================================================================================
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
------------
FORM 8-K
CURRENT REPORT
PURSUANT TO SECTION 13 OR 15 (d)
OF THE SECURITIES EXCHANGE ACT OF 1934
DATE OF EARLIEST EVENT REPORTED: February 6, 2006
ATWOOD OCEANICS, INC.
(Exact name of registrant as specified in its charter)
COMMISSION FILE NUMBER 1-13167
Internal Revenue Service - Employer Identification No. 74-1611874
15835 Park Ten Place Drive, Houston, Texas, 77084
(281) 749-7800
------------
Check the appropriate box below if the Form 8-K filing is intended to
simultaneously satisfy the filing obligation of the registrant under any of the
following provisions (see General Instruction A.2. below):
[ ] Written communications pursuant to Rule 425 under the Securities Act
(17 CFR 230.425)
[ ] Soliciting material pursuant to Rule 14a-12 under the Exchange Act
(17 CFR 240.14a-12)
[ ] Pre-commencement communications pursuant to Rule 14d-2(b) under the
Exchange Act (17 CFR 240.14d-2(b))
[ ] Pre-commencement communications pursuant to Rule 13e-4(c) under the
Exchange Act (17 CFR 240.13e-4(c))
===============================================================================
-1-
ITEM 8.01 OTHER EVENTS
Atwood Oceanics, Inc. (collectively with its subsidiaries, the "Company")
announced today that its wholly owned subsidiary, Atwood Oceanics Pacific
Limited ("AOPL"), has executed a letter of intent with Keppel AmFELS, Inc. for
the construction of a mobile self-elevating LeTourneau SUPER 116 Jack-up. In
conjunction therewith, AOPL has also secured an option to purchase from
LeTourneau, Inc. a SUPER 116 KIT and license which will be required for the
construction of the new rig. At this time, AOPL retains the right to enhance the
"base" SUPER 116 design to possibly the "enhanced" version of SUPER 116.
Enhancements which are under consideration include, but are not limited to,
increasing the cantilever capability, quarters capacity, variable deck load and
mud system and tanks capacities. If constructed, the new rig will be an
ultra-premium class jack-up, suited for operations throughout most of the world.
The new rig would be constructed at the Keppel AmFELS yard in Brownsville,
Texas, and delivery is expected to occur no later than September 30, 2008. AOPL
estimates the total cost of construction (including administrative and overhead
costs and capitalized interest) would be between $150 million to $160 million,
depending upon the possible enhancements, and subject to any additional
modifications which would be addressed via change orders. The new rig will be
financed from expected cash on hand balances and, if necessary, through the use
of existing sources of credit.
The construction of the new rig is subject to execution of customary
definitive agreements with Keppel AmFELS and LeTourneau. The new rig is not
presently under contract and upon delivery, becomes the ninth Company-owned
mobile offshore drilling unit. A copy of the press release is attached to this
report as Exhibit 99.1.
Statements contained in this report with respect to the future are
forward-looking statements. These statements reflect management's reasonable
judgment with respect to future events. Forward-looking statements involve risks
and uncertainties. Actual results could differ materially from those anticipated
as a result of various factors: the Company's dependence on the oil and gas
industry; the risks involved in the construction and repair of a rig;
competition; operating risks; risks involved in foreign operations; risks
associated with a possible disruption in operations due to terrorism; risks
associated with a possible disruption in operations due to war; and governmental
regulations and environmental matters. A list of additional risk factors can be
found in the Company's annual report on Form 10-K for the year ended September
30, 2005, filed with the Securities and Exchange Commission.
ITEM 9.01 FINANCIAL STATEMENT AND EXHIBITS
(c) 99.1 Press Release dated February 6, 2006
-2-
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934,
the registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.
ATWOOD OCEANICS, INC.
(Registrant)
/s/ James M. Holland
James M. Holland
Senior Vice President
DATE: February 6, 2006
-3-
EXHIBIT 99.1
ATWOOD OCEANICS ANNOUNCES ITS INTENTION TO CONSTRUCT
A NEWBUILD LETOURNEAU SUPER 116 JACK-UP
Houston, Texas
6 February 2006
FOR IMMEDIATE RELEASE
Atwood Oceanics, Inc. (Houston based International Offshore Drilling
Contractor - NYSE ATW) announced today that its wholly owned subsidiary, Atwood
Oceanics Pacific Limited ("AOPL"), has executed a letter of intent with Keppel
AmFELS, Inc. for the construction of a mobile self-elevating LeTourneau SUPER
116 Jack-up. In conjunction therewith, AOPL has also secured an option to
purchase from LeTourneau, Inc. a SUPER 116 KIT and license which will be
required for the construction of the new rig. At this time, AOPL retains the
right to enhance the "base" SUPER 116 design to possibly the "enhanced" version
of SUPER 116. Enhancements which are under consideration include, but are not
limited to, increasing the cantilever capability, quarters capacity, variable
deck load and mud system and tanks capacities. If constructed, the new rig will
be an ultra-premium class jack-up, suited for operations throughout most of the
world.
The new rig would be constructed at the Keppel AmFELS yard in Brownsville,
Texas, and delivery is expected to occur no later than September 30, 2008. AOPL
estimates the total cost of construction (including administrative and overhead
costs and capitalized interest) would be between $150 million to $160 million,
depending upon the possible enhancements, and subject to any additional
modifications which would be addressed via change orders. The new rig will be
financed from expected cash on hand balances and, if necessary, through the use
of existing sources of credit.
The construction of the new rig is subject to execution of customary
definitive agreements with Keppel AmFELS and LeTourneau. The new rig is not
presently under contract and upon delivery, becomes the ninth mobile offshore
drilling unit owned by Atwood Oceanics, Inc. and its subsidiaries (collectively,
the "Company").
Statements contained in this report with respect to the future are
forward-looking statements. These statements reflect management's reasonable
judgment with respect to future events. Forward-looking statements involve risks
and uncertainties. Actual results could differ materially from those anticipated
as a result of various factors: the Company's dependence on the oil and gas
industry; the risks involved in the construction and repair of a rig;
competition; operating risks; risks involved in foreign operations; risks
associated with a possible disruption in operations due to terrorism; risks
associated with a possible disruption in operations due to war; and governmental
regulations and environmental matters. A list of additional risk factors can be
found in the Company's annual report on Form 10-K for the year ended September
30, 2005, filed with the Securities and Exchange Commission.
Contact: Jim Holland
(281) 749-7804
-4-