Shares of Noble Corporation (NYSE:NE) advanced 4.7% on Monday after the offshore drilling contractor disclosed a series of contract awards for nine rigs, together representing roughly $1.3 billion in backlog.
Leading the package is a three-year agreement with Aker BP for the Noble GreatWhite, a harsh-environment semisubmersible, for operations offshore Norway. Noble stated the contract represents approximately $473 million in value and marks the companys entrance into Norways harsh environment floater market.
The company said the new awards materially raised fleet utilization. Of Nobles 24 marketed floaters, 92% are now contracted, up from a prior rate of 75%.
Other significant elements of the backlog include a two-year drilling contract for the Noble Gerry de Souza with an ExxonMobil affiliate in Nigeria, estimated at about $292 million, as well as additional rig years under the Commercial Enabling Agreement in Guyana.
"These important backlog additions indicate a strong and broad-based demand for deepwater drilling on a multi-year basis," said Robert W. Eifler, President and CEO of Noble.
Noble noted these programs will require incremental one-time capital expenditures in 2026. That includes approximately $160 million allocated to the Noble GreatWhites reactivation and contract preparation. The company said these investments are expected to drive increased fleet EBITDA and free cash flow in future years.
Additional contract awards cover other units in Nobles fleet. The Noble BlackRhino, Noble Endeavor, and Noble Developer received assignments across regions including the U.S. Gulf, South America, and Trinidad. Reported dayrates for these awards range from $300,000 to $375,000.
The set of contracts strengthens Nobles near-term backlog and utilization profile while imposing discrete 2026 capital demands intended to support longer-term earnings and cash generation.
Market reaction and implications
Mondays share-price move reflects investor response to the larger backlog and improved floater coverage. The awards span multiple geographies and include both harsh-environment and regionally focused deployments, reinforcing demand for deepwater drilling capacity on a multi-year basis, according to the companys statement.