and Thanks, morning Darin, and good everyone. afternoon to
providing our Chris market during and discuss I industry strategy commentary for After our unfolding drilling will offshore During I'll hand cycle. the maximizing and call I'll shareholder the the for on results that, the overview up provide performance an start discuss to today's then guidance. quarter. the during outlook call, by over value of financial our to
in to continue quarter third the and XX% with deliver XX% of We strong efficiency operational customers, performance our revenue year-to-date. to
which safety We particularly committed are performance, given is increasing maintaining of levels levels. high important activity to
all Mexico, environment employees, the guidance. courses past our entire operational new junior our beginning new that to We and and safety will major for the on-board time to supervisors within and This of the customers are that of and of floaters has in the meaningful our graduating exceptional training on fleet crews new us that The to organization safe and have performance other the inception, grateful work new Valaris environment, of this we every rigs. several that future improvement over for a active onshore of the pleased and to deployment challenging of at a industry These contributed the the extremely the program team programs rated that stacked months systems largely Valaris for the about employees we positions the have reactivation satisfaction, U.S. rigs leadership with we operational weeks. the run averaged behavior-based well execution require Our I'm our period engage the of its high be awards basic mentor basic opportunities to nine return for living rigs. four total reactivation levels Since our adhering proud dedicated of volumes capabilities support stacked our these efforts successfully reactivations, during deliver in by quality. to offshore million of XX in help one in from Valaris those one $XX Gulf. Valaris from our operating every executed adjusted one and believe for organization. number million in for the in perform including that Since U.S. costs, safety Research's include the achievement customers recently year, floater the quarter the training demonstrating offshore in our survey. working to offshore These our $XX estimate to quarter are working the training EBITDAR, Gulf to number team partnership second performance have for and to speaks with recognizing the which job recognized performance. with our in utilized XXXX of million with second focus to customer we crews our work, leverage, they inherent the result the program of dedication reactivation are format cost back in and our week, $XX categories these who rigs $XX is our better industry, ensure have to we adds our four returning four especially implemented. and been format with increased results, teams customers, several EnergyPoint satisfaction and our bold Adjusted prepared driller one-time hire million work increased was safety in two are operational I'm that continuing third and quarter. health business. being understand and EBITDA the
play $XX in years, and on instability up around outlook almost all investment be to the to fleet, and global Turning and lack dollar, industry expected supplies, to focus economic remain prices remains believe demand and our in now several forward that commodity and that sustained by prices has The the secure in supportive levels recession a past of the are especially U.S. projects. industry offshore oil are due recent are just prices are expected Brent a The foundation at global over Despite market. highly to which prices over geopolitical been of increase is levels oil significant A profitable. of fears highly several will fundamental tight role important picture per undeveloped on has to offshore at five-year in contributed affordable energy. crude cycle. the to barrel investment below increased a for of to downward rig reduction in barrel, continued forward new resources Two-year and be investment strong lay significant We floaters the security. currently meeting the energy $XX pressure the per gas of factors and for required sources an an need production exacerbated continue irrespective for years volatility near-term constructive. supply rebuild that offshore production past these world's
result highest than macro their awarded months. higher several these environments a years levels contracting XX% an to and increase [indiscernible] tendering help are project in activity month decade should spending the to and more and environment, The the led commodity basis, upstream have XXXX across both XXXX increased CapEx capital come. to for and As be project are drive constructive a approvals expenditures previous in supportive is at floaters floaters and XX trailing of for On expected environment approvals rig XX jacks. gear in approximately for than benign both a
represents past has utilization third rates for Average led some is expected in improvements to edge demand ago to or months, customer in per day drill in come the and leading The quarter that XX% approximately visible approximately years rig addition, level. activity active regions tender for day and which to this $XXX,XXX certain X XXXX at months seen respectively. and rates drill demand for meaningful and day ship demand contracting of than In sustained XX% open months XX at the customer has XX soon formally were higher with ago increase tendering around were ship stage, market pre-tender which rates. above XX% signed fixtures in
expected commencing to per when which XX%. was XXXX. RFI XXX,XXX early seven Petrobras ultra-deepwater a launched the offshore in than rigs for recent contracted three work active see the for day further increase rigs up to is in Subsequently, late have on Brazil portion of starting XXXX. around meaningful quarter was the A in or utilization less Petrobras tendering recent to compared development tender, long-term in the to attributable new As [indiscernible] fourth XXXX, activity XXXX
will middle be Brazil several benefit, VALARIS demand shore project respectively, presence significant already of to and off over We DS-X and will DS-XX working a Brazil XX Equinor's of VALARIS the our being energies in country on Petrobras in reactivated floater positioned XXXX. to beginning that continue years and the Bacalhau to for and expect next with driver DS currently well given work total the
programs an could have increased Namibia, lead for West Africa, commercial continue to market and Coast floater demand a to large discoveries development mix this rig exploration forwards. Ivory of We offshore see including that and year going longer-term seen both which the shorter-term
We further Mauritania, offshore, Nigeria, three the have ships in nearby the footprint Angola, drill ships a a drill and with stack in region Islands. strong and three Canary currently operating
on while the ships Mexico several the the for We of in day see Mexican third drill region. was Gulf the an wheel in attractive suited with opportunities in our well opportunities Eni and U.S. contract side. require both are the which quarter VALARIS Mexico, awarded also Mexican three opportunities primarily rate. U.S. semisubmersible a at DPS-X, active The
rig approximately jackup of open On awarded the or the as by the jackup have and months side XX than and business, in more of a rig increased the months the increase since start tender in pre- ago On meaningful activity months, seen East. a end X than are Middle we years tender XX-month double previous year, of trailing were primarily XX% and at XX% basis, stage higher respectively. XX driven ago of the demand demand the quarter years
for signed the extensions active Recently, nearly increase day upwards benign operate. result, fourth was fixtures day which Middle the the reached we day, of fixtures in we jackup quarterXXXX XX%. East, and a awarded North Latin utilization in to a trend approximately As quarter. utilization regions rates across seeing or continue up rates several per the compared activity with approximately $XXX,XXX, environment most we the Day above Sea, average $XX,XXX in America, for in recent per third XXXX Highlighting jackup contracts Zealand. with were New beginning when Australia, are jackup as quarter the at in XX% third also $XXX,XXX to active the below
continues environment sign market meaningfully in to the little the term. jackup market improved in Norway year, harsh near environment While the this jackup recovery show has of benign
and quarter. the includes these operating harsh to a have Norway second N-Class outside in three already North FELS rig following one capable We operating environment its the UK, of in jackup relocate Norway. in Our fleet of completion current of expect fourth Sea rigs contract Keppel rigs
year third contract follow Norway in Norway of on end its to Limited. operating the work is prospects expected Our to offshore in quarter first existing rig next and
rigs in their some complete weaker this and current North expect months, to Sea go rigs We programs. Norway we later idle the of work winter as the enter outside seasonally year,
UK, in an in activity year. the more While in demand This North the utilization half may with in the pipeline challenging, second offshore improving Sea us see expected work future XXXX Norway of in a of market for the years. environment an half first XXXX during leaves harsh coupled commencing for jackup improvement we hopeful be of somewhat balanced
to management focus now employ fleet long-term to our will fleet strategy driving Moving a disciplined on with a shareholder strategy, continue we value.
with contracting remains to fleet longer we to that while Our that duration staggered pursue a active ideally a and of highly having with assure the mix portfolio first contracts, priority shorter a means fleet utilized large isn’t rollovers. can approach
We a scale. aim also economies in have priority benefit to of rigs of basins critical from to mass
VALARIS have example, for Triangle. For offshore DS-XX contract floaters active reactivated Golden three at of its Brazil, have the we'll each once point we
second priority Our the stacked fleet. is high-quality of our reactivation
economics remaining our our stack are will our in reactivate will drill exercising DS-XX. ships, operational These The still today Based fleet modern of remain stack drill and VALARIS active that only leverage including XX We DS-X, opportunities and is held win additional to provide are rigs and the high returns. that by provide the reactivated attractive remaining, uncontracted preservation to opportunities strong for ability well on rigs of many for that returns. stacked we reactivation in meaningful only assets have suited and two competitors, modern spec and assets, Valaris for quality proven the disciplined stacked see work ships be we high we anticipate though largely three opportunities by of day current our market for have highly supply attractive. rigs rates, we returning DS-X,
fleet, we year newbuild ships take have DS-XX delivery of and In to XXXX. stacked VALARIS DS-XX end by addition options to our drill
of For assets to transactions broker high in approximately respectively XXXs. similar and million XXXs and recent to a the shipyard XXX for compared mid market NAVs price XXX million
rigs these evolve as next continue will see over the to market XX months. evaluate we our regarding We options the
Therefore, it will flow for fleet high we we believe that build current costs, basis we unlikely the another is foreseeable lead the newbuild future. of that availability. form long times anticipate the rig cycle, Importantly, will supply to shipyard and given see limited
accretive completion investment XX-year of our part VALARIS-XX deployed As will profiles. assess would with sale contract. and meaningful This our a can actively in VALARIS-XX is survey be on a candidates. fleet is for to capital attractive expected required executed continue return on in fleet divestiture we its to near-term. March agreement retirement for more existing four of opportunities value close have XXXX the that million, provide and which Recently, we upon jackup strategy, approaching special sales old $XX.X capital
fleet continue will and a take shareholder management allocation We long-term approach to capital to disciplined to value. maximize
of important strategic world. Another jackups proposition with value is ARO a important XX/XX an customer asset ARO Valaris, the partnership Drilling, our joint the part providing largest is with in unique Saudi venture Valaris the unconsolidated of Aramco. for
be rigs third we its $XX its newbuild cash million the prior operations. early and of rigs our financing from shareholder two our ARO's that early is from expects secured million next exploring quarter, ARO demonstrates financing options payment ARO, balance structure, of newbuild its a to remaining actively the for newbuild contract notes be representing of During in the first and profile, $XXX of delivery the repayment ARO receivable, received repayment earnings third-party will shareholder a partial after by and to notes with financed of financing repayment. year. The partial confidence
a will be of and year the As contract payback year of on a Aramco, eight each price backed six EBITDA day total achieve reminder, rate an rig. to a Saudi the set newbuilds the by with initial
its each successfully points in significant conclude in a at three initial substantially market interest $XXX than remarks. at Recently, will of offering on can website. every some highlighting recent contract, found information utilizing value and mechanism. be see for We investor contracted is presentation inherent Further attractive Valaris with set both and the rigs million reiterating in a a a what believe in businesses. We significant oversubscribed prepared onshore least ARO offshore help years more to the more pricing in transactions with remain an Following raising be driller newbuild will region the pricing on in my drilling local this focused for the completed on we from eight IPO, years the view. ARO separate and I valuation. key IPOs region investor by support aggregate,
and First, the being we customers the offshore performance continue recognized driller by strong our these by rated Research XXXX operational safety survey. efforts deliver as to and EnergyPoint number in be to one continue including
outlook Second, jackups. for despite in remains current the macroeconomic fundamental by increase an activity positioned constructive, well our earnings loaders focused and is being of team I'll up and and And uncertainty, our contracting hand third, both industry through by evidenced to Chris the tendering we management as highly across the accredited on approach that, remains value capitalize executed more laser maximizing us board making. flow Valaris disciplined a with strategy management the capital driving to free opportunities in that return cycle, financials. on take and during meaningful responsible industry value following over driven, In fleet take arise Valaris on and and positions redeploy to continue summary, recently With to call our profiles. decision cash focused, attractive opportunities you the a to to on sale, which and
