, net of the write-off of issuance costs, of approximately $19 million in “Gain on repurchase of long-term debt.” All Senior Note repurchases were made using available cash balances. The agreements related to our Debt Facilities contain covenants that place restrictions on certain merger and consolidation transactions; our ability to sell or transfer certain assets; payment of dividends; making distributions; redemption of stock; incurrence or guarantee of debt; issuance of loans; prepayment; redemption of certain debt; as well as incurrence or assumption of certain liens. The covenants and events of default under our Revolving Credit Facility, Senior Notes, and Term Loan Facility are substantially similar. In addition to these covenants, the Revolving Credit Agreement includes an additional covenant requiring us to maintain a net leverage ratio less than 4.00 to 1.00 and a covenant requiring us to maintain a minimum interest coverage ratio greater than 3.00 to 1.00 . We must comply with these financial covenants at the end of each fiscal quarter based upon our financial results for the prior twelve-month period. As of December 31, 2015 , we were in compliance with the covenants under our Revolving Credit Agreement by maintaining a net leverage ratio of 3.78 and an interest coverage ratio of 4.55 . These calculations do not include the corresponding financial information of certain of our subsidiaries, including Prospector, designated as unrestricted for purposes of our debt agreements. As a result, the assets, liabilities, and financial results of our unrestricted subsidiaries are excluded from the financial covenants applicable to us and our other subsidiaries under these Debt Facilities. On January 15, 2016 we elected to defer an interest payment of approximately $15 million due on our 6.75% senior unsecured notes maturing July 2022, and to operate under the 30 -day grace period provided for in the indenture governing the Senior Notes. The commencement of the Bankruptcy cases in February 2016 constituted an event of default subsequent to the balance sheet date that accelerated our obligations under the Term Loan Agreement, Revolving Credit Agreement, and Senior Notes. Any efforts to enforce payments related to these obligations are automatically stayed as a result of the filing of the petitions and are subject to the applicable provisions of the Bankruptcy Code. Because the acceleration of these obligations did not occur until February 14, 2016, we were in compliance with the covenants, and had the liquidity to make the January 15, 2016 interest payment as mentioned above, the long-term portion of our Term Loan Facility, Revolving Credit Facility, and Senior Notes remained classified as long-term liabilities in the accompanying consolidated and combined financial statements as of December 31, 2015. Sale-Leaseback Transaction On July 24, 2015, we executed a combined $300 million Sale-Leaseback Transaction with the Lessors for our two high specification jackup units, Prospector 1 and Prospector 5 (collectively, the “Rigs”). We sold the Rigs to the Lessors and immediately leased the Rigs from the Lessors for a period of five years pursuant to the Lease Agreements. Net of fees and expenses and certain lease prepayments, we received net proceeds of approximately $292 million , including amounts used to fund certain required reserve accounts. The Prospector 1 and the Prospector 5 are each currently operating under drilling contracts with Total S.A. until mid-September 2016 and November 2017, respectively. While it has been determined that the Lessors are variable interest entities (“VIEs”), we are not the primary beneficiary of the VIEs for accounting purposes since we do not have the power to direct the operation of the VIEs and we do not have the obligation to absorb losses nor the right to receive benefits that could potentially be significant to the VIEs. As a result, we did not consolidate the Lessors in our consolidated financial statements. We have accounted for the Sale-Leaseback Transaction as a capital lease. The following table includes our minimum annual rental payments using weighted-average effective interest rates of 5.2% for the Prospector 1 and 7.5% for the Prospector 5 . (In millions) 2016 2017 2018 2019 2020 Total Minimum annual rental payments $ 51 $ 41 $ 33 $ 31 $ 175 $ 331 We made rental payments, including interest, of approximately $26 million during the year ended December 31, 2015 . This includes pre-payments or Excess Cash Amounts (as defined below) of $5 million and $7 million for the Prospector 1 and Prospector 5 , respectively. Following the third and fourth anniversaries of the closing dates of the Lease Agreements, we have the option to repurchase each Rig for an amount as defined in the Lease Agreements. At the end of the lease term, we have an obligation to repurchase each Rig for a maximum amount of $88 million per Rig, less any pre-payments made by us during the term of the Lease Agreements. The Lease Agreements obligate us to make certain termination payments upon the occurrence of certain events of default, including payment defaults, breaches of representations and warranties, termination of the underlying drilling contract for each Rig, covenant defaults, cross-payment defaults, certain events of bankruptcy, material judgments and actual or asserted failure of any credit document to be in force and effect. The Lease Agreements contain certain representations, warranties, obligations, conditions, indemnification provisions and termination provisions customary for sale and leaseback financing transactions. The Lease Agreements contain certain affirmative and negative covenants that, subject to exceptions, limit our ability to, among other things, incur additional indebtedness and guarantee indebtedness, pay dividends or make other distributions or repurchase or redeem capital stock, prepay, redeem or repurchase certain debt, make loans and investments, sell, transfer or otherwise dispose of certain assets, create or incur liens, enter into certain types of transactions with affiliates, consolidate, merge or sell all or substantially all of our assets, and enter into new lines of business. In addition, we will be required to maintain a cash reserve of $11.5 million for each Rig throughout the term of the Lease Agreements. During the term of the current drilling contract for each Rig, we will also be required to pay to the Lessors any excess cash amounts earned under such contract, after payment of bareboat charter fees and operating expenses for such Rig and maintenance of any mandatory reserve cash amounts (the “Excess Cash Amounts”), as prepayment for the remaining rental payments under the applicable Lease Agreement (the “Cash Sweep”). We had restricted cash balances of $25 million related to the Lease Agreements in “Other assets” on our Consolidated Balance Sheet as of December 31, 2015 . Following the conclusion of the current drilling contract for each Rig, the Cash Sweep will be reduced, requiring us to make prepayments to the Lessors of up to 25% of the Excess Cash Amounts. The sale-leaseback financing is not included in the PSA as the Prospector subsidiaries are not Debtors in the chapter 11 filing, but we are required to get a waiver from the Lessors to allow us to file without defaulting on the Lease Agreements. Extinguished Obligations At the time of our acquisition of Prospector, Prospector had the following outstanding debt instruments: (i) the Prospector Bonds and (ii) the Prospector Senior Credit Facility. The Prospector Bonds were originally entered into by a subsidiary of Prospector on May 19, 2014 in the Oslo Alternative Bond Market. The Prospector Bonds had a fixed interest rate of 7.75% per annum, payable semi-annually on December 19 and June 19 each year and maturity of June 19, 2019. In January 2015, the bondholders put $ 99.6 million par value of their bonds back to us at the put price of 101% of par plus accrued interest pursuant to change of control provisions of the bonds. The remaining $0.4 million par value of the Prospector bonds outstanding was called and retired on March 26, 2015. We funded the repayment of the debt using borrowings from our Revolving Credit Facility and available cash. The Prospector Senior Credit Facility was originally entered into by a subsidiary of Prospector on June 12, 2014 with a group of lenders. The Prospector Senior Credit Facility comprised a $140 million Prospector 5 tranche and a $130 million Prospector 1 tranche, which were both fully drawn at the time of acquisition. The Prospector Senior Credit Facility had an interest rate of LIBOR plus a margin of 3.5% . Prospector was required to hedge at least 50% of the Prospector Senior Credit Facility against fluctuations in the interest rate. Under the swaps, Prospector paid a fixed interest rate of 1.512% and received the three-month LIBOR rate. On March 16, 2015, the remaining principal balance outstanding under the Prospector Senior Credit Facility in the amount of approximately $261 million , including accrued interest, was paid in full through the use of cash on hand and borrowings under our Revolving Credit Facility, and all associated interest rate swaps were terminated. The related requirement for a fully funded debt service reserve account, classified as restricted cash on our Consolidated Balance Sheet as of December 31, 2014, was also released as a result of the payment in full on the Prospector Senior Credit Facility.

Income Taxes

Income Taxes	12 Months Ended
	Dec. 31, 2015
Income Tax Disclosure [Abstract]
Income Taxes	INCOME TAXES Income before income taxes consists of the following: Year Ended December 31, (In thousands) 2015 2014 2013 United States $ (456,093 ) $ 70,949 $ 114,314 Non-U.S. (615,627 ) (648,360 ) 331,596 Total $ (1,071,720 ) $ (577,411 ) $ 445,910 The income tax provision/benefit consists of the following: Year Ended December 31, (In thousands) 2015 2014 2013 Current - United States $ (17,354 ) $ 45,754 $ 20,732 Current - Non-U.S. 7,116 43,115 55,691 Deferred - United States (66,583 ) (30,391 ) 13,425 Deferred - Non-U.S. 4,713 10,916 (4,243 ) Total $ (72,108 ) $ 69,394 $ 85,605 Our annual effective tax rate for the year ended December 31, 2015 was approximately 6.7% , on a pre-tax loss of $1.1 billion . Changes in our effective tax rate from period to period is primarily attributable to changes in the profitability or loss mix of our operations in various jurisdictions. As our operations continually change among numerous jurisdictions, and methods of taxation in these jurisdictions vary greatly, there is little direct correlation between the income tax provision/benefit and income/loss before taxes. The Company is based in the U.K., which had a blended statutory income tax rate of 20.3% for 2015 . A reconciliation of the U.K. statutory tax rate to our effective rate is shown below: Year Ended December 31, 2015 2014 2013 U.K. statutory income tax rate 20.3 % 21.5 % 23.3 % Tax rates which are different from the U.K. rate (4.8 )% (36.8 )% (5.9 )% Tax effect of asset impairment 1.8 % 4.3 % — % Change in valuation allowance (11.1 )% — % 2.0 % Adjustments to uncertain tax positions 0.5 % (1.0 )% (0.2 )% Total 6.7 % (12.0 )% 19.2 % The components of the net deferred taxes are as follows: (In thousands) 2015 2014 Deferred tax assets Deferred loss on asset dispositions $ 102,382 $ — Accrued expenses not currently deductible 18,922 3,556 Net operating losses 17,901 22,645 Excess of tax basis over book basis of Property and Equipment 7,575 — Bad debt 6,118 — Other 7,152 — Deferred tax assets 160,050 26,201 Less: Valuation allowance (118,768 ) — Net deferred tax assets 41,282 26,201 Deferred tax liabilities Excess of net book basis over remaining tax basis of Property and equipment (11,385 ) (58,844 ) Deferred taxes on unremitted earnings (6,043 ) (6,043 ) Contract market valuation (3,567 ) (5,434 ) Other (2,421 ) (838 ) Deferred tax liabilities (23,416 ) (71,159 ) Net deferred tax asset (liabilities) $ 17,866 $ (44,958 ) The deferred tax assets related to our net operating losses were generated in various tax jurisdictions worldwide, including $2.7 million that do not expire, $13.5 million and $1.7 million that will expire, if not utilized, in 2036 and 2021-2022, respectively. We recognize a valuation allowance for deferred tax assets when it is more-likely-than-not that the benefit from the deferred tax asset will not be realized. The amount of deferred tax assets considered realizable could increase or decrease in the near-term if estimates of future taxable income change. We conduct business globally and, as a result, we file numerous income tax returns, or are subject to withholding taxes, in various jurisdictions. In the normal course of business we are generally subject to examination by taxing authorities throughout the world. With few exceptions, we are no longer subject to examinations of tax matters for years prior to 1999. The following is a reconciliation of the liabilities related to our unrecognized tax benefits, excluding interest and penalties: (In thousands) 2015 2014 2013 Gross balance at January 1, $ 29,679 $ 32,336 $ 37,969 Additions based on tax positions related to the current year — 4,442 532 Additions for tax positions of prior years 1,056 1,424 4,599 Reductions for tax positions of prior years (4,966 ) (7,298 ) (214 ) Expiration of statutes (221 ) (1,225 ) (2,712 ) Tax settlements (15,122 ) — (7,838 ) Gross balance at December 31, 10,426 29,679 32,336 Related tax benefits — — (1,983 ) Net balance at December 31, $ 10,426 $ 29,679 $ 30,353 The liabilities related to our unrecognized tax benefits comprise the following: (In thousands) 2015 2014 Unrecognized tax benefits, excluding interest and penalties $ 10,426 $ 29,679 Interest and penalties included in “ Other liabilities ” 8,079 10,517 Unrecognized tax benefits, including interest and penalties $ 18,505 $ 40,196 We include, as a component of our income tax provision, potential interest and penalties related to liabilities for our unrecognized tax benefits within our global operations. Interest and penalties resulted in an income tax expense of $1 million , $2 million and $1 million for the years ended December 31, 2015 , 2014 and 2013 , respectively. At December 31, 2015 , the liabilities related to our unrecognized tax benefits, including estimated accrued interest and penalties, totaled $19 million , and if recognized, would reduce our income tax provision by $19 million . At December 31, 2014, the liabilities related to our unrecognized tax benefits totaled $40 million . The decrease in unrecognized tax benefits is primarily attributable to the liability settlement of 2008-2011 for our U.K. operations upon receipt of the formal closure notices dated June 4, 2015 from HM Revenue & Customs. It is reasonably possible that our existing liabilities related to our unrecognized tax benefits may increase or decrease in the next twelve months primarily due to the progression of open audits or the expiration of statutes of limitation. However, we cannot reasonably estimate a range of potential changes in our existing liabilities for unrecognized tax benefits due to various uncertainties, such as the unresolved nature of various audits.

Gain on Contract Settlements_Ex

Gain on Contract Settlements/Extinguishment, Net	12 Months Ended
	Dec. 31, 2015
Commitments and Contingencies Disclosure [Abstract]
Gain on Contract Settlements/Extinguishment, Net	GAIN ON CONTRACT SETTLEMENTS/EXTINGUISHMENT, NET During the third quarter of 2013, Noble received $45 million related to the settlement of all claims against the former investors of FDR Holdings, Ltd., which Noble acquired in July 2010, relating to alleged breaches of various representations and warranties contained in the purchase agreement. A portion of the settlement related to standard specification rigs. This portion, totaling $23 million , was pushed down to our Predecessor in 2013, through an allocation, using the acquired rig values of the purchased rigs. COMMITMENTS AND CONTINGENCIES Operating Leases Future minimum lease payments for operating leases for years ending December 31 are as follows: (in thousands) 2016 2017 2018 2019 2020 Thereafter Total Minimum lease payments $ 8,479 $ 4,218 $ 2,859 $ 2,328 $ 1,959 $ 1,923 $ 21,766 Total rent expense under operating leases was approximately $17 million and $16 million for the years ended December 31, 2015 and 2014 , respectively. Purchase Commitments In connection with our capital expenditure program, we have outstanding commitments, including shipyard and purchase commitments of approximately $632 million at December 31, 2015 . Our purchase commitments consist of obligations outstanding to external vendors primarily related to future capital purchases and includes $600 million due in 2016 related to the Three High-Spec Jackups Under Construction. Litigation We are a defendant in certain claims and litigation arising out of operations in the ordinary course of business, the resolution of which, in the opinion of management, will not have a material adverse effect on our financial position, results of operations or cash flows. There is inherent risk in any litigation or dispute and no assurance can be given as to the outcome of these claims. Other Contingencies We operate in a number of countries throughout the world and our tax returns filed in those jurisdictions are subject to review and examination by tax authorities within those jurisdictions. As of December 31, 2015 , we have received tax audit claims of approximately $357 million , of which $81 million is subject to indemnity by Noble, primarily in Mexico and Brazil, attributable to our income, customs and other business taxes. In addition, as of December 31, 2015 , approximately $34 million of tax audit claims in Mexico assessed against Noble are subject to indemnity by us as a result of the Spin-Off. We have contested, or intend to contest, these assessments, including through litigation if necessary. Tax authorities may issue additional assessments or pursue legal actions as a result of tax audits, and we cannot predict or provide assurance as to the ultimate outcome of such assessments and legal actions. In some cases, we will be required to post cash deposit as collateral while we defend these claims. We could be required to post such collateral in the near future, and such amounts could be substantial and could have a material adverse effect on our liquidity, financial condition, results of operations and cash flows. We have no surety bonds or letters of credit associated with tax audit claims outstanding as of December 31, 2015 . In January 2015, a subsidiary of Noble received an unfavorable ruling from the Mexican Supreme Court on a tax depreciation position claimed in periods prior to the Spin-Off. Although the ruling does not constitute mandatory jurisprudence in Mexico, it does create potential indemnification exposure for us under the Tax Sharing Agreement with Noble if Noble is ultimately determined to be liable for any amounts. We are presently unable to determine a timeline on this matter, nor are we able to determine the extent of our liability. We have considered this matter under ASC 460, Guarantees , and concluded that our liability under this matter is reasonably possible. Due to these current uncertainties, we are not able to reasonably estimate the magnitude of any liability at this time. On February 11, 2016, as part of the PSA, we entered into the Term Sheet with Noble with respect to the Noble Settlement Agreement. Upon execution of the Noble Settlement Agreement, certain conditions of the Tax Sharing Agreement executed between Noble and Paragon for the Spin-Off will be modified. Noble will provide direct bonding in fulfillment of the requirements necessary to challenge tax assessments in Mexico relating to our business for the tax years 2005 through 2010. The Mexican Tax Assessments were originally assigned to us by Noble pursuant to the Tax Sharing Agreement which was entered into in connection with the Spin-Off. The Company has contested or intends to contest the Mexico Tax Assessments and may be required to post bonds in connection thereto. As of December 31, 2015, our estimated Mexican Tax Assessments totaled approximately $200 million , with assessments for 2009 and 2010 yet to be received. Additionally, Noble will be responsible for all of the ultimate tax liability for Noble legal entities and 50% of the ultimate tax liability for our legal entities following the defense of the Mexican Tax Assessments. In consideration for this support, we have agreed to release Noble, fully and unconditionally, from any and all claims in relation to the Spin-Off. The Term Sheet has been approved by the boards of directors of both companies, but remains subject to execution of a definitive Noble Settlement Agreement and the approval of such agreement by the Bankruptcy Court in our chapter 11 proceedings. Upon the execution and approval by Bankruptcy Court of a final Noble Settlement Agreement, a material portion of our Mexican Tax Assessments, and any corresponding ultimate tax liability, will be assumed by Noble. Until such time, the current Tax Sharing Agreement remains in effect. Petrobras has notified us, along with other industry participants that it is currently challenging assessments by Brazilian tax authorities of withholding taxes associated with the provision of drilling rigs for its operations in Brazil during the years 2008 and 2009 totaling $71 million , of which $20 million is subject to indemnity by Noble. Petrobras has also notified us that if they must pay such withholding taxes, they will seek reimbursement from us. We believe that we are contractually indemnified by Petrobras for these amounts and dispute the validity of the assessment. We have notified Petrobras of our position. We will, if necessary, vigorously defend our rights. If we were required to pay such reimbursement, however, the amount of such reimbursement could be substantial and could have a material adverse effect on our financial condition, results of operations and cash flows. Our subsidiary used a commercial agent in Brazil in connection with Petrobras drilling contracts. The agent pleaded guilty in Brazil in connection with the award by Petrobras of a drilling contract to one of our competitors as part of a wider investigation of Petrobras’ business practices. The agent has represented a number of different companies in Brazil over many years, including several offshore drilling contractors. Following the news reports relating to the agent’s involvement in the Brazil investigation in connection with his activities with other companies, we have been conducting an independent review of our relationship with the agent and with Petrobras. We have contacted the SEC and the U.S. Department of Justice to advise them of our internal review. Insurance In connection with the Separation on July 31, 2014, we replaced our Predecessor’s insurance policies, which were supported by Noble, with substantially similar standalone insurance policies. We maintain certain insurance coverage against specified marine perils, which include physical damage and loss of hire for certain units. We maintain insurance in the geographic areas in which we operate, although pollution, reservoir damage and environmental risks generally are not fully insurable. Our insurance policies and contractual rights to indemnity may not adequately cover our losses or may have exclusions of coverage for some losses. We do not have insurance coverage or rights to indemnity for all risks, including loss of hire insurance on most of the rigs in our fleet or named windstorm perils with respect to our rigs located in the U.S. Gulf of Mexico. Uninsured exposures may include expatriate activities prohibited by U.S. laws and regulations, radiation hazards, certain loss or damage to property on board our rigs and losses relating to shore-based terrorist acts or strikes. If a significant accident or other event occurs and is not fully covered by insurance or contractual indemnity, it could materially adversely affect our financial position, results of operations or cash flows. Additionally, there can be no assurance that those parties with contractual obligations to indemnify us will necessarily be financially able to indemnify us against all these risks. Other At December 31, 2015 , we had letters of credit of $89 million and performance bonds totaling $115 million supported by surety bonds outstanding and backed by $75 million in letters of credit and a $9 million cash deposit. Certain of our subsidiaries issued guarantees to the temporary import status of rigs or equipment imported into certain countries in which we operated. These guarantees are issued in lieu of payment of custom, value added or similar taxes in those countries. Separation Agreements In connection with the Spin-Off, we entered into several definitive agreements with Noble or its subsidiaries that, among other things, set forth the terms and conditions of the Spin-Off and provide a framework for our relationship with Noble after the Spin-Off, including the following agreements: • Master Separation Agreement; • Tax Sharing Agreement; • Employee Matters Agreement; • Transition Services Agreement relating to services Noble and Paragon will provide to each other on an interim basis; and • Transition Services Agreement relating to Noble’s Brazil operations. Pursuant to these agreements with Noble, our Consolidated Balance Sheets include the following balances due from and to Noble as of December 31, 2015 and 2014 : December 31, (In thousands) 2015 2014 Accounts receivable $ 22,695 $ 15,716 Other current assets 3,032 26,386 Other assets 6,686 6,875 Due from Noble $ 32,413 $ 48,977 Accounts payable $ 211 $ 1,655 Other current liabilities 6,067 51,169 Other liabilities 3,268 23,563 Due to Noble $ 9,546 $ 76,387 These receivables and payables primarily relate to rights and obligations under the Master Separation, Tax Sharing Agreement and the Transition Services Agreement (Brazil). Master Separation Agreement We entered into the Master Separation Agreement with Noble Corporation, Noble-Cayman, which provided for, among other things, the Distribution of our ordinary shares to Noble shareholders and the transfer to us of the assets and the assumption by us of the liabilities relating to our business and the responsibility of Noble for liabilities related to Noble’s, and in certain limited cases, our business. The Master Separation Agreement identified which assets and liabilities constitute our business and which assets and liabilities constitute Noble’s business. Tax Sharing Agreement We entered into the Tax Sharing Agreement with Noble, which governs the parties’ respective rights, responsibilities and obligations with respect to tax liabilities and benefits, tax attributes, the preparation and filing of tax returns, the control of audits and other tax proceedings and certain other matters regarding taxes following the Distribution. See discussion above on Term Sheet entered into with Noble with respect to the Noble Settlement Agreement. Upon the execution and approval by Bankruptcy Court of a final Noble Settlement Agreement, a material portion of our Mexican Tax Assessments, and any corresponding ultimate tax liability, will be assumed by Noble. Until such time, the current Tax Sharing Agreement remains in effect. Employee Matters Agreement We entered into an Employee Matters Agreement with Noble-Cayman to allocate liabilities and responsibilities relating to our employees and their participation in certain compensation and benefit plans maintained by Noble or a subsidiary of Noble. The Employee Matters Agreement provides that, following the Distribution, most of our employee benefits are provided under compensation and benefit plans adopted or assumed by us. In general, our plans are substantially similar to the plans of Noble or its subsidiaries that covered our employees prior to the completion of the Distribution. The Employee Matters Agreement also addresses the treatment of outstanding Noble equity awards held by transferring employees, including the grant of our equity awards or other rights with respect to Noble equity awards held by transferring employees that were canceled in connection with the Spin-Off. Transition Services Agreement We entered into a Transition Services Agreement with Noble-Cayman pursuant to which Noble-Cayman provides, on a transitional basis, certain administrative and other assistance, generally consistent with the services that Noble provided to us before the Separation, and we provide certain transition services to Noble and its subsidiaries. The charges for the transition services are generally intended to allow the party providing the services to fully recover the costs directly associated with providing the services, plus all out-of-pocket costs and expenses, generally without profit. The charges for each of the transition services generally are based on either a pre-determined flat fee or an allocation of the costs incurred, including certain fees and expenses of third-party service providers. Transition Services Agreement (Brazil) We and Noble-Cayman and certain other subsidiaries of Noble entered into a Transition Services Agreement (and a related rig charter) pursuant to which we provide certain transition services to Noble and its subsidiaries in connection with Noble’s Brazil operations. We continue to provide both rig-based and shore-based support services in respect of Noble’s remaining business through the term of Noble’s existing rig contracts. Noble currently has one rig operating in Brazil. Noble-Cayman compensates us on a cost-plus basis for providing such services and also indemnifies us for liabilities arising out of the services agreement. This agreement will terminate when the current Noble semisubmersible working in Brazil finishes its existing contract, which is expected to occur in 2016.

Employee Benefit Plans

Employee Benefit Plans	12 Months Ended
	Dec. 31, 2015
Compensation and Retirement Disclosure [Abstract]
Employee Benefit Plans	EMPLOYEE BENEFIT PLANS We have instituted competitive compensation policies and programs, as well as carried over certain plans as a standalone public company. During the periods prior to Spin-Off, most of our employees were eligible to participate in various Noble benefit programs. The results of our Predecessor in these consolidated and combined financial statements include an allocation of the costs of such employee benefit plans, which is consistent with the accounting for multi-employer plans. These costs were allocated based on our employee population for each of the periods presented. We consider the expense allocation methodology and results to be reasonable for all periods presented; however, the allocated costs included in the results of our Predecessor and included in these consolidated and combined financial statements may differ from compensation expense incurred by us as a standalone public company. Defined Benefit Plans At Spin-Off, Noble sponsored two non-U.S. noncontributory defined benefit pension plans, the Paragon Offshore Enterprise Ltd and the Paragon Offshore Nederland B.V. pension plans, which were carried over by us and cover certain Europe-based salaried, non-union employees. For the years ended December 31, 2015 and 2014 pension benefit expense related to our defined benefit pension plans, based on actuary estimates, are presented in the table below. A reconciliation of the changes in projected benefit obligations ( “ PBO ” ) for our pension plans is as follows: Year Ended December 31, (In thousands) 2015 2014 Benefit obligation at beginning of year $ 124,362 $ 95,101 Service cost 5,375 4,819 Interest cost 1,946 2,601 Actuarial loss (gain) (2,163 ) 39,499 Amendments — (139 ) Benefits paid (1,184 ) (1,240 ) Plan participants’ contribution 641 512 Foreign exchange rate changes (12,909 ) (14,806 ) Other: curtailment — (1,985 ) Benefit obligation at end of year $ 116,068 $ 124,362 A reconciliation of the changes in fair value of plan assets is as follows: Year Ended December 31, (In thousands) 2015 2014 Fair value of plan assets at beginning of year $ 125,591 $ 97,453 Actual return on plan assets (1,790 ) 38,252 Employer contribution 4,868 6,565 Benefits paid (813 ) (833 ) Plan participants’ contributions 635 512 Expenses paid (371 ) (407 ) Foreign exchange rate changes (12,955 ) (15,951 ) Fair value of plan assets at end of year $ 115,165 $ 125,591 The funded status of the plans is as follows: Year Ended December 31, (In thousands) 2015 2014 Funded status $ (903 ) $ 1,229 Amounts recognized in the Consolidated Balance Sheets consist of: Year Ended December 31, (In thousands) 2015 2014 Other assets - noncurrent $ 938 $ 1,229 Other liability - noncurrent (1,841 ) — Net pension asset (liability) (903 ) 1,229 Accumulated other comprehensive loss recognized in financial statements 20,351 22,911 Net amount recognized $ 19,448 $ 24,140 Amounts recognized in AOCL consist of: Year Ended December 31, (In thousands) 2015 2014 Net gain (loss) $ (21,327 ) $ (21,924 ) Prior service (cost) credit 239 (2,048 ) Amortization of net actuarial gain (loss) 755 1,077 Amortization of prior service (cost) credit (18 ) (16 ) Accumulated other comprehensive loss $ (20,351 ) $ (22,911 ) The pension gains or losses and prior service costs or credits are recognized on a net-of-tax basis in AOCL and are amortized from AOCL to net periodic benefit cost over the expected average remaining working lives of the employees participating in the plan. Pension cost includes the following components: Year Ended December 31, (In thousands) 2015 2014 Service cost $ 5,375 $ 4,819 Interest cost 1,946 2,601 Expected return on plan assets (1,773 ) (2,625 ) Amortization of prior service cost (18 ) (16 ) Amortization net actuarial loss (gain) 755 1,077 Net curtailment (gain) — (66 ) Net pension expense $ 6,285 $ 5,790 Amortization related to prior service cost and net actuarial loss is estimated to be less than $0.1 million and $0.8 million , respectively, in 2016. Defined Benefit Plans - Disaggregated Plan Information Disaggregated information regarding our pension plans is summarized below: Year Ended December 31, (In thousands) 2015 2014 Projected benefit obligation $ 116,068 $ 124,362 Accumulated benefit obligation 111,366 119,632 Fair value of plan assets 115,165 125,591 Defined Benefit Plans - Key Assumptions The key assumptions for the plans are summarized below: Year Ended December 31, Weighted Average Assumptions Used to Determine Benefit Obligations 2015 2014 Discount rate 2.6% to 2.9% 2.3% to 2.4% Rate of compensation increase 3.6 % 3.6 % Year Ended December 31, Weighted Average Assumptions Used to Determine Net Periodic Benefit Cost 2015 2014 Discount rate 2.6% to 2.9% 2.7% to 3.9% Expected long-term return on plan assets 1.3 % 2.7% to 2.8% Rate of compensation increase 3.6 % 3.6 % The discount rates used to calculate the net present value of future benefit obligations are determined by using a yield curve of high quality bond portfolios with an average maturity approximating that of the liabilities. We employ third-party consultants who use a portfolio return model to assess the initial reasonableness of the expected long-term rate of return on plan assets. To develop the expected long-term rate of return on assets, we considered the current level of expected returns on risk free investments (primarily government bonds), the historical level of risk premium associated with the other asset classes in which the portfolio is invested and the expectations for future returns of each asset class. The expected return for each asset class was then weighted based on the target asset allocation to develop the expected long-term rate of return on assets for the portfolio. Defined Benefit Plans - Plan Assets Both the Paragon Offshore Enterprise Ltd and the Paragon Offshore Nederland B.V. pension plans have a targeted asset allocation of 100% debt securities. The investment objective for Paragon Offshore Enterprise Ltd and Paragon Offshore Nederland B.V. Non-US plans are to earn a favorable return against the Barclays Capital Euro - Treasury AAA 1 - 3 year benchmark. We evaluate the performance of these plans on an annual basis. The actual fair value of our pension plans as of December 31, 2015 and 2014 is as follows: Estimated Fair Value Measurements (In thousands) Carrying Amount Quoted Significant Other Observable Inputs Significant Unobservable December 31, 2015 Fixed Income securities: Corporate Bonds $ 28,228 $ — $ 28,228 $ — Other 86,937 — — 86,937 Total $ 115,165 $ — $ 28,228 $ 86,937 December 31, 2014 Fixed Income securities: Corporate Bonds $ 32,476 $ — $ 32,476 $ — Other 93,115 — — 93,115 Total $ 125,591 $ — $ 32,476 $ 93,115 At December 31, 2015 , assets of Paragon Offshore Enterprise Ltd and Paragon Offshore Nederland B.V. were invested in instruments that are similar in form to a guaranteed insurance contract. There are no observable market values for the assets (Level 3); however, the amounts listed as plan assets were materially similar to the anticipated benefit obligations that were anticipated under the plans. The following table details the activity related to these investments during the year. Market Value Balance as of December 31, 2013 $ 68,280 Assets sold/benefits paid (735 ) Return on plan assets 25,570 Balance as of December 31, 2014 93,115 Assets sold/benefits paid $ (791 ) Return on plan assets (5,387 ) Balance at December 31, 2015 $ 86,937 Defined Benefit Plans - Cash Flows In 2015 and 2014 , we made total contributions of $5 million and $7 million to our pension plans. We expect our aggregate minimum contributions to our plans in 2016, subject to applicable law, to be $8 million . We continue to monitor and evaluate funding options based upon market conditions and may increase contributions at our discretion. The following table summarizes our benefit payments at December 31, 2015 estimated to be paid within the next ten years: Payments by Period Total 2016 2017 2018 2019 2020 Five Years Thereafter Estimated benefit payments $ 19,209 891 1,047 1,247 1,451 1,651 12,922 Other Benefit Plans We sponsor a 401(k) defined contribution plan and a profit sharing plan, which covers our employees who are not otherwise enrolled in the above defined benefit plans. Other post-retirement benefit expense related to these other benefit plans included in the accompanying Consolidated and Combined Statements of Operations for the years ended December 31, 2015 and 2014 were $1 million and $2 million , respectively.

Derivative Instruments and Hedg

Derivative Instruments and Hedging Activities	12 Months Ended
	Dec. 31, 2015
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Derivative Instruments and Hedging Activities	DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES We have historically entered into derivative instruments to manage our exposure to fluctuations in foreign currency exchange rates, and we may conduct hedging activities in future periods to mitigate such exposure. We have documented policies and procedures to monitor and control the use of derivative instruments. We do not engage in derivative transactions for speculative or trading purposes, nor are we a party to leveraged derivatives. Cash Flow Hedges We did not enter into any hedging activity during 2015. Depending on market conditions, we may elect to utilize short-term forward currency contracts in the future. During 2014, we entered into and settled forward contracts, expressed in U.S. dollars, of approximately $58 million all of which settled within 2014. We had no outstanding derivative contracts and thus no unrealized gains recorded as a part of AOCL at December 31, 2015 or at December 31, 2014 . See Note 15 - “ Accumulated Other Comprehensive Loss ” for changes in AOCL related to our cash flow hedges. Subsequent to the Spin-Off, total realized losses related to these forward contracts were $14 thousand and were classified as “Contract drilling services operating costs and expenses” on the consolidated and combined Statement of Operations for the year ended December 31, 2014. As of December 31, 2014 , these forward contracts were designated as cash flow hedging instruments. Prospector Interest Rate Swaps Acquired The Prospector Senior Credit Facility exposed Prospector to short-term changes in market interest rates as interest obligations on these instruments were periodically redetermined based on the prevailing LIBOR rate. Upon our acquisition of Prospector, Prospector had interest rate swaps originally entered into by a subsidiary of Prospector with an aggregate maximum notional amount of $135 million . The interest rate swaps were entered into to reduce the variability of the cash interest payments under the Prospector Senior Credit Facility and to fix the interest on 50% of the outstanding borrowings under the Prospector Senior Credit Facility. Prospector received interest at three-month LIBOR and paid interest at a fixed rate of 1.512% over the expected term of the Prospector Senior Credit Facility As of the first quarter of 2015, we had repaid in full the remaining principal balance outstanding under the Prospector Senior Credit Facility; therefore, in March 2015, the related interest rate swaps were terminated. The termination resulted in a settlement at fair market value plus accrued interest of approximately $1 million recorded in “Interest expense net of amount capitalized.” We did not apply hedge accounting with respect to these interest rate swaps and therefore, changes in fair values were recognized as either income or loss in our Consolidated and Combined Statements of Operations in “Interest expense, net of amount capitalized.” As of December 31, 2014, we had approximately $2 million recorded in “Other current liabilities” and approximately $1 million recorded in “Other long-term assets” related to the interest rate swaps (see Note 13 - “Fair Value of Financial Instruments” ). Since these contracts were terminated prior to December 31, 2015 , we had no amounts outstanding in our Consolidated Balance Sheets related to the interest rate swaps as of December 31, 2015 .

Fair Value of Financial Instrum

Fair Value of Financial Instruments	12 Months Ended
	Dec. 31, 2015
Fair Value Disclosures [Abstract]
Fair Value of Financial Instruments	FAIR VALUE OF FINANCIAL INSTRUMENTS Our cash and cash equivalents, accounts receivable and accounts payable are by their nature short-term. As a result, the carrying values included in the accompanying Consolidated Balance Sheets approximate fair value. Fair Value of Derivatives We had no outstanding foreign currency forward contracts or interest rate swaps at December 31, 2015 . As of December 31, 2014 , the fair values of our interest rate swaps were determined based on a discounted cash flow model utilizing an appropriate market or risk-adjusted yield representative of Level 2 fair value measurements. The effects of discounting are immaterial for interest rate swaps. We recorded our interest rate swaps on our December 31, 2014 Consolidated Balance Sheet at fair value including $2 million in “Other current liabilities” and $1 million in “Other long-term assets.” Fair Value of Debt The following table presents the estimated fair value of our Senior Notes, Term Loan Facility and Prospector Bonds as of December 31, 2015 and 2014 , respectively: December 31, 2015 December 31, 2014 (In thousands) Carrying Value Estimated Fair Value Carrying Value Estimated Fair Value 6.75% Senior Notes due July 15, 2022 $ 456,572 $ 65,062 $ 457,572 $ 275,115 7.25% Senior Notes due August 15, 2024 527,010 75,099 537,010 319,521 Total senior unsecured notes $ 983,582 $ 140,161 $ 994,582 $ 594,636 Term Loan Facility, bearing interest at 3.75%, excluding unamortized discount of $2,554 and $3,018 for December 31, 2015 and December 31, 2014, respectively $ 641,875 $ 235,889 $ 648,375 $ 523,250 Prospector 2019 Second Lien Callable Bond $ — $ — $ 101,000 $ 101,000 The carrying amount of our variable-rate debt, the Revolving Credit Facility, approximates fair value as such debt bears short-term, market-based interest rates. We have classified this instrument as Level 2 as valuation inputs used for purposes of determining our fair value disclosure are readily available published LIBOR rates.

Concentration of Market and Cre

Concentration of Market and Credit Risk	12 Months Ended
	Dec. 31, 2015
Risks and Uncertainties [Abstract]
Concentration of Market and Credit Risk	CONCENTRATION OF MARKET AND CREDIT RISK The market for our services is the offshore oil and gas industry, and our customers consist primarily of government-owned oil companies, major integrated oil companies and independent oil and gas producers. We perform ongoing credit evaluations of our customers and do not require material collateral. We maintain reserves for potential credit losses when necessary. Our results of operations and financial condition should be considered in light of the fluctuations in demand experienced by drilling contractors as changes in oil and gas producers’ expenditures and budgets occur. These fluctuations can impact our results of operations and financial condition as supply and demand factors directly affect utilization and dayrates, which are the primary determinants of our net cash provided by operating activities. Revenues from Petrobras accounted for approximately 21% , 23% , and 17% of our operating revenues in 2015 , 2014 and 2013 , respectively. Receivables from Petrobras accounted for approximately 5% and 23% of our accounts receivable balance at December 31, 2015 and 2014, respectively. Revenues from Total S.A. accounted for approximately 16% , 3% , and 4% of our total operating revenues in 2015 , 2014 and 2013 , respectively. Receivables from Total S.A. accounted for approximately 12% and 7% of our accounts receivable balance at December 31, 2015 and 2014 , respectively. Revenues from Pemex accounted for approximately 9% , 16% , and 19% of our operating revenues in 2015 , 2014 and 2013 respectively. Receivables from Pemex accounted for approximately 26% and 31% of our accounts receivables balance at December 31, 2015 and 2014 , respectively. No other customer accounted for more than 10% of our operating revenues in 2015 , 2014 and 2013 .

Accumulated Other Comprehensive

Accumulated Other Comprehensive Loss	12 Months Ended
	Dec. 31, 2015
Equity [Abstract]
Accumulated Other Comprehensive Loss	ACCUMULATED OTHER COMPREHENSIVE LOSS The following table includes the components of AOCL for the years ended December 31, 2015 , 2014 and 2013 and changes in AOCL by component for the years ended December 31, 2015 and 2014 . All accounts within the tables are shown net of tax. (In thousands) Gains / (Losses) on Cash Flow Hedges (1) Defined Benefit Pension Items (2) Foreign Currency Items Total Balance at December 31, 2013 $ — $ — $ (6 ) $ (6 ) Activity during period: AOCL recorded in connection with Spin-Off 4,027 (21,770 ) (12,706 ) (30,449 ) Other comprehensive loss before reclassification (4,041 ) — (1,481 ) (5,522 ) Amounts reclassified from AOCL 14 (1,141 ) — (1,127 ) AOCL recorded in connection with Prospector Acquisition — — (40 ) (40 ) Net other comprehensive income (loss) — (22,911 ) (14,227 ) (37,138 ) Balance at December 31, 2014 $ — $ (22,911 ) $ (14,233 ) $ (37,144 ) Activity during period: Other comprehensive loss before reclassification — 1,823 (7,430 ) (5,607 ) Amounts reclassified from AOCL — 737 — 737 Net other comprehensive income (loss) — 2,560 (7,430 ) (4,870 ) Balance at December 31, 2015 $ — $ (20,351 ) $ (21,663 ) $ (42,014 ) (1) Gains / (losses) on cash flow hedges are related to our foreign currency forward contracts. Reclassifications from AOCL are recognized through “Contract drilling services operating costs and expenses” on our Consolidated and Combined Statements of Operations. See Note 12 - “Derivative Instruments and Hedging Activities” for additional information. (2) Defined benefit pension items relate to actuarial losses, prior service credits, and the amortization of actuarial losses and prior service credits. Reclassifications from AOCL are recognized as expense on our Consolidated and Combined Statements of Operations through either “Contract drilling services” or “General and administrative for the year ended December 31, 2015 , see Note 11 - “Employee Benefit Plans” for additional information.

Commitments and Contingencies

Commitments and Contingencies	12 Months Ended
	Dec. 31, 2015
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	GAIN ON CONTRACT SETTLEMENTS/EXTINGUISHMENT, NET During the third quarter of 2013, Noble received $45 million related to the settlement of all claims against the former investors of FDR Holdings, Ltd., which Noble acquired in July 2010, relating to alleged breaches of various representations and warranties contained in the purchase agreement. A portion of the settlement related to standard specification rigs. This portion, totaling $23 million , was pushed down to our Predecessor in 2013, through an allocation, using the acquired rig values of the purchased rigs. COMMITMENTS AND CONTINGENCIES Operating Leases Future minimum lease payments for operating leases for years ending December 31 are as follows: (in thousands) 2016 2017 2018 2019 2020 Thereafter Total Minimum lease payments $ 8,479 $ 4,218 $ 2,859 $ 2,328 $ 1,959 $ 1,923 $ 21,766 Total rent expense under operating leases was approximately $17 million and $16 million for the years ended December 31, 2015 and 2014 , respectively. Purchase Commitments In connection with our capital expenditure program, we have outstanding commitments, including shipyard and purchase commitments of approximately $632 million at December 31, 2015 . Our purchase commitments consist of obligations outstanding to external vendors primarily related to future capital purchases and includes $600 million due in 2016 related to the Three High-Spec Jackups Under Construction. Litigation We are a defendant in certain claims and litigation arising out of operations in the ordinary course of business, the resolution of which, in the opinion of management, will not have a material adverse effect on our financial position, results of operations or cash flows. There is inherent risk in any litigation or dispute and no assurance can be given as to the outcome of these claims. Other Contingencies We operate in a number of countries throughout the world and our tax returns filed in those jurisdictions are subject to review and examination by tax authorities within those jurisdictions. As of December 31, 2015 , we have received tax audit claims of approximately $357 million , of which $81 million is subject to indemnity by Noble, primarily in Mexico and Brazil, attributable to our income, customs and other business taxes. In addition, as of December 31, 2015 , approximately $34 million of tax audit claims in Mexico assessed against Noble are subject to indemnity by us as a result of the Spin-Off. We have contested, or intend to contest, these assessments, including through litigation if necessary. Tax authorities may issue additional assessments or pursue legal actions as a result of tax audits, and we cannot predict or provide assurance as to the ultimate outcome of such assessments and legal actions. In some cases, we will be required to post cash deposit as collateral while we defend these claims. We could be required to post such collateral in the near future, and such amounts could be substantial and could have a material adverse effect on our liquidity, financial condition, results of operations and cash flows. We have no surety bonds or letters of credit associated with tax audit claims outstanding as of December 31, 2015 . In January 2015, a subsidiary of Noble received an unfavorable ruling from the Mexican Supreme Court on a tax depreciation position claimed in periods prior to the Spin-Off. Although the ruling does not constitute mandatory jurisprudence in Mexico, it does create potential indemnification exposure for us under the Tax Sharing Agreement with Noble if Noble is ultimately determined to be liable for any amounts. We are presently unable to determine a timeline on this matter, nor are we able to determine the extent of our liability. We have considered this matter under ASC 460, Guarantees , and concluded that our liability under this matter is reasonably possible. Due to these current uncertainties, we are not able to reasonably estimate the magnitude of any liability at this time. On February 11, 2016, as part of the PSA, we entered into the Term Sheet with Noble with respect to the Noble Settlement Agreement. Upon execution of the Noble Settlement Agreement, certain conditions of the Tax Sharing Agreement executed between Noble and Paragon for the Spin-Off will be modified. Noble will provide direct bonding in fulfillment of the requirements necessary to challenge tax assessments in Mexico relating to our business for the tax years 2005 through 2010. The Mexican Tax Assessments were originally assigned to us by Noble pursuant to the Tax Sharing Agreement which was entered into in connection with the Spin-Off. The Company has contested or intends to contest the Mexico Tax Assessments and may be required to post bonds in connection thereto. As of December 31, 2015, our estimated Mexican Tax Assessments totaled approximately $200 million , with assessments for 2009 and 2010 yet to be received. Additionally, Noble will be responsible for all of the ultimate tax liability for Noble legal entities and 50% of the ultimate tax liability for our legal entities following the defense of the Mexican Tax Assessments. In consideration for this support, we have agreed to release Noble, fully and unconditionally, from any and all claims in relation to the Spin-Off. The Term Sheet has been approved by the boards of directors of both companies, but remains subject to execution of a definitive Noble Settlement Agreement and the approval of such agreement by the Bankruptcy Court in our chapter 11 proceedings. Upon the execution and approval by Bankruptcy Court of a final Noble Settlement Agreement, a material portion of our Mexican Tax Assessments, and any corresponding ultimate tax liability, will be assumed by Noble. Until such time, the current Tax Sharing Agreement remains in effect. Petrobras has notified us, along with other industry participants that it is currently challenging assessments by Brazilian tax authorities of withholding taxes associated with the provision of drilling rigs for its operations in Brazil during the years 2008 and 2009 totaling $71 million , of which $20 million is subject to indemnity by Noble. Petrobras has also notified us that if they must pay such withholding taxes, they will seek reimbursement from us. We believe that we are contractually indemnified by Petrobras for these amounts and dispute the validity of the assessment. We have notified Petrobras of our position. We will, if necessary, vigorously defend our rights. If we were required to pay such reimbursement, however, the amount of such reimbursement could be substantial and could have a material adverse effect on our financial condition, results of operations and cash flows. Our subsidiary used a commercial agent in Brazil in connection with Petrobras drilling contracts. The agent pleaded guilty in Brazil in connection with the award by Petrobras of a drilling contract to one of our competitors as part of a wider investigation of Petrobras’ business practices. The agent has represented a number of different companies in Brazil over many years, including several offshore drilling contractors. Following the news reports relating to the agent’s involvement in the Brazil investigation in connection with his activities with other companies, we have been conducting an independent review of our relationship with the agent and with Petrobras. We have contacted the SEC and the U.S. Department of Justice to advise them of our internal review. Insurance In connection with the Separation on July 31, 2014, we replaced our Predecessor’s insurance policies, which were supported by Noble, with substantially similar standalone insurance policies. We maintain certain insurance coverage against specified marine perils, which include physical damage and loss of hire for certain units. We maintain insurance in the geographic areas in which we operate, although pollution, reservoir damage and environmental risks generally are not fully insurable. Our insurance policies and contractual rights to indemnity may not adequately cover our losses or may have exclusions of coverage for some losses. We do not have insurance coverage or rights to indemnity for all risks, including loss of hire insurance on most of the rigs in our fleet or named windstorm perils with respect to our rigs located in the U.S. Gulf of Mexico. Uninsured exposures may include expatriate activities prohibited by U.S. laws and regulations, radiation hazards, certain loss or damage to property on board our rigs and losses relating to shore-based terrorist acts or strikes. If a significant accident or other event occurs and is not fully covered by insurance or contractual indemnity, it could materially adversely affect our financial position, results of operations or cash flows. Additionally, there can be no assurance that those parties with contractual obligations to indemnify us will necessarily be financially able to indemnify us against all these risks. Other At December 31, 2015 , we had letters of credit of $89 million and performance bonds totaling $115 million supported by surety bonds outstanding and backed by $75 million in letters of credit and a $9 million cash deposit. Certain of our subsidiaries issued guarantees to the temporary import status of rigs or equipment imported into certain countries in which we operated. These guarantees are issued in lieu of payment of custom, value added or similar taxes in those countries. Separation Agreements In connection with the Spin-Off, we entered into several definitive agreements with Noble or its subsidiaries that, among other things, set forth the terms and conditions of the Spin-Off and provide a framework for our relationship with Noble after the Spin-Off, including the following agreements: • Master Separation Agreement; • Tax Sharing Agreement; • Employee Matters Agreement; • Transition Services Agreement relating to services Noble and Paragon will provide to each other on an interim basis; and • Transition Services Agreement relating to Noble’s Brazil operations. Pursuant to these agreements with Noble, our Consolidated Balance Sheets include the following balances due from and to Noble as of December 31, 2015 and 2014 : December 31, (In thousands) 2015 2014 Accounts receivable $ 22,695 $ 15,716 Other current assets 3,032 26,386 Other assets 6,686 6,875 Due from Noble $ 32,413 $ 48,977 Accounts payable $ 211 $ 1,655 Other current liabilities 6,067 51,169 Other liabilities 3,268 23,563 Due to Noble $ 9,546 $ 76,387 These receivables and payables primarily relate to rights and obligations under the Master Separation, Tax Sharing Agreement and the Transition Services Agreement (Brazil). Master Separation Agreement We entered into the Master Separation Agreement with Noble Corporation, Noble-Cayman, which provided for, among other things, the Distribution of our ordinary shares to Noble shareholders and the transfer to us of the assets and the assumption by us of the liabilities relating to our business and the responsibility of Noble for liabilities related to Noble’s, and in certain limited cases, our business. The Master Separation Agreement identified which assets and liabilities constitute our business and which assets and liabilities constitute Noble’s business. Tax Sharing Agreement We entered into the Tax Sharing Agreement with Noble, which governs the parties’ respective rights, responsibilities and obligations with respect to tax liabilities and benefits, tax attributes, the preparation and filing of tax returns, the control of audits and other tax proceedings and certain other matters regarding taxes following the Distribution. See discussion above on Term Sheet entered into with Noble with respect to the Noble Settlement Agreement. Upon the execution and approval by Bankruptcy Court of a final Noble Settlement Agreement, a material portion of our Mexican Tax Assessments, and any corresponding ultimate tax liability, will be assumed by Noble. Until such time, the current Tax Sharing Agreement remains in effect. Employee Matters Agreement We entered into an Employee Matters Agreement with Noble-Cayman to allocate liabilities and responsibilities relating to our employees and their participation in certain compensation and benefit plans maintained by Noble or a subsidiary of Noble. The Employee Matters Agreement provides that, following the Distribution, most of our employee benefits are provided under compensation and benefit plans adopted or assumed by us. In general, our plans are substantially similar to the plans of Noble or its subsidiaries that covered our employees prior to the completion of the Distribution. The Employee Matters Agreement also addresses the treatment of outstanding Noble equity awards held by transferring employees, including the grant of our equity awards or other rights with respect to Noble equity awards held by transferring employees that were canceled in connection with the Spin-Off. Transition Services Agreement We entered into a Transition Services Agreement with Noble-Cayman pursuant to which Noble-Cayman provides, on a transitional basis, certain administrative and other assistance, generally consistent with the services that Noble provided to us before the Separation, and we provide certain transition services to Noble and its subsidiaries. The charges for the transition services are generally intended to allow the party providing the services to fully recover the costs directly associated with providing the services, plus all out-of-pocket costs and expenses, generally without profit. The charges for each of the transition services generally are based on either a pre-determined flat fee or an allocation of the costs incurred, including certain fees and expenses of third-party service providers. Transition Services Agreement (Brazil) We and Noble-Cayman and certain other subsidiaries of Noble entered into a Transition Services Agreement (and a related rig charter) pursuant to which we provide certain transition services to Noble and its subsidiaries in connection with Noble’s Brazil operations. We continue to provide both rig-based and shore-based support services in respect of Noble’s remaining business through the term of Noble’s existing rig contracts. Noble currently has one rig operating in Brazil. Noble-Cayman compensates us on a cost-plus basis for providing such services and also indemnifies us for liabilities arising out of the services agreement. This agreement will terminate when the current Noble semisubmersible working in Brazil finishes its existing contract, which is expected to occur in 2016.

Related Parties (Including Rela

Related Parties (Including Relationship with Noble and Corporate Allocations)	12 Months Ended
	Dec. 31, 2015
Related Party Transactions [Abstract]
Related Parties (Including Relationship with Noble and Corporate Allocations)	RELATED PARTIES (INCLUDING RELATIONSHIP WITH NOBLE AND CORPORATE ALLOCATIONS) For all periods prior to the Spin-Off, our Predecessor was managed in the normal course of business by Noble and its subsidiaries. Accordingly, certain shared costs have been allocated to our Predecessor and are reflected as expenses in these unaudited consolidated and combined financial statements for periods prior to Spin-Off. Our management considers the allocation methodologies used to be reasonable and appropriate reflections of the related expenses attributable to us for purposes of the carve-out financial statements; however, the expenses reflected in the results of our Predecessor and included in these consolidated and combined financial statements may not be indicative of the actual expenses that would have been incurred during the periods presented if our Predecessor had operated as a separate standalone entity. Allocated costs include, but are not limited to: corporate accounting, human resources, information technology, treasury, legal, employee benefits and incentives (excluding allocated post-retirement benefits described in Note 11 - “ Employee Benefit Plans ”) and stock-based compensation. Our Predecessor’s allocated costs included in contract drilling services in the accompanying Consolidated and Combined Statements of Operations totaled $70 million and $147 million for the years ended December 31, 2014 and 2013 , respectively. Our Predecessor’s allocated costs included in general, and administrative expenses in the accompanying Consolidated and Combined Statements of Operations totaled $25 million and $58 million for the years ended December 31, 2014 and 2013 respectively. The costs were allocated to our Predecessor using various inputs, such as head count, services rendered, and assets assigned to our Predecessor. All financial information presented after the Spin-Off represents the results of operations, financial position and cash flows of Paragon, accordingly, no Predecessor allocated costs are included in the accompanying Consolidated Statements of Operations for the year ended December 31, 2015 .

Supplemental Cash Flow Informat

Supplemental Cash Flow Information	12 Months Ended
	Dec. 31, 2015
Supplemental Cash Flow Elements [Abstract]
Supplemental Cash Flow Information	SUPPLEMENTAL CASH FLOW INFORMATION The net effect of changes in other assets and liabilities on cash flows from operating activities is as follows: Year Ended December 31, (In thousands) 2015 2014 2013 Accounts receivable $ 233,812 $ (178,108 ) $ (34,582 ) Other current assets (5,383 ) 42,922 22,181 Other assets (479 ) (33,637 ) 16,451 Accounts payable (57,246 ) 25,890 8,530 Other current liabilities (132,195 ) 14,273 18,645 Other liabilities (51,790 ) (29,514 ) (16,385 ) Net change in other assets and liabilities $ (13,281 ) $ (158,174 ) $ 14,840 Additional cash flow information is as follows: Year Ended December 31, (In thousands) 2015 2014 2013 Cash paid during the period for: Interest $ 124,763 $ 21,109 $ 5,791 U.S. and Non-U.S. income taxes 66,657 85,248 76,423 Supplemental information for non-cash activities: Assets related to Sale-Leaseback Transaction $ 465,043 $ — $ — Adjustments to distributions by former parent 9,493 — — Accrued capital expenditures 10,305 24,003 — Transfer from parent of property and equipment — 18,124 16,057

Segment and Related Information

Segment and Related Information	12 Months Ended
	Dec. 31, 2015
Segment Reporting [Abstract]
Segment and Related Information	SEGMENT AND RELATED INFORMATION At December 31, 2015 , our contract drilling operations were reported as a single reportable segment, Contract Drilling Services, which reflects how our business is managed, and the fact that all of our drilling fleet is dependent upon the worldwide oil industry. The mobile offshore drilling units that comprise our offshore rig fleet operated in a single, global market for contract drilling services and are often redeployed globally due to changing demands of our customers, which consisted largely of major non-U.S. and government owned/controlled oil and gas companies throughout the world. Our contract drilling services segment conducts contract drilling operations in Mexico, Brazil, the North Sea, West Africa, the Middle East, and India. Operations by Geographic Area The following table presents revenues and identifiable assets by country based on the location of the service provided: Revenues Identifiable Assets Year Ended December 31, As of December 31, (In thousands) 2015 2014 2013 2015 2014 Country: Brazil $ 368,502 $ 488,884 $ 312,287 $ 169,626 $ 1,821,017 United Kingdom 305,499 193,908 245,789 1,122,653 85,638 The Netherlands 242,128 284,651 179,768 252,686 163,153 United Arab Emirates 135,747 139,318 108,256 229,351 219,711 Mexico 133,970 326,352 367,732 183,944 459,975 India 71,743 79,201 103,282 102,054 131,431 Cameroon 70,901 35,224 55,803 100,828 95,036 Qatar 36,234 94,320 139,891 25,844 93,625 USA 340 85,060 117,951 158,146 91,921 Nigeria — — 107,750 6,697 11,281 Other 127,364 266,844 154,493 32,036 80,601 $ 1,492,428 $ 1,993,762 $ 1,893,002 $ 2,383,865 $ 3,253,389

Unaudited Interim Financial Dat

Unaudited Interim Financial Data	12 Months Ended
	Dec. 31, 2015
Quarterly Financial Information Disclosure [Abstract]
Unaudited Interim Financial Data	UNAUDITED INTERIM FINANCIAL DATA Summarized quarterly results for years ended December 31, 2015 and 2014 are as follows: Quarter Ended (In thousands, except per share amounts) March 31 June 30 September 30 December 31 2015 Operating revenues $ 430,648 $ 393,244 $ 368,973 $ 299,563 Operating income (loss) 95,653 57,727 (1,105,344 ) 10,590 Net income (loss) attributable to Paragon Offshore 61,127 47,331 (1,084,838 ) (23,263 ) (2) Earnings (loss) per share - basic and diluted (1) 0.69 0.51 (12.46 ) (0.27 ) (2) 2014 Operating revenues $ 514,590 $ 478,957 $ 505,222 $ 494,993 Operating income (loss) 147,461 119,972 (796,421 ) 4,311 Net income (loss) attributable to Paragon Offshore 124,566 95,045 (869,160 ) 2,744 Earnings (loss) per share - basic and diluted (1) $ 1.47 $ 1.12 $ (10.26 ) $ 0.03 (1) Earnings (loss) per share is computed independently for each of the quarters presented. Therefore, the sum of the quarters’ net income per share may not equal the total computed for the year. (2) Certain corrections of errors related to overaccrual of expenses for prior periods, and having net positive impacts of approximately $10.2 million to net income, were recorded during the three months ended December 31, 2015. We consider these errors to be immaterial to 2015 and all prior periods.

Summary of Significant Accoun28

Summary of Significant Accounting Policies (Policies)	12 Months Ended
	Dec. 31, 2015
Accounting Policies [Abstract]
Basis of Presentation	The consolidated and combined financial information contained within this report includes periods prior to the Spin-Off on August 1, 2014. For these periods prior to the Spin-Off, the consolidated and combined financial statements and related discussion of financial condition and results of operations include historical results of the Noble Standard-Spec Business (our “Predecessor”), which comprised most of Noble’s standard specification drilling fleet and related operations. Our Predecessor’s historical combined financial statements include three standard specification drilling units that were retained by Noble and three standard specification drilling units that were sold by Noble prior to the Separation. We consolidate the historical combined financial results of our Predecessor in our consolidated and combined financial statements for all periods prior to the Spin-Off. All financial information presented after the Spin-Off represents the consolidated results of operations, financial position and cash flows of Paragon. Our Predecessor’s historical combined financial statements for the periods prior to the Spin-Off include assets and liabilities that are specifically identifiable or have been allocated to our Predecessor. Revenues and costs directly related to our Predecessor have been included in the accompanying consolidated and combined financial statements. Our Predecessor received service and support functions from Noble and the costs associated with these support functions have been allocated to our Predecessor using various inputs, such as head count, services rendered, and assets assigned to our Predecessor. Our management considers the allocation methodologies used to be reasonable and appropriate reflections of the related expenses attributable to us for purposes of the carve-out financial statements; however, the expenses reflected in the results of our Predecessor and included in these consolidated and combined statements may not be indicative of the actual expenses that would have been incurred during the periods presented if our Predecessor had operated as a separate standalone entity and may not be indicative of expenses incurred in the future by us. These allocated costs are primarily related to corporate administrative expenses including executive oversight, employee related costs including pensions and other benefits, and corporate and shared employees for the following functional groups: • information technology, • legal, accounting, finance and treasury services, • human resources, • marketing, and • other corporate and infrastructural services. Prior to the Spin-Off, our total equity represented the cumulative net parent investment by Noble, including any prior net income attributable to our Predecessor as part of Noble. At the Spin-Off, Noble contributed its entire net parent investment in our Predecessor. Concurrent with the Spin-Off and in accordance with the terms of our Separation from Noble, certain assets and liabilities were transferred between us and Noble, which have been recorded as part of the net capital contributed by Noble. During the first quarter of 2015, we recorded an out-of-period adjustment to the opening balance sheet of our Predecessor of approximately $9 million to reflect transfers of fixed assets resulting from the Spin-Off between us and our former parent, as well as revisions in estimates of liabilities associated with the Spin-Off. This adjustment did not affect our Consolidated and Combined Statements of Operations. As our Predecessor previously operated within Noble’s corporate cash management program for all periods prior to the Distribution, funding requirements and related transactions between our Predecessor and Noble have been summarized and reflected as changes in equity without regard to whether the funding represents a receivable, liability or equity. Based on the terms of our Separation from Noble, we ceased being a part of Noble’s corporate cash management program.
New Accounting Pronouncements	In May 2014, the FASB issued ASU No. 2014-09, which amends ASC Topic 606, Revenue from Contracts with Customers . The amendments in this ASU are intended to provide a more robust framework for addressing revenue issues, improve comparability of revenue recognition practices and improve disclosure requirements. Based on ASU No. 2015-14, Revenue from Contracts with Customers: Deferral of the Effective Date, subsequently issued in August 2015, the amendments in this ASU are effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2017. This ASU can be adopted either retrospectively or as a cumulative-effect adjustment as of the date of adoption. Entities reporting under U.S. GAAP are not permitted to adopt this standard earlier than the original effective date for public entities. We are evaluating what impact, if any, the adoption of this guidance will have on our financial condition, results of operations, cash flows or financial disclosures. In June 2014, the FASB issued ASU No. 2014-12, which amends ASC Topic 718, Compensation-Stock Compensation . The guidance requires that a performance target that affects vesting and that could be achieved after the requisite service period be treated as a performance condition and should not be reflected in the estimate of the grant-date fair value of the award. The guidance is effective for annual periods, and interim periods within those annual periods beginning after December 15, 2015. The guidance can be applied prospectively for all awards granted or modified after the effective date or retrospectively to all awards with performance targets outstanding as of the beginning of the earliest annual period presented in the financial statements and to all new or modified awards thereafter. We do not expect that our adoption will have a material impact on our financial statements or disclosures in our financial statements. In August 2014, the FASB issued ASU No. 2014-15, Presentation of Financial Statements - Going Concern . This ASU codifies management’s responsibility to evaluate whether there is substantial doubt about an entity’s ability to continue as a going concern and to provide related note disclosures. The guidance is effective for annual periods ending after December 15, 2016, and for annual and interim periods thereafter, and early adoption is permitted. The Company has elected early adoption of this guidance and has included the related disclosures in the consolidated and combined financial statements for the year ended December 31, 2015 . In January 2015, the FASB issued ASU 2015-01, Income Statement - Extraordinary and Unusual Items . This ASU simplifies income statement classification by removing the concept of extraordinary items from U.S. GAAP. As a result, items that are both unusual and infrequent will no longer be separately reported net of tax after continuing operations. The guidance is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2015 and early adoption is permitted. If we have extraordinary or unusual items in the future, our adoption could have a material impact on our financial statements or disclosures in our financial statements. In April 2015, the FASB issued ASU No. 2015-03, Simplifying the Presentation of Debt Issuance Costs. This ASU requires debt issuance costs to be presented on the balance sheet as a direct deduction from the carrying value of the associated debt liability, consistent with the presentation of a debt discount. In August 2015, the FASB issued ASU No. 2015-15, Presentation and Subsequent Measurement of Debt Issuance Costs Associated with Line-of-Credit Arrangements, which states that the SEC staff would not object to an entity deferring and presenting debt issuance costs as an asset and subsequently amortizing the deferred debt issuance costs ratably over the term of the line-of-credit arrangement, regardless of whether there are any outstanding borrowings on the line-of-credit arrangement. This guidance is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2015. We will adopt this ASU retrospectively on January 1, 2016, which will result in a reduction of both our long-term assets and long-term debt balances of approximately $20 million based on deferred financing costs for our Senior Notes and Term Loan Facility at December 31, 2015. In November 2015, the FASB issued ASU No. 2015-17, Balance Sheet Classification of Deferred Taxes . This ASU requires companies to classify all deferred tax assets and liabilities as noncurrent on the balance sheet instead of separating deferred taxes into current and noncurrent amounts. In addition, companies will no longer allocate valuation allowances between current and noncurrent deferred tax assets because those allowances also will be classified as noncurrent. The guidance is effective for financial statements issued for annual periods beginning after December 15 2016 and interim periods within those annual periods. Early adoption is permitted for all companies in any interim or annual period. We have elected early adoption of this guidance retroactively. Early adoption had no impact on prior periods as reported in our financial statements for the year ended December 31, 2015.
Principles of Combination and Consolidation	The consolidated and combined financial statements include our accounts, those of our wholly-owned subsidiaries and entities in which we hold a controlling financial interest. The combined financial statements of our Predecessor include our net assets and results of our operations as previously described. All significant intercompany accounts and transactions have been eliminated in combination and consolidation.
Cash and Cash Equivalents	Cash and cash equivalents include cash on hand, demand deposits with banks and all highly liquid investments with original maturities of three months or less. Our cash, cash equivalents and short-term investments are subject to potential credit risk, and certain of our cash accounts carry balances greater than federally insured limits. Cash and cash equivalents are primarily held by major banks or investment firms. Our cash management and investment policies restrict investments to lower risk, highly liquid securities and we perform periodic evaluations of the relative credit standing of the financial institutions with which we conduct business.
Restricted Cash	Restricted cash consists primarily of cash held to satisfy the requirements of our Sale-Leaseback Transaction (as described in Note 8 - “Debt” ), which was executed in 2015. Under the terms of the lease agreements we are required to maintain two cash reserve accounts, a capital expenditure reserve account and a rental reserve account. The capital expenditure reserve is available specifically for special survey costs ( 3 - 5 year surveys) provided that we replenish any amount withdrawn within twelve months from the date of the withdrawal. This cash is available to us, for a designated purpose, in the short-term, and therefore the restricted cash balance is included in “Current assets” on our Consolidated Balance Sheet. The rental reserve account is the minimum amount established under the lease agreements which we are required to maintain on reserve at all times during the lease period. The balance in the account increases with periodic deposits of operating revenue in excess of allowed operating expenses. Any amount of cash in the account in excess of the minimum balance required on reserve is to be used repay our long-term debt obligation related to the Sale-Leaseback Transaction.
Allowance for Doubtful Accounts	We utilize the specific identification method for establishing and maintaining allowances for doubtful accounts. We review accounts receivable on a quarterly basis to determine the reasonableness of the allowance.
Property and Equipment, at Cost	Property and equipment is stated at cost, reduced by provisions to recognize economic impairment in value whenever events or changes in circumstances indicate an asset’s carrying value may not be recoverable. Major replacements and improvements are capitalized. When assets are sold, retired or otherwise disposed of, the cost and related accumulated depreciation are eliminated from the accounts and the gain or loss is recognized. Drilling equipment and facilities are depreciated using the straight-line method over their estimated useful lives as of the date placed in service or date of major refurbishment. Estimated useful lives of our drilling equipment range from three to thirty years. Other property and equipment is depreciated using the straight-line method over useful lives ranging from two to twenty-five years. Included in accounts payable were $10 million and $24 million of capital accruals as of December 31, 2015 and 2014 , respectively. Scheduled maintenance of equipment is performed based on the number of hours operated in accordance with our preventative maintenance program. Routine repair and maintenance costs are charged to expense as incurred; however, the costs of overhauls and asset replacement projects that benefit future periods and which typically occur every three to five years are capitalized when incurred and depreciated over an equivalent period. These overhauls and asset replacement projects are included in “Property and equipment, at cost” in our Consolidated Balance Sheets. Such amounts, net of accumulated depreciation, totaled $108 million and $193 million at December 31, 2015 and 2014 , respectively. Depreciation expense related to overhauls and asset replacement projects totaled $84 million , $85 million and $76 million for the years ended December 31, 2015 , 2014 and 2013 , respectively. We evaluate the impairment of property and equipment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. In addition, on an annual basis, we complete an impairment analysis on all of our rigs. An impairment loss on our property and equipment exists when the estimated undiscounted cash flows expected to result from the use of the asset and its eventual disposition are less than its carrying amount. Any impairment loss recognized represents the excess of the asset’s carrying value over the estimated fair value. As part of this analysis, we make assumptions and estimates regarding future market conditions. To the extent actual results do not meet our estimated assumptions we may take an impairment loss in the future.
Goodwill Impairment Assessment	Goodwill represents, at the time of an acquisition, the excess of purchase price over fair value of net assets acquired. We assess our goodwill for impairment on an annual basis on September 30 of each year or on an interim basis if events or changes in circumstances indicate that the carrying value may not be recoverable. In accordance with ASC 350, Intangibles-Goodwill and Other , we can opt to perform a qualitative assessment to test goodwill for impairment or we can directly perform a two-step impairment test. Based on our qualitative assessment, if we determine that the fair value of a reporting unit is more likely than not (i.e., a likelihood of more than 50 percent) to be less than its carrying amount, the two-step impairment test will be performed. In the absence of sufficient qualitative factors, goodwill impairment is determined using a two-step process: • Step one - Identify potential impairment by comparing the fair value of a reporting unit to the book value, including goodwill. If the fair value exceeds book value, the goodwill of the reporting unit is not considered impaired. If the book value exceeds fair value, proceed to step two. • Step two - Compare the implied fair value of the reporting unit’s goodwill to the book value of the reporting unit’s goodwill. The excess of the fair value of a reporting unit over the amounts assigned to its assets and liabilities is the implied fair value of goodwill. If the book value of goodwill exceeds the implied fair value, an impairment charge is recognized for the excess.
Debt Issuance Costs	Deferred debt issuance costs are amortized through interest expense over the life of the debt securities.
Fair Value Measurements	We estimate fair value at a price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants in the principal market for the asset or liability. Our valuation techniques require inputs that we categorize using a three-level hierarchy, from highest to lowest level of observable inputs, as follows: (1) unadjusted quoted prices for identical assets or liabilities in active markets (“Level 1”), (2) direct or indirect observable inputs, including quoted prices or other market data, for similar assets or liabilities in active markets or identical assets or liabilities in less active markets (“Level 2”) and (3) unobservable inputs that require significant judgment for which there is little or no market data (“Level 3”). When multiple input levels are required for a valuation, we categorize the entire fair value measurement according to the lowest level of input that is significant to the measurement even though we may have also utilized significant inputs that are more readily observable. Our cash and cash equivalents, accounts receivable and accounts payable are by their nature short-term. As a result, the carrying values included in the accompanying Consolidated Balance Sheets approximate fair value.
Certain Significant Estimates and Contingent Liabilities	The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amount of revenues and expenses during the reporting period. Certain accounting policies involve judgments and uncertainties to such an extent that there is reasonable likelihood that materially different amounts could have been reported under different conditions, or if different assumptions had been used. We evaluate our estimates and assumptions on a regular basis. We base our estimates on historical experience and various other assumptions that are believed to be reasonable under the circumstances, the results of which form the basis for making judgments about carrying values of assets and liabilities that are not readily apparent from other sources. Actual results may differ from these estimates and assumptions used in preparation of our consolidated and combined financial statements included elsewhere in this Annual Report on Form 10-K.
Revenue Recognition	Our typical dayrate drilling contracts require our performance of a variety of services for a specified period of time. We determine progress towards completion of the contract by measuring efforts expended and the cost of services required to perform under a drilling contract, as the basis for our revenue recognition. Revenues generated from our dayrate basis drilling contracts and labor contracts are recognized on a per day basis as services are performed and begin upon the contract commencement, as defined under the specified drilling or labor contract. Dayrate revenues are typically earned, and contract drilling expenses are typically incurred ratably over the term of our drilling contracts. We review and monitor our performance under our drilling contracts to confirm the basis for our revenue recognition. Revenues from bonuses are recognized when earned. It is typical in our dayrate drilling contracts to receive compensation and incur costs for mobilization, equipment modification, or other activities prior to the commencement of the contract. Any such compensation may be paid through a lump-sum payment or other daily compensation. Pre-contract compensation and costs are deferred until the contract commences. The deferred pre-contract compensation and costs are amortized, using the straight-line method, into income over the term of the initial contract period, regardless of the activity taking place. This approach is consistent with the economics for which the parties have contracted. Once a contract commences, we may conduct various activities, including drilling and well bore related activities, rig maintenance and equipment installation, movement between well locations or other activities. Deferred revenues from drilling contracts totaled $9 million at both December 31, 2015 and December 31, 2014 . Such amounts are included in either “Other current liabilities” or “Other liabilities” in our Consolidated Balance Sheets, based upon the expected time of recognition of such deferred revenues. Deferred costs associated with deferred revenues from drilling contracts totaled $6 million at December 31, 2015 as compared to $2 million at December 31, 2014 . Such amounts are included in either “Prepaid and other current assets” or “Other assets” in our Consolidated Balance Sheets, based upon the expected time of recognition of such deferred costs. We record reimbursements from customers for “out-of-pocket” expenses as revenues and the related direct cost as operating expenses.
Share-Based Compensation Plans	We record the grant date fair value of share-based compensation arrangements as compensation cost using a straight-line method over the service period. Share-based compensation is expensed or capitalized based on the nature of the employee’s activities. We have awarded both company-based and market-based PVRSU’s under our Employee Plan. Our company-based PVRSU’s are valued on the date of award at our underlying share price. Total compensation cost recognized for the company-based PVRSU’s depends on a performance measure, ROCE, over specified performance periods. Estimated compensation cost is determined based on numerous assumptions, including an estimate of the likelihood that our ROCE will achieve the targeted thresholds and forfeiture of the PVRSU’s based on annualized ROCE performance over the terms of the awards. Our market-based PVRSU’s are valued on the date of the grant based on an estimated fair value. These PVRSU’s are based on the Company’s achievement of a market-based objective, total shareholder return (“TSR”), relative to a peer group of companies as defined in the award agreement. Estimated fair value is determined based on numerous assumptions, including an estimate of the likelihood that our stock price performance will achieve the targeted thresholds and the expected forfeiture rate. The fair value is calculated using a Monte Carlo simulation model.
Foreign Currency Translation	We define foreign currency as any non-U.S. denominated currency. In non-U.S. locations where the U.S. dollar has been designated as the functional currency (based on an assessment of the economic circumstances of the foreign operation), local currency transaction gains and losses are included in net income. In non-U.S. locations where the local currency is the functional currency, assets and liabilities are translated at the rates of exchange on the balance sheet date, while income and expense items are translated at average rates of exchange during the year. The resulting gains or losses arising from the translation of accounts from the functional currency to the U.S. dollar are included in AOCL in the accompanying Consolidated Balance Sheets.
Income Taxes	The operations of our Predecessor have been included in certain income tax returns of Noble. The income tax provisions and related deferred tax assets and liabilities that have been reflected in our Predecessor’s historical combined financial statements have been computed as if our Predecessor were a separate taxpayer using the separate return method. As a result, actual tax transactions that would not have occurred had our Predecessor been a separate entity have been eliminated in the preparation of these unaudited consolidated and combined financial statements. Income taxes of our Predecessor include results of the operations of the standard specification drilling units. In instances where the operations of the standard specification drilling units of our Predecessor were included in the filing of a return with high specification units, an allocation of income taxes was made. We operate through various subsidiaries in numerous countries throughout the world. Due to our global presence, we are subject to tax laws, policies, treaties and regulations, as well as the interpretation or enforcement thereof, in the U.K., the U.S., and any other jurisdictions in which we or any of our subsidiaries operate, were incorporated, or otherwise considered to have a tax presence. Our income tax expense is based upon our interpretation of the tax laws in effect in various countries at the time that the expense was incurred. If the taxing authorities do not agree with our assessment of the effects of such laws, policies, treaties and regulations, or the interpretation or enforcement thereof, this could have a material adverse effect on us including the imposition of a higher effective tax rate on our worldwide earnings or a reclassification of the tax impact of our significant corporate restructuring transactions. In certain jurisdictions, we have recognized deferred tax assets and liabilities. Judgment and assumptions are required in determining whether deferred tax assets will be fully or partially utilized. When we estimate that all or some portion of certain deferred tax assets such as net operating loss carryforwards will not be utilized, we establish a valuation allowance for the amount ascertained to be unrealizable. We continually evaluate strategies that could allow for future utilization of our deferred tax assets. Any change in the ability to utilize such deferred tax assets will be accounted for in the period of the event affecting the valuation allowance. If facts and circumstances cause us to change our expectations regarding future tax consequences, the resulting adjustments could have a material effect on our financial results or cash flow. In certain circumstances, we expect that, due to changing demands of the offshore drilling markets and the ability to redeploy our offshore drilling units, certain units will not reside in a location long enough to give rise to future tax consequences. As a result, no deferred tax asset or liability has been recognized in these circumstances. Should our expectations change regarding the length of time an offshore drilling unit will be used in a given location, we will adjust deferred taxes accordingly.
Earnings/Loss Per Share	Our unvested share-based payment awards, which contain non-forfeitable rights to dividends, are participating securities and are included in the computation of earnings per share pursuant to the “two-class” method. The “two-class” method allocates undistributed earnings between ordinary shares and participating securities; however, in a period of net loss, losses are not allocated to our participating securities. The diluted earnings per share calculation under the “two-class” method would also include the dilutive effect of potential shares issued in connection with stock options. The dilutive effect of stock options would be determined using the treasury stock method. The diluted earnings per share calculation under the two class method is the same as our basic earnings per share calculation since we currently have no stock options or other potentially dilutive securities outstanding.
Reclassifications	Certain amounts in prior periods have been reclassified to conform to the current year presentation.

Acquisition (Tables)

Acquisition (Tables)	12 Months Ended
	Dec. 31, 2015
Business Combinations [Abstract]
Schedule of Recognized Identified Assets Acquired and Liabilities Assumed	The following table summarizes our final allocation of the purchase price to the estimated fair values of the assets acquired and liabilities assumed on the acquisition date of November 17, 2014: (In thousands) Fair Value ASSETS Current assets Accounts receivable $ 26,169 Restricted cash 5,023 Prepaid and other current assets 17,967 Total current assets 49,159 Property and equipment 516,979 Goodwill 13,290 Other assets 25,520 Total assets acquired $ 604,948 LIABILITIES Current liabilities Current maturities of long-term debt $ 32,970 Accounts payable 16,227 Accrued payroll and related costs 3,754 Taxes payable 4,378 Interest payable 6,466 Other current liabilities 19,120 Total current liabilities 82,915 Long-term debt 333,697 Other liabilities 456 Total liabilities assumed $ 417,068 Accumulated other comprehensive loss (40 ) Non-controlling interest 11,351 Purchase price, net of cash acquired $ 176,569
Business Acquisition, Pro Forma Information	The following unaudited pro forma financial information for the years ended December 31, 2014 and 2013, gives effect to the Prospector acquisition as if it had occurred at the beginning of the periods presented. The pro forma financial information for the year ended December 31, 2014 includes pro forma results for the period prior to the closing date of November 17, 2014 and actual results for the period from November 17, 2014 through December 31, 2014. The pro forma results are based on historical data and were not intended to be indicative of the results of future operations. (In thousands, except per share amounts) 2014 2013 Total operating revenues $ 2,036,218 $ 1,897,202 Net income (loss) (702,607 ) 344,255 Net income (loss) to Paragon Offshore (701,800 ) 344,470 Income (loss) per share (basic and diluted) $ (8.28 ) $ 4.06

Share-Based Compensation (Table

Share-Based Compensation (Tables)	12 Months Ended
	Dec. 31, 2015
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Shares Available for Issuance and Outstanding Restricted Stock Units	Shares available for issuance and outstanding restricted stock units under our two equity incentive plans as of December 31, 2015 are as follows: (excluding the impact of cash-settled awards): (In shares) Employee Plan Director Plan Shares available for future awards or grants 4,762,716 465,429 Outstanding unvested restricted stock units 6,067,406 606,935
Schedule of Share-based Payment Award, Equity Instruments Other Than Options, Valuation Assumptions	The assumptions used to value these market-based PVRSU’s include risk-free interest rates and historical volatility of the trading price of the Company’s common shares over a time period commensurate with the remaining term prior to vesting, as follows: Valuation assumptions: 2015 Expected volatility 34.0 % Risk-free interest rate 1.07 %
Summary of Restricted Stock Activity	A summary of restricted stock activity for the years ended December 31, 2015 and 2014 is as follows: TVRSU’s Outstanding (1) Weighted Average Award-Date Fair Value CS-TVRSU’s Outstanding Share Price (2) PVRSU’s Outstanding (3) Weighted Average Award-Date Fair Value Outstanding at December 31, 2014 3,753,766 $ 10.54 — 261,746 $ 11.00 Awarded 4,117,919 2.49 3,408,844 587,738 2.78 Vested (1,627,403 ) 9.40 — — — Forfeited (419,425 ) 8.09 (761,279 ) — — Outstanding at December 31, 2015 5,824,857 $ 5.34 2,647,565 $ 0.09 849,484 $ 5.31 (1) This column includes 606,935 shares outstanding at December 31, 2015 that were granted under our Director Plan and are recorded as a liability valued at the end of each reporting period at our underlying share price recognized over the service period. (2) The share price represents the closing price of our shares on December 31, 2015 at which both our CS-TVRSU’s and TVRSU’s granted under our Director Plan are measured. (3) The number of PVRSU’s shown equals the units that would vest if the “maximum” level of performance is achieved. The minimum number of units is zero and the “target” level of performance is 50% of the amounts shown.

Earnings_Loss Per Share (Tables

Earnings/Loss Per Share (Tables)	12 Months Ended
	Dec. 31, 2015
Earnings Per Share [Abstract]
Schedule of Earnings Per Share, Basic and Diluted	The following table includes the computation of basic and diluted net income (loss) and earnings (loss) per share: Year Ended December 31, (In thousands, except per share amounts) 2015 2014 2013 Allocation of income (loss) - basic and diluted Net income (loss) attributable to Paragon $ (999,643 ) $ (646,746 ) $ 360,305 Earnings allocated to unvested share-based payment awards — — — Net income (loss) to ordinary shareholders - Basic and diluted $ (999,643 ) $ (646,746 ) $ 360,305 Weighted average shares outstanding Basic and diluted 85,785 84,753 84,753 Weighted average unvested share-based payment awards 6,197 1,761 — Earnings (loss) per share Basic and diluted $ (11.65 ) $ (7.63 ) $ 4.25

Debt (Tables)

Debt (Tables)	12 Months Ended
	Dec. 31, 2015
Debt Disclosure [Abstract]
Schedule of Long-term Debt	A summary of long-term debt at December 31, 2015 and 2014 is as follows: December 31, (In thousands) 2015 2014 Revolving Credit Facility $ 708,500 $ 154,000 Term Loan Facility, bearing interest at 3.75%, net of unamortized discount 639,321 645,357 Senior Notes due 2022, bearing fixed interest at 6.75% per annum 456,572 457,572 Senior Notes due 2024, bearing fixed interest at 7.25% per annum 527,010 537,010 Sale-Leaseback Transaction 268,688 — Prospector 2019 Second Lien Callable Bond — 101,000 Prospector 2018 Senior Secured Credit Facility — 265,666 Total debt 2,600,091 2,160,605 Less: Current maturities of long-term debt (40,629 ) (272,166 ) Long-term debt $ 2,559,462 $ 1,888,439
Schedule of Future Minimum Lease Payments for Capital Leases	The following table includes our minimum annual rental payments using weighted-average effective interest rates of 5.2% for the Prospector 1 and 7.5% for the Prospector 5 . (In millions) 2016 2017 2018 2019 2020 Total Minimum annual rental payments $ 51 $ 41 $ 33 $ 31 $ 175 $ 331

Income Taxes (Tables)

Income Taxes (Tables)	12 Months Ended
	Dec. 31, 2015
Income Tax Disclosure [Abstract]
Schedule of Income before Income Tax, Domestic and Foreign	Income before income taxes consists of the following: Year Ended December 31, (In thousands) 2015 2014 2013 United States $ (456,093 ) $ 70,949 $ 114,314 Non-U.S. (615,627 ) (648,360 ) 331,596 Total $ (1,071,720 ) $ (577,411 ) $ 445,910
Schedule of Components of Income Tax Expense (Benefit)	The income tax provision/benefit consists of the following: Year Ended December 31, (In thousands) 2015 2014 2013 Current - United States $ (17,354 ) $ 45,754 $ 20,732 Current - Non-U.S. 7,116 43,115 55,691 Deferred - United States (66,583 ) (30,391 ) 13,425 Deferred - Non-U.S. 4,713 10,916 (4,243 ) Total $ (72,108 ) $ 69,394 $ 85,605
Schedule of Effective Income Tax Rate Reconciliation	A reconciliation of the U.K. statutory tax rate to our effective rate is shown below: Year Ended December 31, 2015 2014 2013 U.K. statutory income tax rate 20.3 % 21.5 % 23.3 % Tax rates which are different from the U.K. rate (4.8 )% (36.8 )% (5.9 )% Tax effect of asset impairment 1.8 % 4.3 % — % Change in valuation allowance (11.1 )% — % 2.0 % Adjustments to uncertain tax positions 0.5 % (1.0 )% (0.2 )% Total 6.7 % (12.0 )% 19.2 %
Schedule of Deferred Tax Assets and Liabilities	The components of the net deferred taxes are as follows: (In thousands) 2015 2014 Deferred tax assets Deferred loss on asset dispositions $ 102,382 $ — Accrued expenses not currently deductible 18,922 3,556 Net operating losses 17,901 22,645 Excess of tax basis over book basis of Property and Equipment 7,575 — Bad debt 6,118 — Other 7,152 — Deferred tax assets 160,050 26,201 Less: Valuation allowance (118,768 ) — Net deferred tax assets 41,282 26,201 Deferred tax liabilities Excess of net book basis over remaining tax basis of Property and equipment (11,385 ) (58,844 ) Deferred taxes on unremitted earnings (6,043 ) (6,043 ) Contract market valuation (3,567 ) (5,434 ) Other (2,421 ) (838 ) Deferred tax liabilities (23,416 ) (71,159 ) Net deferred tax asset (liabilities) $ 17,866 $ (44,958 )
Schedule of Unrecognized Tax Benefits Roll Forward	The following is a reconciliation of the liabilities related to our unrecognized tax benefits, excluding interest and penalties: (In thousands) 2015 2014 2013 Gross balance at January 1, $ 29,679 $ 32,336 $ 37,969 Additions based on tax positions related to the current year — 4,442 532 Additions for tax positions of prior years 1,056 1,424 4,599 Reductions for tax positions of prior years (4,966 ) (7,298 ) (214 ) Expiration of statutes (221 ) (1,225 ) (2,712 ) Tax settlements (15,122 ) — (7,838 ) Gross balance at December 31, 10,426 29,679 32,336 Related tax benefits — — (1,983 ) Net balance at December 31, $ 10,426 $ 29,679 $ 30,353
Liability For Uncertain Tax Positions	The liabilities related to our unrecognized tax benefits comprise the following: (In thousands) 2015 2014 Unrecognized tax benefits, excluding interest and penalties $ 10,426 $ 29,679 Interest and penalties included in “ Other liabilities ” 8,079 10,517 Unrecognized tax benefits, including interest and penalties $ 18,505 $ 40,196

Employee Benefit Plans (Tables)

Employee Benefit Plans (Tables)	12 Months Ended
	Dec. 31, 2015
Compensation and Retirement Disclosure [Abstract]
Schedule of Changes in Projected Benefit Obligations	A reconciliation of the changes in projected benefit obligations ( “ PBO ” ) for our pension plans is as follows: Year Ended December 31, (In thousands) 2015 2014 Benefit obligation at beginning of year $ 124,362 $ 95,101 Service cost 5,375 4,819 Interest cost 1,946 2,601 Actuarial loss (gain) (2,163 ) 39,499 Amendments — (139 ) Benefits paid (1,184 ) (1,240 ) Plan participants’ contribution 641 512 Foreign exchange rate changes (12,909 ) (14,806 ) Other: curtailment — (1,985 ) Benefit obligation at end of year $ 116,068 $ 124,362
Schedule of Changes in Fair Value of Plan Assets	A reconciliation of the changes in fair value of plan assets is as follows: Year Ended December 31, (In thousands) 2015 2014 Fair value of plan assets at beginning of year $ 125,591 $ 97,453 Actual return on plan assets (1,790 ) 38,252 Employer contribution 4,868 6,565 Benefits paid (813 ) (833 ) Plan participants’ contributions 635 512 Expenses paid (371 ) (407 ) Foreign exchange rate changes (12,955 ) (15,951 ) Fair value of plan assets at end of year $ 115,165 $ 125,591
Schedule of Net Funded Status	The funded status of the plans is as follows: Year Ended December 31, (In thousands) 2015 2014 Funded status $ (903 ) $ 1,229
Schedule of Amounts Recognized in Balance Sheet	Amounts recognized in the Consolidated Balance Sheets consist of: Year Ended December 31, (In thousands) 2015 2014 Other assets - noncurrent $ 938 $ 1,229 Other liability - noncurrent (1,841 ) — Net pension asset (liability) (903 ) 1,229 Accumulated other comprehensive loss recognized in financial statements 20,351 22,911 Net amount recognized $ 19,448 $ 24,140
Schedule of Amounts Recognized in Other Comprehensive Income (Loss)	Amounts recognized in AOCL consist of: Year Ended December 31, (In thousands) 2015 2014 Net gain (loss) $ (21,327 ) $ (21,924 ) Prior service (cost) credit 239 (2,048 ) Amortization of net actuarial gain (loss) 755 1,077 Amortization of prior service (cost) credit (18 ) (16 ) Accumulated other comprehensive loss $ (20,351 ) $ (22,911 )
Schedule of Net Benefit Costs	Pension cost includes the following components: Year Ended December 31, (In thousands) 2015 2014 Service cost $ 5,375 $ 4,819 Interest cost 1,946 2,601 Expected return on plan assets (1,773 ) (2,625 ) Amortization of prior service cost (18 ) (16 ) Amortization net actuarial loss (gain) 755 1,077 Net curtailment (gain) — (66 ) Net pension expense $ 6,285 $ 5,790
Schedule of Accumulated and Projected Benefit Obligations	Disaggregated information regarding our pension plans is summarized below: Year Ended December 31, (In thousands) 2015 2014 Projected benefit obligation $ 116,068 $ 124,362 Accumulated benefit obligation 111,366 119,632 Fair value of plan assets 115,165 125,591
Schedule of Assumptions Used	The key assumptions for the plans are summarized below: Year Ended December 31, Weighted Average Assumptions Used to Determine Benefit Obligations 2015 2014 Discount rate 2.6% to 2.9% 2.3% to 2.4% Rate of compensation increase 3.6 % 3.6 % Year Ended December 31, Weighted Average Assumptions Used to Determine Net Periodic Benefit Cost 2015 2014 Discount rate 2.6% to 2.9% 2.7% to 3.9% Expected long-term return on plan assets 1.3 % 2.7% to 2.8% Rate of compensation increase 3.6 % 3.6 %
Schedule of Allocation of Plan Assets	The actual fair value of our pension plans as of December 31, 2015 and 2014 is as follows: Estimated Fair Value Measurements (In thousands) Carrying Amount Quoted Significant Other Observable Inputs Significant Unobservable December 31, 2015 Fixed Income securities: Corporate Bonds $ 28,228 $ — $ 28,228 $ — Other 86,937 — — 86,937 Total $ 115,165 $ — $ 28,228 $ 86,937 December 31, 2014 Fixed Income securities: Corporate Bonds $ 32,476 $ — $ 32,476 $ — Other 93,115 — — 93,115 Total $ 125,591 $ — $ 32,476 $ 93,115
Schedule of Effect of Significant Unobservable Inputs, Changes in Plan Assets	The following table details the activity related to these investments during the year. Market Value Balance as of December 31, 2013 $ 68,280 Assets sold/benefits paid (735 ) Return on plan assets 25,570 Balance as of December 31, 2014 93,115 Assets sold/benefits paid $ (791 ) Return on plan assets (5,387 ) Balance at December 31, 2015 $ 86,937
Schedule of Expected Benefit Payments	The following table summarizes our benefit payments at December 31, 2015 estimated to be paid within the next ten years: Payments by Period Total 2016 2017 2018 2019 2020 Five Years Thereafter Estimated benefit payments $ 19,209 891 1,047 1,247 1,451 1,651 12,922

Fair Value of Financial Instr35

Fair Value of Financial Instruments (Tables)	12 Months Ended
	Dec. 31, 2015
Fair Value Disclosures [Abstract]
Schedule of Carrying Values and Estimated Fair Values of Debt Instruments	The following table presents the estimated fair value of our Senior Notes, Term Loan Facility and Prospector Bonds as of December 31, 2015 and 2014 , respectively: December 31, 2015 December 31, 2014 (In thousands) Carrying Value Estimated Fair Value Carrying Value Estimated Fair Value 6.75% Senior Notes due July 15, 2022 $ 456,572 $ 65,062 $ 457,572 $ 275,115 7.25% Senior Notes due August 15, 2024 527,010 75,099 537,010 319,521 Total senior unsecured notes $ 983,582 $ 140,161 $ 994,582 $ 594,636 Term Loan Facility, bearing interest at 3.75%, excluding unamortized discount of $2,554 and $3,018 for December 31, 2015 and December 31, 2014, respectively $ 641,875 $ 235,889 $ 648,375 $ 523,250 Prospector 2019 Second Lien Callable Bond $ — $ — $ 101,000 $ 101,000

Accumulated Other Comprehensi36

Accumulated Other Comprehensive Loss (Tables)	12 Months Ended
	Dec. 31, 2015
Equity [Abstract]
Schedule of Accumulated Other Comprehensive Income (Loss)	The following table includes the components of AOCL for the years ended December 31, 2015 , 2014 and 2013 and changes in AOCL by component for the years ended December 31, 2015 and 2014 . All accounts within the tables are shown net of tax. (In thousands) Gains / (Losses) on Cash Flow Hedges (1) Defined Benefit Pension Items (2) Foreign Currency Items Total Balance at December 31, 2013 $ — $ — $ (6 ) $ (6 ) Activity during period: AOCL recorded in connection with Spin-Off 4,027 (21,770 ) (12,706 ) (30,449 ) Other comprehensive loss before reclassification (4,041 ) — (1,481 ) (5,522 ) Amounts reclassified from AOCL 14 (1,141 ) — (1,127 ) AOCL recorded in connection with Prospector Acquisition — — (40 ) (40 ) Net other comprehensive income (loss) — (22,911 ) (14,227 ) (37,138 ) Balance at December 31, 2014 $ — $ (22,911 ) $ (14,233 ) $ (37,144 ) Activity during period: Other comprehensive loss before reclassification — 1,823 (7,430 ) (5,607 ) Amounts reclassified from AOCL — 737 — 737 Net other comprehensive income (loss) — 2,560 (7,430 ) (4,870 ) Balance at December 31, 2015 $ — $ (20,351 ) $ (21,663 ) $ (42,014 ) (1) Gains / (losses) on cash flow hedges are related to our foreign currency forward contracts. Reclassifications from AOCL are recognized through “Contract drilling services operating costs and expenses” on our Consolidated and Combined Statements of Operations. See Note 12 - “Derivative Instruments and Hedging Activities” for additional information. (2) Defined benefit pension items relate to actuarial losses, prior service credits, and the amortization of actuarial losses and prior service credits. Reclassifications from AOCL are recognized as expense on our Consolidated and Combined Statements of Operations through either “Contract drilling services” or “General and administrative for the year ended December 31, 2015 , see Note 11 - “Employee Benefit Plans” for additional information.

Commitments and Contingencies (

Commitments and Contingencies (Tables)	12 Months Ended
	Dec. 31, 2015
Commitments and Contingencies Disclosure [Abstract]
Schedule of Future Minimum Lease Payments for Operating Leases	Future minimum lease payments for operating leases for years ending December 31 are as follows: (in thousands) 2016 2017 2018 2019 2020 Thereafter Total Minimum lease payments $ 8,479 $ 4,218 $ 2,859 $ 2,328 $ 1,959 $ 1,923 $ 21,766
Schedule of Related Party Transactions	Pursuant to these agreements with Noble, our Consolidated Balance Sheets include the following balances due from and to Noble as of December 31, 2015 and 2014 : December 31, (In thousands) 2015 2014 Accounts receivable $ 22,695 $ 15,716 Other current assets 3,032 26,386 Other assets 6,686 6,875 Due from Noble $ 32,413 $ 48,977 Accounts payable $ 211 $ 1,655 Other current liabilities 6,067 51,169 Other liabilities 3,268 23,563 Due to Noble $ 9,546 $ 76,387

Supplemental Cash Flow Inform38

Supplemental Cash Flow Information (Tables)	12 Months Ended
	Dec. 31, 2015
Supplemental Cash Flow Elements [Abstract]
Effect of Changes in Other Assets and Liabilities on Cash Flows from Operating Activities	The net effect of changes in other assets and liabilities on cash flows from operating activities is as follows: Year Ended December 31, (In thousands) 2015 2014 2013 Accounts receivable $ 233,812 $ (178,108 ) $ (34,582 ) Other current assets (5,383 ) 42,922 22,181 Other assets (479 ) (33,637 ) 16,451 Accounts payable (57,246 ) 25,890 8,530 Other current liabilities (132,195 ) 14,273 18,645 Other liabilities (51,790 ) (29,514 ) (16,385 ) Net change in other assets and liabilities $ (13,281 ) $ (158,174 ) $ 14,840
Additional Cash Flow Information	Additional cash flow information is as follows: Year Ended December 31, (In thousands) 2015 2014 2013 Cash paid during the period for: Interest $ 124,763 $ 21,109 $ 5,791 U.S. and Non-U.S. income taxes 66,657 85,248 76,423 Supplemental information for non-cash activities: Assets related to Sale-Leaseback Transaction $ 465,043 $ — $ — Adjustments to distributions by former parent 9,493 — — Accrued capital expenditures 10,305 24,003 — Transfer from parent of property and equipment — 18,124 16,057

Segment and Related Informati39

Segment and Related Information (Tables)	12 Months Ended
	Dec. 31, 2015
Segment Reporting [Abstract]
Schedule of Revenue from External Customers and Long-Lived Assets, by Geographical Areas	The following table presents revenues and identifiable assets by country based on the location of the service provided: Revenues Identifiable Assets Year Ended December 31, As of December 31, (In thousands) 2015 2014 2013 2015 2014 Country: Brazil $ 368,502 $ 488,884 $ 312,287 $ 169,626 $ 1,821,017 United Kingdom 305,499 193,908 245,789 1,122,653 85,638 The Netherlands 242,128 284,651 179,768 252,686 163,153 United Arab Emirates 135,747 139,318 108,256 229,351 219,711 Mexico 133,970 326,352 367,732 183,944 459,975 India 71,743 79,201 103,282 102,054 131,431 Cameroon 70,901 35,224 55,803 100,828 95,036 Qatar 36,234 94,320 139,891 25,844 93,625 USA 340 85,060 117,951 158,146 91,921 Nigeria — — 107,750 6,697 11,281 Other 127,364 266,844 154,493 32,036 80,601 $ 1,492,428 $ 1,993,762 $ 1,893,002 $ 2,383,865 $ 3,253,389

Unaudited Interim Financial D40

Unaudited Interim Financial Data (Tables)	12 Months Ended
	Dec. 31, 2015
Quarterly Financial Information Disclosure [Abstract]
Summarized Quarterly Results	Summarized quarterly results for years ended December 31, 2015 and 2014 are as follows: Quarter Ended (In thousands, except per share amounts) March 31 June 30 September 30 December 31 2015 Operating revenues $ 430,648 $ 393,244 $ 368,973 $ 299,563 Operating income (loss) 95,653 57,727 (1,105,344 ) 10,590 Net income (loss) attributable to Paragon Offshore 61,127 47,331 (1,084,838 ) (23,263 ) (2) Earnings (loss) per share - basic and diluted (1) 0.69 0.51 (12.46 ) (0.27 ) (2) 2014 Operating revenues $ 514,590 $ 478,957 $ 505,222 $ 494,993 Operating income (loss) 147,461 119,972 (796,421 ) 4,311 Net income (loss) attributable to Paragon Offshore 124,566 95,045 (869,160 ) 2,744 Earnings (loss) per share - basic and diluted (1) $ 1.47 $ 1.12 $ (10.26 ) $ 0.03 (1) Earnings (loss) per share is computed independently for each of the quarters presented. Therefore, the sum of the quarters’ net income per share may not equal the total computed for the year. (2) Certain corrections of errors related to overaccrual of expenses for prior periods, and having net positive impacts of approximately $10.2 million to net income, were recorded during the three months ended December 31, 2015. We consider these errors to be immaterial to 2015 and all prior periods.

Organization, Current Events 41

Organization, Current Events and Basis of Presentation Organization, Current Events and Basis of Presentation (Details) $ in Billions	Aug. 01, 2014	Dec. 31, 2015USD ($)rig
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Number of jackups		34
Number of heavy duty jackups		2
Number of drillships		4
Number of semisubmersibles		2
Contract backlog | $		$ 1
Ratio of Paragon shares received per share of Noble	0.3333

Organization, Current Events 42

Organization, Current Events and Basis of Presentation - Additional Information (Details)

1 Months Ended

3 Months Ended

12 Months Ended

Sep. 30, 2015rig

May. 31, 2015rig

Mar. 31, 2015USD ($)

Dec. 31, 2017USD ($)

Dec. 31, 2016USD ($)

Dec. 31, 2015USD ($)rig

Dec. 31, 2014USD ($)

Dec. 31, 2013USD ($)

Feb. 12, 2016USD ($)

Jan. 15, 2016

Jul. 31, 2014rig

Jul. 18, 2014

Loss Contingencies [Line Items]

Long-term debt

$ 2,600,091,000

$ 2,160,605,000

Number of jackups | rig

34

Number of drillships | rig

4

Basis of Presentation

Number of drilling units retained by Predecessor, included in historical financial statements | rig

3

Number of drilling units sold by Predecessor, included in historical financial statements | rig

3

Adjustments to distributions by former parent

$ 9,000,000

$ 9,493,000

0

$ 0

Minimum

Loss Contingencies [Line Items]

Reduction in exploration and development capital expenditures by customers

20.00%

Maximum

Loss Contingencies [Line Items]

Reduction in exploration and development capital expenditures by customers

25.00%

Tax Assessments | Mexican Tax Assessments

Loss Contingencies [Line Items]

Estimate of loss

$ 200,000,000

Percentage of predecessor tax liability

50.00%

Contract Cancellation

Loss Contingencies [Line Items]

Estimate of loss

$ 142,000,000

Number of jackups | rig

3

Number of drillships | rig

1

2

Contract termination period

30 days

Senior Notes | 6.75% Senior Notes due July 15, 2022

Loss Contingencies [Line Items]

Long-term debt

$ 456,572,000

$ 457,572,000

Stated interest rate

6.75%

6.75%

6.75%

Senior Notes | 7.25% Senior Notes due August 15, 2024

Loss Contingencies [Line Items]

Long-term debt

$ 527,010,000

$ 537,010,000

Stated interest rate

7.25%

7.25%

7.25%

Line of Credit | Acquired Senior Credit Facility

Loss Contingencies [Line Items]

Long-term debt

$ 0

$ 265,666,000

Forecast

Loss Contingencies [Line Items]

Pro rata share of ownership, as a percent

35.00%

Deferred cash payment, EBITDA equals or exceeds $209 million

$ 20,000,000

Deferred cash payment, EBITDA equals or exceeds $248 million, less than $276 million

$ 15,000,000

Deferred cash payment, EBITDA equals or exceeds $276 million

$ 30,000,000

Percentage of shareholder ownership after reorganization

65.00%

Forecast | Senior Notes

Loss Contingencies [Line Items]

Permanent reduction and repayment of debt

$ 345,000,000

Forecast | Line of Credit | Acquired Senior Credit Facility

Loss Contingencies [Line Items]

Permanent reduction and repayment of debt

165,000,000

Forecast | Term Loan | Term Loan Due 2021

Loss Contingencies [Line Items]

Liquidity covenant

110,000,000

Liquidity covenant minimum for grace period

$ 95,000,000

Forecast | Term Loan | LIBOR | Term Loan Due 2021

Loss Contingencies [Line Items]

Interest rate on borrowings outstanding

4.50%

LIBOR floor, percentage rate

1.00%

Subsequent Event | Senior Notes

Loss Contingencies [Line Items]

Percentage of borrowings outstanding

77.00%

Subsequent Event | Senior Notes | 6.75% Senior Notes due July 15, 2022

Loss Contingencies [Line Items]

Long-term debt

$ 457,000,000

Stated interest rate

6.75%

6.75%

Subsequent Event | Senior Notes | 7.25% Senior Notes due August 15, 2024

Loss Contingencies [Line Items]

Long-term debt

$ 527,000,000

Stated interest rate

7.25%

Subsequent Event | Line of Credit | Acquired Senior Credit Facility

Loss Contingencies [Line Items]

Percentage of borrowings outstanding

96.00%

Accounts payable | Noble Corporation PLC

Debt Instrument [Line Items]

Due to Noble, current

$ 211,000

$ 1,655,000

New Accounting Pronouncements (

New Accounting Pronouncements (Details) - USD ($) $ in Thousands	Dec. 31, 2015	Dec. 31, 2014
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Long-term debt	$ (2,600,091)	$ (2,160,605)
Accounting Standards Update 2015-03
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Long-term assets	20,000
Long-term debt	$ 20,000

Summary of Significant Accoun44

Summary of Significant Accounting Policies - Restricted Cash (Details) $ in Millions	12 Months Ended
	Dec. 31, 2015USD ($)account
Restricted Cash and Cash Equivalents Items [Line Items]
Number of cash reserve accounts required to maintain under terms of lease agreements | account	2
Minimum
Restricted Cash and Cash Equivalents Items [Line Items]
Capital expenditure reserve, survey period	3 years
Maximum
Restricted Cash and Cash Equivalents Items [Line Items]
Capital expenditure reserve, survey period	5 years
Other assets
Restricted Cash and Cash Equivalents Items [Line Items]
Restricted cash and cash equivalents | $	$ 25

Summary of Significant Accoun45

Summary of Significant Accounting Policies - Allowance for Doubtful Accounts (Details) - USD ($)	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Financing Receivable, Allowance for Credit Losses [Line Items]
Allowance for doubtful accounts	$ 44,000,000	$ 1,000,000
Bad debt expense	39,239,000	0	$ 0
Contract Drilling Services Operating Costs and Expenses
Financing Receivable, Allowance for Credit Losses [Line Items]
Bad debt expense	$ 38,000,000	$ 100,000	$ 0

Summary of Significant Accoun46

Summary of Significant Accounting Policies - Property and Equipment, at Cost (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Property, Plant and Equipment [Line Items]
Capital accruals included in accounts payable	$ 10,000	$ 24,000
Overhauls and asset replacement projects costs	$ 1,111,098	2,410,360
Drilling Equipment | Minimum
Property, Plant and Equipment [Line Items]
Useful life for property, plant and equipment	3 years
Drilling Equipment | Maximum
Property, Plant and Equipment [Line Items]
Useful life for property, plant and equipment	30 years
Other Property and Equipment | Minimum
Property, Plant and Equipment [Line Items]
Useful life for property, plant and equipment	2 years
Other Property and Equipment | Maximum
Property, Plant and Equipment [Line Items]
Useful life for property, plant and equipment	25 years
Overhauls and Asset Replacement Projects
Property, Plant and Equipment [Line Items]
Overhauls and asset replacement projects costs	$ 108,000	193,000
Depreciation	$ 84,000	$ 85,000	$ 76,000
Overhauls and Asset Replacement Projects | Minimum
Property, Plant and Equipment [Line Items]
Useful life for property, plant and equipment	3 years
Overhauls and Asset Replacement Projects | Maximum
Property, Plant and Equipment [Line Items]
Useful life for property, plant and equipment	5 years

Summary of Significant Accoun47

Summary of Significant Accounting Policies - Revenue Recognition (Details) - USD ($) $ in Millions	Dec. 31, 2015	Dec. 31, 2014
Other Current Liabilities and Other Noncurrent Liabilities
Revenue Recognition, Milestone Method [Line Items]
Deferred revenue under drilling contracts	$ 9	$ 9
Prepaid and Other Current Assets and Noncurrent Other Assets
Revenue Recognition, Milestone Method [Line Items]
Deferred expenses under drilling contracts	$ 6	$ 2

Acquisition - Additional Inform

Acquisition - Additional Information (Details) shares in Millions	Mar. 26, 2015USD ($)	Mar. 16, 2015USD ($)	Nov. 17, 2014USD ($)rig	Nov. 14, 2014	Jan. 31, 2015USD ($)	Dec. 31, 2014USD ($)	Mar. 31, 2015USD ($)	Feb. 23, 2015USD ($)	Dec. 31, 2015USD ($)subsidiaryrig	Dec. 31, 2014USD ($)shares	Dec. 31, 2013USD ($)	Jan. 22, 2015
Business Acquisition [Line Items]
Goodwill									$ 0
Contract drilling services									1,368,731,000	$ 1,866,497,000	$ 1,807,952,000
Operating costs and expenses									2,433,802,000	2,518,439,000	1,439,257,000
Loss on impairments									$ 1,181,358,000	$ 1,059,487,000	43,688,000
Prospector Offshore Drilling S.A.
Business Acquisition [Line Items]
Number of Prospector subsidiaries contracting to build jackups | subsidiary									3
Prospector Offshore Drilling S.A.
Business Acquisition [Line Items]
Prospector shares owned (in shares) | shares										93.4
Ownership percentage following additional purchase of shares						98.70%		100.00%		98.70%		99.60%
Debt outstanding			$ 367,000,000
Cash consideration paid								$ 202,000,000
Number of jackups owned and operated by Prospector | rig			2
Number of jackups under construction | rig									3
Goodwill			$ 13,290,000
Weighted average life of contracts				2 years 6 months
Revenues from the Prospector rigs since acquisition date						$ 8,000,000
Operating expenses since acquisition date						$ 8,000,000
Contract drilling services									$ 143,000,000
Operating costs and expenses									143,000,000
Depreciation									19,000,000
Loss on impairments									43,000,000
Prospector Offshore Drilling S.A. | Contract Drilling Services
Business Acquisition [Line Items]
Acquisition costs										$ 4,000,000
Callable Bond
Business Acquisition [Line Items]
Repayment of Prospector debt									101,000,000	0	0
Line of Credit
Business Acquisition [Line Items]
Repayment of Prospector debt									$ 265,666,000	$ 0	$ 0
Acquired Bonds | Callable Bond | Prospector Offshore Drilling S.A.
Business Acquisition [Line Items]
Repayment of Prospector debt	$ 400,000				$ 99,600,000		$ 100,000,000
Debt outstanding			100,000,000
Percentage of principal amount redeemed					101.00%		101.00%
Acquired Senior Credit Facility | Line of Credit | Prospector Offshore Drilling S.A.
Business Acquisition [Line Items]
Maximum amount available under credit facility			270,000,000
Outstanding revolving credit facility			$ 266,000,000
Extinguishment of debt		$ 261,000,000

Acquisition - Allocation of Pur

Acquisition - Allocation of Purchase Price to the Estimated Fair Values of the Assets Acquired and Liabilities Assumed (Details) - USD ($)	Nov. 17, 2014	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Current assets
Goodwill		$ 0
Current liabilities
Purchase price, net of cash acquired		$ 0	$ 176,569,000	$ 0
Prospector Offshore Drilling S.A.
Current assets
Accounts receivable	$ 26,169,000
Restricted cash	5,023,000
Prepaid and other current assets	17,967,000
Total current assets	49,159,000
Property and equipment	516,979,000
Goodwill	13,290,000
Other assets	25,520,000
Total assets acquired	604,948,000
Current liabilities
Current maturities of long-term debt	32,970,000
Accounts payable	16,227,000
Accrued payroll and related costs	3,754,000
Taxes payable	4,378,000
Interest payable	6,466,000
Other current liabilities	19,120,000
Total current liabilities	82,915,000
Long-term debt	333,697,000
Other liabilities	456,000
Total liabilities assumed	417,068,000
Accumulated other comprehensive loss	(40,000)
Non-controlling interest	11,351,000
Purchase price, net of cash acquired	$ 176,569,000

Acquisition - Unaudited Pro For

Acquisition - Unaudited Pro Forma Financial Information (Details) - Prospector Offshore Drilling S.A. - USD ($) $ / shares in Units, $ in Thousands	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013
Business Acquisition, Pro Forma Information [Abstract]
Total operating revenues	$ 2,036,218	$ 1,897,202
Net income (loss)	(702,607)	344,255
Net income (loss) to Paragon Offshore	$ (701,800)	$ 344,470
Earnings per share (basic) (in dollars per share)	$ (8.28)	$ 4.06
Earnings per share (diluted) (in dollars per share)	$ (8.28)	$ 4.06

Property and Equipment and Ot51

Property and Equipment and Other Assets (Details)	1 Months Ended	3 Months Ended	12 Months Ended
	Jan. 31, 2015USD ($)	Sep. 30, 2013USD ($)	Dec. 31, 2015USD ($)rig	Dec. 31, 2014USD ($)rig	Dec. 31, 2013USD ($)rig	Nov. 17, 2014USD ($)
Property, Plant and Equipment [Line Items]
Capital expenditures			$ 218,000,000	$ 260,000,000
Interest expense capitalized			$ 100,000	3,000,000
Weighted average cost of capital percentage			15.00%
Number of floater offshore drilling rigs impaired | rig			5
Number of jackup offshore drilling rigs impaired | rig			16
Loss on impairments			$ 1,181,358,000	1,059,487,000	$ 43,688,000
Number of drillships | rig			4
Goodwill impairment loss				0
Goodwill			$ 0
Gain on Disposal of Assets, net
Proceeds from sale of assets			30,816,000	6,570,000	61,000,000
Gain on sale of assets			13,217,000	0	35,646,000
Paragon M822
Gain on Disposal of Assets, net
Proceeds from sale of assets	$ 24,000,000
Gain on sale of assets	$ 17,000,000
Tangible Asset Impairment Charges
Property, Plant and Equipment [Line Items]
Goodwill impairment loss			37,000,000
Predecessor
Gain on Disposal of Assets, net
Proceeds from sale of assets		$ 61,000,000
Gain on sale of assets		$ 36,000,000
Drilling Rigs [Member]
Property, Plant and Equipment [Line Items]
Loss on impairments			$ 1,100,000,000	$ 1,100,000,000
Floating Production Storage and Offloading | Predecessor
Property, Plant and Equipment [Line Items]
Loss on impairments					40,000,000
Submersible Rigs | Predecessor
Property, Plant and Equipment [Line Items]
Loss on impairments					$ 4,000,000
Number of rigs with impairment charges | rig					2
Brazil
Property, Plant and Equipment [Line Items]
Number of drillships | rig				3
US Gulf of Mexico
Property, Plant and Equipment [Line Items]
Number of floating production storage and offloading units | rig				1
Prospector Offshore Drilling S.A.
Property, Plant and Equipment [Line Items]
Number of jackups under construction | rig			3
Loss on impairments			$ 43,000,000
Goodwill						$ 13,290,000

Share-Based Compensation - Addi

Share-Based Compensation - Additional Information (Details) - USD ($) $ in Millions	5 Months Ended	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2015
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based compensation costs	$ 8	$ 16
Time-Vested Restricted Shares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting period		3 years
Unrecognized share-based amortization		$ 17
RSU weighted-average period of recognition		1 year 7 months 14 days
Cash Settlement Time-Vested Restricted Shares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting period		3 years
Unrecognized share-based amortization		$ 0.2
RSU weighted-average period of recognition		2 years 1 month 21 days
Performance-Vested Restricted Shares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Unrecognized share-based amortization		$ 2
RSU weighted-average period of recognition		1 year 7 months 10 days

Share-Based Compensation - Shar

Share-Based Compensation - Shares Available for Issuance and Outstanding Restricted Stock Units (Details)	12 Months Ended
	Dec. 31, 2015incentive_planshares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of stock incentive plans | incentive_plan	2
Employee Plan
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares available for future awards or grants	4,762,716
Employee Plan | Restricted Stock Units (RSUs)
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Outstanding unvested restricted stock units	6,067,406
Director Plan
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares available for future awards or grants	465,429
Director Plan | Restricted Stock Units (RSUs)
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Outstanding unvested restricted stock units	606,935

Share-Based Compensation - Assu

Share-Based Compensation - Assumptions Used to Estimate Fair Value of PVRSU's (Details) - Performance-Vested Restricted Shares	12 Months Ended
	Dec. 31, 2015
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Expected volatility	34.00%
Risk-free interest rate	1.07%

Share-Based Compensation - Rest

Share-Based Compensation - Restricted Stock Activity (Details)	12 Months Ended
	Dec. 31, 2015$ / sharesshares
Time-Vested Restricted Shares
RSU's Outstanding
Outstanding at December 31, 2014 (in shares)	3,753,766
Awarded (in shares)	4,117,919
Vested (in shares)	(1,627,403)
Forfeited (in shares)	(419,425)
Outstanding at December 31, 2015 (in shares)	5,824,857
Weighted Average Award-Date Fair Value
Outstanding at December 31, 2014 (in dollars per share) | $ / shares	$ 10.54
Awarded (in dollars per share) | $ / shares	2.49
Vested (in dollars per share) | $ / shares	9.40
Forfeited (in dollars per share) | $ / shares	8.09
Outstanding at December 31, 2015 (in dollars per share) | $ / shares	$ 5.34
Cash Settlement Time-Vested Restricted Shares
RSU's Outstanding
Outstanding at December 31, 2014 (in shares)	0
Awarded (in shares)	3,408,844
Vested (in shares)	0
Forfeited (in shares)	(761,279)
Outstanding at December 31, 2015 (in shares)	2,647,565
Weighted Average Award-Date Fair Value
Share Price | $ / shares	$ 0.09
Restricted Stock Units (RSUs) | Director Plan
RSU's Outstanding
Outstanding at December 31, 2015 (in shares)	606,935
Performance-Vested Restricted Shares
RSU's Outstanding
Outstanding at December 31, 2014 (in shares)	261,746
Awarded (in shares)	587,738
Vested (in shares)	0
Forfeited (in shares)	0
Outstanding at December 31, 2015 (in shares)	849,484
Weighted Average Award-Date Fair Value
Outstanding at December 31, 2014 (in dollars per share) | $ / shares	$ 11
Awarded (in dollars per share) | $ / shares	2.78
Vested (in dollars per share) | $ / shares	0
Forfeited (in dollars per share) | $ / shares	0
Outstanding at December 31, 2015 (in dollars per share) | $ / shares	$ 5.31
Minimum number of performance vested shares	0
Target level of performance	50.00%

Earnings_Loss Per Share - Addit

Earnings/Loss Per Share - Additional Information (Details) shares in Millions	Aug. 01, 2014shares
Earnings Per Share [Abstract]
Distribution by former parent (in shares)	85

Earnings_Loss Per Share - Compu

Earnings/Loss Per Share - Computation of Basic and Diluted Net Income Per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended								12 Months Ended
	Dec. 31, 2015	Sep. 30, 2015	Jun. 30, 2015	Mar. 31, 2015	Dec. 31, 2014	Sep. 30, 2014	Jun. 30, 2014	Mar. 31, 2014	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Allocation of income (loss) - basic and diluted
Net income (loss) attributable to Paragon	$ (23,263)	$ (1,084,838)	$ 47,331	$ 61,127	$ 2,744	$ (869,160)	$ 95,045	$ 124,566	$ (999,643)	$ (646,746)	$ 360,305
Earnings allocated to unvested share-based payment awards, basic									0	0	0
Earnings allocated to unvested share-based payment awards, diluted									0	0	0
Net income (loss) to ordinary shareholders - basic									(999,643)	(646,746)	360,305
Net income (loss) to ordinary shareholders - diluted									$ (999,643)	$ (646,746)	$ 360,305
Weighted-average shares outstanding
Basic and diluted (in shares)									85,785	84,753	84,753
Weighted average unvested share-based payment awards									6,197	1,761	0
Earnings (loss) per share
Basic and diluted (in dollars per share)	$ (0.27)	$ (12.46)	$ 0.51	$ 0.69	$ 0.03	$ (10.26)	$ 1.12	$ 1.47	$ (11.65)	$ (7.63)	$ 4.25

Debt - Summary of Long-Term Deb

Debt - Summary of Long-Term Debt (Details) - USD ($) $ in Thousands	Dec. 31, 2015	Dec. 31, 2014	Jul. 18, 2014
Debt Instrument [Line Items]
Total debt	$ 2,600,091	$ 2,160,605
Less: Current maturities of long-term debt	(40,629)	(272,166)
Long-term debt	2,559,462	1,888,439
Line of Credit | Prospector 2018 Senior Secured Credit Facility
Debt Instrument [Line Items]
Total debt	0	265,666
Line of Credit | Revolving Credit Facility
Debt Instrument [Line Items]
Total debt	708,500	154,000
Secured Debt | Term Loan Facility, bearing interest at 3.75%, net of unamortized discount
Debt Instrument [Line Items]
Total debt	$ 639,321	$ 645,357
Term loan facility effective interest rate	3.75%	3.75%
Senior Notes | Senior Notes due 2022, bearing fixed interest at 6.75% per annum
Debt Instrument [Line Items]
Total debt	$ 456,572	$ 457,572
Stated interest rate	6.75%	6.75%	6.75%
Senior Notes | Senior Notes due 2024, bearing fixed interest at 7.25% per annum
Debt Instrument [Line Items]
Total debt	$ 527,010	$ 537,010
Stated interest rate	7.25%	7.25%	7.25%
Sale-Leaseback Transaction | Sale-Leaseback Transaction
Debt Instrument [Line Items]
Total debt	$ 268,688	$ 0
Callable Bond | Prospector 2019 Second Lien Callable Bond
Debt Instrument [Line Items]
Total debt	$ 0	$ 101,000

Debt - Revolving Credit Facilit

Debt - Revolving Credit Facility, Term Loan Facility and Senior Notes (Details)	Jan. 15, 2016USD ($)	Jul. 18, 2014USD ($)	Jun. 17, 2014USD ($)	Jul. 18, 2014USD ($)	Dec. 31, 2015USD ($)	Dec. 31, 2014USD ($)	Dec. 31, 2013USD ($)	Feb. 12, 2016
Debt Instrument [Line Items]
Aggregate letters of credit issued					$ 89,000,000
Debt issuance cost				$ 35,000,000
Recognized gain on debt retirement as a result of repurchase					4,345,000	$ 18,675,000	$ 0
Other assets
Debt Instrument [Line Items]
Debt issuance costs included on balance sheet					26,000,000	31,000,000
Predecessor
Debt Instrument [Line Items]
Repayments of intercompany indebtedness		$ 1,700,000,000
Line of Credit | Revolving Credit Facility
Debt Instrument [Line Items]
Maximum amount available under credit facility			$ 800,000,000
Revolving credit facility maturity period			5 years
Outstanding revolving credit facility					$ 709,000,000
Weighted-average interest rate					2.78%
Aggregate letters of credit issued					$ 89,000,000
Actual net leverage ratio					3.78
Actual interest coverage ratio					4.55
Line of Credit | Revolving Credit Facility | Minimum
Debt Instrument [Line Items]
Interest coverage ratio requirement					3
Line of Credit | Revolving Credit Facility | Maximum
Debt Instrument [Line Items]
Net leverage ratio requirement					4
Line of Credit | Revolving Credit Facility | LIBOR | Minimum
Debt Instrument [Line Items]
Reference rate margin			1.50%
Line of Credit | Revolving Credit Facility | LIBOR | Maximum
Debt Instrument [Line Items]
Reference rate margin			2.50%
Line of Credit | Revolving Credit Facility | Base Rate | Minimum
Debt Instrument [Line Items]
Reference rate margin			1.50%
Line of Credit | Revolving Credit Facility | Base Rate | Maximum
Debt Instrument [Line Items]
Reference rate margin			2.50%
Senior Notes
Debt Instrument [Line Items]
Debt outstanding		1,080,000,000		1,080,000,000
Principal amount of repurchased and cancelled Senior Notes					$ 11,000,000	85,000,000
Repurchase of Senior Notes					7,000,000	67,000,000
Recognized gain on debt retirement as a result of repurchase					$ 4,000,000	$ 19,000,000
Senior Notes | Senior Notes due 2022, bearing fixed interest at 6.75% per annum
Debt Instrument [Line Items]
Debt outstanding		$ 500,000,000		$ 500,000,000
Stated interest rate		6.75%		6.75%	6.75%	6.75%
Principal amount of repurchased and cancelled Senior Notes					$ 1,000,000	$ 42,000,000
Senior Notes | Senior Notes due 2024, bearing fixed interest at 7.25% per annum
Debt Instrument [Line Items]
Debt outstanding		$ 580,000,000		$ 580,000,000
Stated interest rate		7.25%		7.25%	7.25%	7.25%
Principal amount of repurchased and cancelled Senior Notes					$ 10,000,000	$ 43,000,000
Secured Debt | Term Loan Facility, bearing interest at 3.75%, net of unamortized discount
Debt Instrument [Line Items]
Debt outstanding		$ 650,000,000		$ 650,000,000
Quarterly debt principal payments		$ 1,600,000
Original issue discount		0.50%		0.50%
Secured Debt | LIBOR | Term Loan Facility, bearing interest at 3.75%, net of unamortized discount
Debt Instrument [Line Items]
Reference rate margin		2.75%
Minimum LIBOR rate		1.00%		1.00%
Secured Debt | Base Rate | Term Loan Facility, bearing interest at 3.75%, net of unamortized discount
Debt Instrument [Line Items]
Reference rate margin		1.75%
Subsequent Event | Senior Notes | Senior Notes due 2022, bearing fixed interest at 6.75% per annum
Debt Instrument [Line Items]
Stated interest rate	6.75%							6.75%
Interest payment, elected to defer	$ 15,000,000
Grace period provided for in note indenture	30 days
Subsequent Event | Senior Notes | Senior Notes due 2024, bearing fixed interest at 7.25% per annum
Debt Instrument [Line Items]
Stated interest rate								7.25%

Debt - Sale-Leaseback Transacti

Debt - Sale-Leaseback Transaction, Additional Information (Details)	Jul. 24, 2015USD ($)rig	Dec. 31, 2015USD ($)	Dec. 31, 2014USD ($)	Dec. 31, 2013USD ($)
Sale Leaseback Transaction [Line Items]
Sale-leaseback transaction amount	$ 300,000,000
Number of jackup units included in sale leaseback transaction | rig	2
Term of sale leaseback contract	5 years
Net proceeds in sale-leaseback transaction	$ 292,000,000	$ 291,576,000	$ 0	$ 0
Percentage of excess cash amounts (up to)		25.00%
Prospector 1
Sale Leaseback Transaction [Line Items]
Sale leaseback transactions, rental prepayments		$ 5,000,000
Lease obligation (maximum)		88,000,000
Sale-leaseback transaction, required cash reserve		11,500,000
Prospector 5
Sale Leaseback Transaction [Line Items]
Sale leaseback transactions, rental prepayments		7,000,000
Lease Agreements | Other assets
Sale Leaseback Transaction [Line Items]
Restricted cash and cash equivalents		25,000,000
SinoEnergy Subsidiaries
Sale Leaseback Transaction [Line Items]
Rental payments, including interest		$ 26,000,000

Debt - Schedule of Minimum Annu

Debt - Schedule of Minimum Annual Rental Payments (Details) $ in Millions	12 Months Ended
	Dec. 31, 2015USD ($)
Prospector 1
Sale Leaseback Transaction [Line Items]
Weighted average interest rate	5.20%
Prospector 5
Sale Leaseback Transaction [Line Items]
Weighted average interest rate	7.50%
SinoEnergy Subsidiaries
Sale Leaseback Transaction [Line Items]
2,016	$ 51
2,017	41
2,018	33
2,019	31
2,020	175
Total	$ 331

Debt - Extinguished Obligations

Debt - Extinguished Obligations (Details) - USD ($)	Mar. 26, 2015	Mar. 16, 2015	Jan. 31, 2015	Mar. 31, 2015	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013	Nov. 17, 2014	Jun. 12, 2014	May. 19, 2014
Debt Instrument [Line Items]
Remaining par value of Prospector bonds outstanding					$ 2,600,091,000	$ 2,160,605,000
Callable Bond
Debt Instrument [Line Items]
Repayment of Prospector debt					101,000,000	0	$ 0
Callable Bond | Acquired Bonds
Debt Instrument [Line Items]
Remaining par value of Prospector bonds outstanding					0	101,000,000
Line of Credit
Debt Instrument [Line Items]
Repayment of Prospector debt					265,666,000	0	$ 0
Line of Credit | Acquired Senior Credit Facility
Debt Instrument [Line Items]
Remaining par value of Prospector bonds outstanding					$ 0	$ 265,666,000
Prospector Offshore Drilling S.A. | Interest rate swaps
Debt Instrument [Line Items]
Fixed interest rate					1.512%				1.512%
Prospector Offshore Drilling S.A. | Callable Bond | Acquired Bonds
Debt Instrument [Line Items]
Stated interest rate										7.75%
Repayment of Prospector debt	$ 400,000		$ 99,600,000	$ 100,000,000
Percentage of principal amount redeemed			101.00%	101.00%
Prospector Offshore Drilling S.A. | Line of Credit | Acquired Senior Credit Facility, Prospector 5 Tranche
Debt Instrument [Line Items]
Maximum amount available under credit facility									$ 140,000,000
Prospector Offshore Drilling S.A. | Line of Credit | Acquired Senior Credit Facility, Prospector 1 Tranche
Debt Instrument [Line Items]
Maximum amount available under credit facility									$ 130,000,000
Prospector Offshore Drilling S.A. | Line of Credit | Acquired Senior Credit Facility
Debt Instrument [Line Items]
Maximum amount available under credit facility								$ 270,000,000
Repayment of remaining balance		$ 261,000,000
Prospector Offshore Drilling S.A. | Line of Credit | Acquired Senior Credit Facility | LIBOR
Debt Instrument [Line Items]
Margin percentage in addition to LIBOR									3.50%
Prospector Offshore Drilling S.A. | Line of Credit | Acquired Senior Credit Facility | Minimum
Debt Instrument [Line Items]
Minimum percentage of debt required to hedge									50.00%

Income Taxes - Income Before Ta

Income Taxes - Income Before Taxes (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Income Tax Disclosure [Abstract]
United States	$ (456,093)	$ 70,949	$ 114,314
Non-U.S.	(615,627)	(648,360)	331,596
Income (loss) before income taxes	$ (1,071,720)	$ (577,411)	$ 445,910

Income Taxes - Income Tax Provi

Income Taxes - Income Tax Provision (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Income Tax Disclosure [Abstract]
Current - United States	$ (17,354)	$ 45,754	$ 20,732
Current - Non-U.S.	7,116	43,115	55,691
Deferred - United States	(66,583)	(30,391)	13,425
Deferred - Non-U.S.	4,713	10,916	(4,243)
Total	$ (72,108)	$ 69,394	$ 85,605

Income Taxes - Additional Infor

Income Taxes - Additional Information (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Income Tax Disclosure [Abstract]
Effective tax rate	6.70%
Pre-tax loss	$ (1,071,720)	$ (577,411)	$ 445,910
Deferred tax assets, net operating loss carryforward, not subject to expiration	2,700
Deferred tax assets, net operating loss carryforward, subject to expiration by 2036	13,500
Deferred tax assets, net operating loss carryforward, subject to expiration by 2021-2022	1,700
Interest and penalties resulting in income tax expense	1,000	2,000	$ 1,000
Unrecognized tax benefits, including interest and penalties accrual	19,000
Unrecognized tax benefits that would impact effective tax rate	$ 18,505	$ 40,196

Income Taxes - Reconciliation o

Income Taxes - Reconciliation of Statutory and Effective Income Tax Rate (Details)	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Income Taxes [Line Items]
Total	6.70%
Her Majesty's Revenue and Customs (HMRC)
Income Taxes [Line Items]
U.K. statutory income tax rate	20.30%	21.50%	23.30%
Tax rates which are different from the U.K. rate	(4.80%)	(36.80%)	(5.90%)
Tax effect of asset impairment	1.80%	4.30%	0.00%
Change in valuation allowance	(11.10%)	0.00%	2.00%
Adjustments to uncertain tax positions	0.50%	(1.00%)	(0.20%)
Total	6.70%	(12.00%)	19.20%

Income Taxes - Components of Ne

Income Taxes - Components of Net Deferred Taxes (Details) - USD ($) $ in Thousands	Dec. 31, 2015	Dec. 31, 2014
Deferred tax assets
Deferred loss on asset dispositions	$ 102,382	$ 0
Accrued expenses not currently deductible	18,922	3,556
Net operating losses	17,901	22,645
Excess of tax basis over book basis of Property and Equipment	7,575	0
Bad debt	6,118	0
Other	7,152	0
Deferred tax assets	160,050	26,201
Less: Valuation allowance	(118,768)	0
Net deferred tax assets	41,282	26,201
Deferred tax liabilities
Excess of net book basis over remaining tax basis of Property and equipment	(11,385)	(58,844)
Deferred taxes on unremitted earnings	(6,043)	(6,043)
Contract market valuation	(3,567)	(5,434)
Other	(2,421)	(838)
Deferred tax liabilities	(23,416)	(71,159)
Net deferred tax asset	$ 17,866
Net deferred tax liabilities		$ (44,958)

Income Taxes - Reconciliation68

Income Taxes - Reconciliation of Reserve for Uncertain Tax Positions (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns [Roll Forward]
Gross balance at January 1,	$ 29,679	$ 32,336	$ 37,969
Additions based on tax positions related to the current year	0	4,442	532
Additions for tax positions of prior years	1,056	1,424	4,599
Reductions for tax positions of prior years	(4,966)	(7,298)	(214)
Expiration of statutes	(221)	(1,225)	(2,712)
Tax settlements	(15,122)	0	(7,838)
Gross balance at December 31,	10,426	29,679	32,336
Related tax benefits	0	0	(1,983)
Net balance at December 31,	$ 10,426	$ 29,679	$ 30,353

Income Taxes - Liabilities Rela

Income Taxes - Liabilities Related to Unrecognized Tax Benefits (Details) - USD ($) $ in Thousands	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Income Tax Disclosure [Abstract]
Unrecognized tax benefits, excluding interest and penalties	$ 10,426	$ 29,679	$ 30,353
Interest and penalties included in Other liabilities	8,079	10,517
Unrecognized tax benefits, including interest and penalties	$ 18,505	$ 40,196

Gain on Contract Settlements_70

Gain on Contract Settlements/Extinguishment, Net - Additional Information (Details) - USD ($) $ in Millions	3 Months Ended	12 Months Ended
	Sep. 30, 2013	Dec. 31, 2013
Noble Corporation PLC
Gain Contingencies [Line Items]
Gain related to settlement	$ 45
Predecessor
Gain Contingencies [Line Items]
Gain related to settlement		$ 23

Employee Benefit Plans - Additi

Employee Benefit Plans - Additional Information (Details)	Aug. 01, 2014pension_plan	Dec. 31, 2015USD ($)	Dec. 31, 2014USD ($)
Defined Benefit Plan Disclosure [Line Items]
Other postretirement benefit expense		$ 1,000,000	$ 2,000,000
Non-U.S. Defined Benefit Plan
Defined Benefit Plan Disclosure [Line Items]
Estimated amortization related to prior service cost (less than)		100,000
Estimated amortization related to actuarial loss (less than)		800,000
Employer contributions to non-U.S. pension plans		4,868,000	$ 6,565,000
Non-U.S. Defined Benefit Plan | Minimum
Defined Benefit Plan Disclosure [Line Items]
Aggregate minimum contributions to plans next year		$ 8,000,000
Non-U.S. Defined Benefit Plan | Predecessor
Defined Benefit Plan Disclosure [Line Items]
Number of defined benefit pension plans at spin-off | pension_plan	2
Non-U.S. Defined Benefit Plan | Debt Securities
Defined Benefit Plan Disclosure [Line Items]
Pension plan target asset allocation (as a percent)		100.00%

Employee Benefit Plans - Reconc

Employee Benefit Plans - Reconciliation of Changes in Projected Benefit Obligations for Non-US Plan (Details) - Non-U.S. Defined Benefit Plan - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014
Defined Benefit Plan, Change in Benefit Obligation [Roll Forward]
Benefit obligation at beginning of year	$ 124,362	$ 95,101
Service cost	5,375	4,819
Interest cost	1,946	2,601
Actuarial loss (gain)	(2,163)	39,499
Amendments	0	(139)
Benefits paid	(1,184)	(1,240)
Plan participants’ contribution	641	512
Foreign exchange rate changes	(12,909)	(14,806)
Other: curtailment	0	(1,985)
Benefit obligation at end of year	$ 116,068	$ 124,362

Employee Benefit Plans - Reco73

Employee Benefit Plans - Reconciliation of the Changes in Fair Value of Plan Assets (Details) - Non-U.S. Defined Benefit Plan - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward]
Fair value of plan assets at beginning of year	$ 125,591	$ 97,453
Actual return on plan assets	(1,790)	38,252
Employer contribution	4,868	6,565
Benefits paid	(813)	(833)
Plan participants’ contribution	635	512
Expenses paid	(371)	(407)
Foreign exchange rate changes	(12,955)	(15,951)
Fair value of plan assets at end of year	$ 115,165	$ 125,591

Employee Benefit Plans - Funded

Employee Benefit Plans - Funded Status of the Plans (Details) - USD ($) $ in Thousands	Dec. 31, 2015	Dec. 31, 2014
Non-U.S. Defined Benefit Plan
Defined Benefit Plan Disclosure [Line Items]
Funded status	$ (903)	$ 1,229

Employee Benefit Plans - Amount

Employee Benefit Plans - Amounts Recognized in the Consolidated Balance Sheets (Details) - Non-U.S. Defined Benefit Plan - USD ($) $ in Thousands	Dec. 31, 2015	Dec. 31, 2014
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items]
Other assets - noncurrent	$ 938	$ 1,229
Other liability - noncurrent	(1,841)	0
Net pension asset (liability)	(903)	1,229
Accumulated other comprehensive loss recognized in financial statements	20,351	22,911
Net amount recognized	$ 19,448	$ 24,140

Employee Benefit Plans - Amou76

Employee Benefit Plans - Amounts Recognized in Other Comprehensive Loss (Details) - Non-U.S. Defined Benefit Plan - USD ($) $ in Thousands	Dec. 31, 2015	Dec. 31, 2014
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items]
Net gain (loss)	$ 21,327	$ 21,924
Prior service (cost) credit	239	(2,048)
Amortization of net actuarial gain (loss)	755	1,077
Amortization of prior service (cost) credit	(18)	(16)
Accumulated other comprehensive loss	$ (20,351)	$ (22,911)

Employee Benefit Plans - Pensio

Employee Benefit Plans - Pension Costs (Details) - Non-U.S. Defined Benefit Plan - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014
Defined Benefit Plan, Net Periodic Benefit Cost [Abstract]
Service cost	$ 5,375	$ 4,819
Interest cost	1,946	2,601
Expected return on plan assets	(1,773)	(2,625)
Amortization of prior service cost	(18)	(16)
Amortization net actuarial loss (gain)	755	1,077
Net curtailment (gain)	0	(66)
Net pension expense	$ 6,285	$ 5,790

Employee Benefit Plans - Disagg

Employee Benefit Plans - Disaggregated Plan Information (Details) - Non-U.S. Defined Benefit Plan - USD ($) $ in Thousands	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items]
Projected benefit obligation	$ 116,068	$ 124,362	$ 95,101
Accumulated benefit obligation	111,366	119,632
Fair value of plan assets	$ 115,165	$ 125,591	$ 97,453

Employee Benefit Plans - Key Pl

Employee Benefit Plans - Key Plan Assumptions (Details) - Non-U.S. Defined Benefit Plan	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014
Weighted Average Assumptions Used to Determine Benefit Obligations
Rate of compensation increase	3.60%	3.60%
Weighted Average Assumptions Used to Determine Net Periodic Benefit Cost
Expected long-term return on plan assets	1.30%
Rate of compensation increase	3.60%	3.60%
Minimum
Weighted Average Assumptions Used to Determine Benefit Obligations
Discount rate	2.60%	2.30%
Weighted Average Assumptions Used to Determine Net Periodic Benefit Cost
Discount rate	2.60%	2.70%
Expected long-term return on plan assets		2.70%
Maximum
Weighted Average Assumptions Used to Determine Benefit Obligations
Discount rate	2.90%	2.40%
Weighted Average Assumptions Used to Determine Net Periodic Benefit Cost
Discount rate	2.90%	3.90%
Expected long-term return on plan assets		2.80%

Employee Benefit Plans - Fair V

Employee Benefit Plans - Fair Value of Pension Plans (Details) - Non-U.S. Defined Benefit Plan - USD ($) $ in Thousands	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Defined Benefit Plan Disclosure [Line Items]
Fair value of plan assets	$ 115,165	$ 125,591	$ 97,453
Quoted Prices in Active Markets (Level 1)
Defined Benefit Plan Disclosure [Line Items]
Fair value of plan assets	0	0
Significant Other Observable Inputs (Level 2)
Defined Benefit Plan Disclosure [Line Items]
Fair value of plan assets	28,228	32,476
Significant Unobservable Inputs (Level 3)
Defined Benefit Plan Disclosure [Line Items]
Fair value of plan assets	86,937	93,115	$ 68,280
Corporate Bonds
Defined Benefit Plan Disclosure [Line Items]
Fair value of plan assets	28,228	32,476
Corporate Bonds | Quoted Prices in Active Markets (Level 1)
Defined Benefit Plan Disclosure [Line Items]
Fair value of plan assets	0	0
Corporate Bonds | Significant Other Observable Inputs (Level 2)
Defined Benefit Plan Disclosure [Line Items]
Fair value of plan assets	28,228	32,476
Corporate Bonds | Significant Unobservable Inputs (Level 3)
Defined Benefit Plan Disclosure [Line Items]
Fair value of plan assets	0	0
Other
Defined Benefit Plan Disclosure [Line Items]
Fair value of plan assets	86,937	93,115
Other | Quoted Prices in Active Markets (Level 1)
Defined Benefit Plan Disclosure [Line Items]
Fair value of plan assets	0	0
Other | Significant Other Observable Inputs (Level 2)
Defined Benefit Plan Disclosure [Line Items]
Fair value of plan assets	0	0
Other | Significant Unobservable Inputs (Level 3)
Defined Benefit Plan Disclosure [Line Items]
Fair value of plan assets	$ 86,937	$ 93,115

Employee Benefit Plans - Define

Employee Benefit Plans - Defined Benefit Plan Assets, Level 3 Reconciliation (Details) - Non-U.S. Defined Benefit Plan - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014
Defined Benefit Plan, Change in Fair Value of Plan Assets, Level 3 Reconciliation [Roll Forward] [Abstract]
Fair value of plan assets at beginning of year	$ 125,591	$ 97,453
Return on plan assets	(1,790)	38,252
Fair value of plan assets at end of year	115,165	125,591
Significant Unobservable Inputs (Level 3)
Defined Benefit Plan, Change in Fair Value of Plan Assets, Level 3 Reconciliation [Roll Forward] [Abstract]
Fair value of plan assets at beginning of year	93,115	68,280
Assets sold/benefits paid	(791)	(735)
Return on plan assets	(5,387)	25,570
Fair value of plan assets at end of year	$ 86,937	$ 93,115

Employee Benefit Plans - Future

Employee Benefit Plans - Future Estimated Benefit Payments (Details) - Non-U.S. Defined Benefit Plan $ in Thousands	Dec. 31, 2015USD ($)
Estimated benefit payments
Total	$ 19,209
2,016	891
2,017	1,047
2,018	1,247
2,019	1,451
2,020	1,651
Five Years Thereafter	$ 12,922

Derivative Instruments and He83

Derivative Instruments and Hedging Activities (Details) - USD ($)	3 Months Ended	12 Months Ended
	Mar. 31, 2015	Dec. 31, 2014	Dec. 31, 2015	Nov. 17, 2014	Jun. 12, 2014
Prospector 2018 Senior Secured Credit Facility | Line of Credit | Prospector Offshore Drilling S.A.
Derivative Instruments and Hedging Activities Disclosures [Line Items]
Percentage of debt hedged			50.00%
Interest rate swaps | Prospector Offshore Drilling S.A.
Derivative Instruments and Hedging Activities Disclosures [Line Items]
Fixed interest rate			1.512%		1.512%
Interest rate swaps recorded in other current liabilities			$ 0
Interest rate swaps recorded in other long-term assets			0
Interest rate swaps | Prospector Offshore Drilling S.A. | Other current liabilities
Derivative Instruments and Hedging Activities Disclosures [Line Items]
Interest rate swaps recorded in other current liabilities		$ 2,000,000
Interest rate swaps | Prospector Offshore Drilling S.A. | Other noncurrent assets
Derivative Instruments and Hedging Activities Disclosures [Line Items]
Interest rate swaps recorded in other long-term assets		1,000,000
Interest rate swaps | Prospector Offshore Drilling S.A. | Interest expense, net of amount capitalized
Derivative Instruments and Hedging Activities Disclosures [Line Items]
Interest swap termination	$ 1,000,000
Interest rate swaps | Maximum | Prospector Offshore Drilling S.A.
Derivative Instruments and Hedging Activities Disclosures [Line Items]
Outstanding derivative contracts				$ 135,000,000
Cash Flow Hedging | Foreign Exchange Forward
Derivative Instruments and Hedging Activities Disclosures [Line Items]
Forward contracts entered and settled		58,000,000
Outstanding derivative contracts		0	0
Unrealized gains (losses) related to forward contracts recorded in AOCI		0	$ 0
Cash Flow Hedging | Foreign Exchange Forward | Contract Drilling Services
Derivative Instruments and Hedging Activities Disclosures [Line Items]
Gain (loss) on derivative contracts reclassified from OCI		$ 14,000

Fair Value of Financial Instr84

Fair Value of Financial Instruments - (Details) - USD ($)	Dec. 31, 2015	Dec. 31, 2014	Jul. 18, 2014	May. 19, 2014
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Outstanding foreign currency forward contracts or interest rate swaps	$ 0
Senior Notes | Carrying Value
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair value of debt	983,582,000	$ 994,582,000
Senior Notes | Estimated Fair Value
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair value of debt	$ 140,161,000	$ 594,636,000
Senior Notes | 6.75% Senior Notes due July 15, 2022
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Stated interest rate	6.75%	6.75%	6.75%
Senior Notes | 6.75% Senior Notes due July 15, 2022 | Carrying Value
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair value of debt	$ 456,572,000	$ 457,572,000
Senior Notes | 6.75% Senior Notes due July 15, 2022 | Estimated Fair Value
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair value of debt	$ 65,062,000	$ 275,115,000
Senior Notes | 7.25% Senior Notes due August 15, 2024
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Stated interest rate	7.25%	7.25%	7.25%
Senior Notes | 7.25% Senior Notes due August 15, 2024 | Carrying Value
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair value of debt	$ 527,010,000	$ 537,010,000
Senior Notes | 7.25% Senior Notes due August 15, 2024 | Estimated Fair Value
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair value of debt	$ 75,099,000	$ 319,521,000
Secured Debt | Term Loan Facility, bearing interest at 3.75%, excluding unamortized discount of $2,554 and $3,018 for December 31, 2015 and December 31, 2014, respectively
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Term loan facility effective interest rate	3.75%	3.75%
Debt Instrument, Unamortized Discount	$ 2,554,000	$ 3,018,000
Secured Debt | Term Loan Facility, bearing interest at 3.75%, excluding unamortized discount of $2,554 and $3,018 for December 31, 2015 and December 31, 2014, respectively | Carrying Value
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair value of debt	641,875,000	648,375,000
Secured Debt | Term Loan Facility, bearing interest at 3.75%, excluding unamortized discount of $2,554 and $3,018 for December 31, 2015 and December 31, 2014, respectively | Estimated Fair Value
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair value of debt	235,889,000	523,250,000
Callable Bond | Prospector 2019 Second Lien Callable Bond | Carrying Value
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair value of debt	0	101,000,000
Callable Bond | Prospector 2019 Second Lien Callable Bond | Estimated Fair Value
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair value of debt	0	101,000,000
Prospector Offshore Drilling S.A. | Callable Bond | Prospector 2019 Second Lien Callable Bond
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Stated interest rate				7.75%
Interest rate swaps | Prospector Offshore Drilling S.A.
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Interest rate swaps, liabilities	0
Interest rate swaps, assets	$ 0
Interest rate swaps | Other current liabilities | Prospector Offshore Drilling S.A.
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Interest rate swaps, liabilities		2,000,000
Interest rate swaps | Other noncurrent assets | Prospector Offshore Drilling S.A.
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Interest rate swaps, assets		$ 1,000,000

Concentration of Market and C85

Concentration of Market and Credit Risk - Additional Information (Details) - Customer concentration risk	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Sales revenue | Petrobras
Concentration Risk [Line Items]
Percent of operating revenues contributed by major customers	21.00%	23.00%	17.00%
Sales revenue | Total S. A.
Concentration Risk [Line Items]
Percent of operating revenues contributed by major customers	16.00%	3.00%	4.00%
Sales revenue | Pemex
Concentration Risk [Line Items]
Percent of operating revenues contributed by major customers	9.00%	16.00%	19.00%
Accounts receivable | Petrobras
Concentration Risk [Line Items]
Percent of operating revenues contributed by major customers	5.00%	23.00%
Accounts receivable | Total S. A.
Concentration Risk [Line Items]
Percent of operating revenues contributed by major customers	12.00%	7.00%
Accounts receivable | Pemex
Concentration Risk [Line Items]
Percent of operating revenues contributed by major customers	26.00%	31.00%

Accumulated Other Comprehensi86

Accumulated Other Comprehensive Loss - Components of and Changes in Accumulated Other Comprehensive Loss (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]
Balance	$ 494,249	$ 2,005,333	$ 3,365,232
Activity during period:
Total other comprehensive income (loss), net	(4,870)	(6,649)	179
Balance	(506,590)	494,249	2,005,333
Gains / (Losses) on Cash Flow Hedges
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]
Balance	0	0
Activity during period:
AOCL recorded in connection with Spin-Off		4,027
Other comprehensive loss before reclassification	0	(4,041)
Amounts reclassified from AOCL	0	14
AOCL recorded in connection with Prospector Acquisition		0
Net other comprehensive income (loss)		0
Total other comprehensive income (loss), net	0
Balance	0	0	0
Defined Benefit Pension Items
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]
Balance	(22,911)	0
Activity during period:
AOCL recorded in connection with Spin-Off		(21,770)
Other comprehensive loss before reclassification	1,823	0
Amounts reclassified from AOCL	737	(1,141)
AOCL recorded in connection with Prospector Acquisition		0
Net other comprehensive income (loss)		(22,911)
Total other comprehensive income (loss), net	2,560
Balance	(20,351)	(22,911)	0
Foreign Currency Items
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]
Balance	(14,233)	(6)
Activity during period:
AOCL recorded in connection with Spin-Off		(12,706)
Other comprehensive loss before reclassification	(7,430)	(1,481)
Amounts reclassified from AOCL	0	0
AOCL recorded in connection with Prospector Acquisition		(40)
Net other comprehensive income (loss)		(14,227)
Total other comprehensive income (loss), net	(7,430)
Balance	(21,663)	(14,233)	(6)
Total
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]
Balance	(37,144)	(6)	(185)
Activity during period:
AOCL recorded in connection with Spin-Off		(30,449)
Other comprehensive loss before reclassification	(5,607)	(5,522)
Amounts reclassified from AOCL	737	(1,127)
AOCL recorded in connection with Prospector Acquisition		(40)
Net other comprehensive income (loss)		(37,138)
Total other comprehensive income (loss), net	(4,870)	(6,649)	179
Balance	$ (42,014)	$ (37,144)	$ (6)

Commitments and Contingencies -

Commitments and Contingencies - Future Minimum Lease Payments (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014
Operating Leases, Future Minimum Payments Due, Fiscal Year Maturity [Abstract]
2,016	$ 8,479
2,017	4,218
2,018	2,859
2,019	2,328
2,020	1,959
Thereafter	1,923
Total	21,766
Operating lease rent expense	$ 17,000	$ 16,000

Commitments and Contingencies88

Commitments and Contingencies - Additional Information (Details) $ in Millions	12 Months Ended
	Dec. 31, 2015USD ($)rig
Other Commitments [Line Items]
Shipyard and purchase commitments	$ 632
Purchase obligation due in remainder of 2016	600
Letters of credit, amount outstanding	89
Performance bonds	$ 115
Noble Corporation PLC | Brazil
Other Commitments [Line Items]
Number of rigs operating in Brazil | rig	1
Tax Audit Claims Primarily in Mexico and Brazil | Tax Audit Claims
Other Commitments [Line Items]
Taxes and other contingencies	$ 357
Claims subject to indemnity by Noble	81
Tax Audit Claims Primarily in Mexico and Brazil | Tax Audit Claims in Mexico Result of Spin-Off
Other Commitments [Line Items]
Taxes and other contingencies	34
Mexican Tax Assessments | Tax Assessments
Other Commitments [Line Items]
Taxes and other contingencies	$ 200
Percentage of predecessor tax liability	50.00%
Petrobras | Withholding Taxes
Other Commitments [Line Items]
Taxes and other contingencies	$ 71
Claims subject to indemnity by Noble	20
Letter of Credit
Other Commitments [Line Items]
Collateral backing performance bonds	75
Cash Deposit
Other Commitments [Line Items]
Collateral backing performance bonds	$ 9
Prospector Offshore Drilling S.A.
Other Commitments [Line Items]
Number of jackups under construction | rig	3

Commitments and Contingencies89

Commitments and Contingencies - Balance Sheet Position of Balances Due From and To Noble (Details) - Noble Corporation PLC - USD ($) $ in Thousands	Dec. 31, 2015	Dec. 31, 2014
Other Commitments [Line Items]
Due from Noble	$ 32,413	$ 48,977
Due to Noble	9,546	76,387
Accounts receivable
Other Commitments [Line Items]
Due to Noble, current	22,695	15,716
Other current assets
Other Commitments [Line Items]
Due to Noble, current	3,032	26,386
Other assets
Other Commitments [Line Items]
Other assets	6,686	6,875
Accounts payable
Other Commitments [Line Items]
Due to Noble, current	211	1,655
Other current liabilities
Other Commitments [Line Items]
Due to Noble, current	6,067	51,169
Other liabilities
Other Commitments [Line Items]
Other liabilities	$ 3,268	$ 23,563

Related Parties (Including Re90

Related Parties (Including Relationship with Noble and Corporate Allocations) - Additional Information (Details) - Noble Corporation PLC - USD ($)	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Related Party Transaction [Line Items]
Contract drilling services	$ 0	$ 25,000,000	$ 58,000,000
Contract Drilling Services
Related Party Transaction [Line Items]
Contract drilling services		$ 70,000,000	$ 147,000,000

Supplemental Cash Flow Inform91

Supplemental Cash Flow Information - Effect of Changes in Other Assets and Liabilities on Cash Flows from Operating Activities (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Supplemental Cash Flow Elements [Abstract]
Accounts receivable	$ 233,812	$ (178,108)	$ (34,582)
Other current assets	(5,383)	42,922	22,181
Other assets	(479)	(33,637)	16,451
Accounts payable	(57,246)	25,890	8,530
Other current liabilities	(132,195)	14,273	18,645
Other liabilities	(51,790)	(29,514)	(16,385)
Net change in other assets and liabilities	$ (13,281)	$ (158,174)	$ 14,840

Supplemental Cash Flow Inform92

Supplemental Cash Flow Information - Additional Cash Flow Information (Details) - USD ($) $ in Thousands	3 Months Ended	12 Months Ended
	Mar. 31, 2015	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Cash paid during the period for:
Interest		$ 124,763	$ 21,109	$ 5,791
U.S. and Non-U.S. income taxes		66,657	85,248	76,423
Supplemental information for non-cash activities:
Assets related to Sale-Leaseback Transaction		465,043	0	0
Adjustments to distributions by former parent	$ 9,000	9,493	0	0
Accrued capital expenditures		10,305	24,003	0
Transfer from parent of property and equipment		$ 0	$ 18,124	$ 16,057

Segment and Related Informati93

Segment and Related Information (Details) $ in Thousands	3 Months Ended								12 Months Ended
	Dec. 31, 2015USD ($)	Sep. 30, 2015USD ($)	Jun. 30, 2015USD ($)	Mar. 31, 2015USD ($)	Dec. 31, 2014USD ($)	Sep. 30, 2014USD ($)	Jun. 30, 2014USD ($)	Mar. 31, 2014USD ($)	Dec. 31, 2015USD ($)segment	Dec. 31, 2014USD ($)	Dec. 31, 2013USD ($)
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenues	$ 299,563	$ 368,973	$ 393,244	$ 430,648	$ 494,993	$ 505,222	$ 478,957	$ 514,590	$ 1,492,428	$ 1,993,762	$ 1,893,002
Identifiable Assets	2,383,865				3,253,389				$ 2,383,865	3,253,389
Number of reportable segments | segment									1
Brazil
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenues									$ 368,502	488,884	312,287
Identifiable Assets	169,626				1,821,017				169,626	1,821,017
United Kingdom
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenues									305,499	193,908	245,789
Identifiable Assets	1,122,653				85,638				1,122,653	85,638
The Netherlands
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenues									242,128	284,651	179,768
Identifiable Assets	252,686				163,153				252,686	163,153
United Arab Emirates
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenues									135,747	139,318	108,256
Identifiable Assets	229,351				219,711				229,351	219,711
Mexico
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenues									133,970	326,352	367,732
Identifiable Assets	183,944				459,975				183,944	459,975
India
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenues									71,743	79,201	103,282
Identifiable Assets	102,054				131,431				102,054	131,431
Cameroon
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenues									70,901	35,224	55,803
Identifiable Assets	100,828				95,036				100,828	95,036
Qatar
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenues									36,234	94,320	139,891
Identifiable Assets	25,844				93,625				25,844	93,625
USA
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenues									340	85,060	117,951
Identifiable Assets	158,146				91,921				158,146	91,921
Nigeria
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenues									0	0	107,750
Identifiable Assets	6,697				11,281				6,697	11,281
Other
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenues									127,364	266,844	$ 154,493
Identifiable Assets	$ 32,036				$ 80,601				$ 32,036	$ 80,601

Unaudited Interim Financial D94

Unaudited Interim Financial Data - Quarterly Financial Information (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended								12 Months Ended
	Dec. 31, 2015	Sep. 30, 2015	Jun. 30, 2015	Mar. 31, 2015	Dec. 31, 2014	Sep. 30, 2014	Jun. 30, 2014	Mar. 31, 2014	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Quarterly Financial Information Disclosure [Abstract]
Operating revenues	$ 299,563	$ 368,973	$ 393,244	$ 430,648	$ 494,993	$ 505,222	$ 478,957	$ 514,590	$ 1,492,428	$ 1,993,762	$ 1,893,002
Operating income (loss)	10,590	(1,105,344)	57,727	95,653	4,311	(796,421)	119,972	147,461	(941,374)	(524,677)	453,745
Net income (loss) attributable to Paragon Offshore	$ (23,263)	$ (1,084,838)	$ 47,331	$ 61,127	$ 2,744	$ (869,160)	$ 95,045	$ 124,566	$ (999,643)	$ (646,746)	$ 360,305
Earnings (loss) per share - basic and diluted (in dollars per share)	$ (0.27)	$ (12.46)	$ 0.51	$ 0.69	$ 0.03	$ (10.26)	$ 1.12	$ 1.47	$ (11.65)	$ (7.63)	$ 4.25

Unaudited Interim Financial D95

Unaudited Interim Financial Data - Additional Information (Details) - USD ($) $ in Thousands	3 Months Ended								12 Months Ended
	Dec. 31, 2015	Sep. 30, 2015	Jun. 30, 2015	Mar. 31, 2015	Dec. 31, 2014	Sep. 30, 2014	Jun. 30, 2014	Mar. 31, 2014	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Error Corrections and Prior Period Adjustments Restatement [Line Items]
Net income (loss) attributable to Paragon	$ (23,263)	$ (1,084,838)	$ 47,331	$ 61,127	$ 2,744	$ (869,160)	$ 95,045	$ 124,566	$ (999,643)	$ (646,746)	$ 360,305
Adjustments for Error Correction, Overaccrual of Expenses for Prior Periods | Restatement Adjustment
Error Corrections and Prior Period Adjustments Restatement [Line Items]
Net income (loss) attributable to Paragon	$ 10,200