HOUSTON, TX--(Marketwire - August 15, 2008) - Vantage Drilling Company ("Vantage") (
Paul Bragg, President and Chief Executive Officer, commented, "The second quarter has been a tremendous period of transformation for Vantage as we completed our acquisition of OGIL, established our operating base in Singapore and completed the build-up of our operations management team."
Milestones completed during the second quarter:
-- Completed the acquisition of Offshore Group Investment Limited ("OGIL") which provided Vantage four Baker Marine Pacific Class 375 jackup rigs that are currently under construction, a contract for the purchase of a 12,000 ft. ultra-deepwater high-specification drillship that is currently under development and an option to purchase a second 12,000 ft. ultra- deepwater high-specification drillship. -- Closed a $440.0 million credit facility to finance the completion of the jackup rigs. -- Established our operating base in Singapore to support our construction oversight and regional operations. -- Launched the Emerald Driller, the first of our jackup rigs scheduled for delivery in December 2008, and commenced the commissioning process. -- Keel laying on the Aquamarine Driller and Topaz Driller, which are scheduled for delivery in September and December 2009, respectively, bringing all of our jackup rigs into the construction phase.
Vantage will conduct a call at 11:00 AM EDT on Friday, August 15, 2008 to discuss results and developments for the second quarter 2008. To access the conference call, U.S. callers may dial toll free (877) 719-9796 and international callers may dial (719) 325-4801. Please call ten minutes ahead of time to ensure proper connection. A replay of the conference call will be available for two weeks following the call and can be accessed by dialing (888) 203-1112 for U.S. callers and (719) 457-0820 for international callers. The access code for the replay is 3685074.
Vantage, a Cayman Islands exempted company, is an offshore drilling contractor, with four Baker Marine Pacific Class 375 jackup drilling rigs and one ultra-deepwater drillship currently under development. Vantage also has an option for the purchase of a second ultra-deepwater drillship that is currently under construction.
The information above includes forward-looking statements within the meaning of the Securities Act of 1933 and the Securities Exchange Act of 1934. These forward-looking statements are subject to certain risks, uncertainties and assumptions identified above or as disclosed from time to time in the company's filings with the Securities and Exchange Commission. As a result of these factors, actual results may differ materially from those indicated or implied by such forward-looking statements.
VANTAGE DRILLING COMPANY (A Corporation in the Development Stage) CONSOLIDATED STATEMENT OF OPERATIONS (Unaudited) Three Months Ended June 30, ------------------------------ 2008 2007 -------------- -------------- Revenue $ -- $ -- Operating expenses General and administrative 1,975,656 143,868 Depreciation 6,117 1,423 -------------- -------------- Total operating expenses 1,981,773 145,291 -------------- -------------- Loss from operations (1,981,773) (145,291) Other income (expense) Interest income 1,326,367 1,128,805 Interest expense -- -- -------------- -------------- Total other income (expense) 1,326,367 1,128,805 -------------- -------------- Income (loss) before income taxes (655,406) 983,514 Income tax provision (benefit) (124,495) 335,366 -------------- -------------- Net income (loss) $ (530,911) $ 648,148 ============== ============== Earnings Per Share Basic $ (0.01) $ 0.03 Diluted $ (0.01) $ 0.03 VANTAGE DRILLING COMPANY (A Corporation in the Development Stage) CONSOLIDATED STATEMENT OF OPERATIONS (Unaudited) For the Period Six Months Ended June 30, September 8, 2006 ---------------------------------- (inception) to 2008 2007 June 30, 2008 ---------------- ---------------- ---------------- Revenue $ -- $ -- $ -- Operating expenses General and administrative 2,695,733 143,977 3,632,435 Depreciation 12,348 1,423 22,769 ---------------- ---------------- ---------------- Total operating expenses 2,708,081 145,400 3,655,204 ---------------- ---------------- ---------------- Loss from operations (2,708,081) (145,400) (3,655,204) Other income (expense) Interest income 3,831,414 1,128,805 11,530,474 Interest expense -- -- -- ---------------- ---------------- ---------------- Total other income (expense) 3,831,414 1,128,805 11,530,474 ---------------- ---------------- ---------------- Income before income taxes 1,123,333 983,405 7,875,270 Income tax provision 483,368 335,366 2,781,932 ---------------- ---------------- ---------------- Net income $ 639,965 $ 648,039 $ 5,093,338 ================ ================ ================ Earnings Per Share Basic $ 0.01 $ 0.05 $ 0.17 Diluted $ 0.01 $ 0.04 $ 0.15 VANTAGE DRILLING COMPANY (A Corporation in the Development Stage) CONSOLIDATED BALANCE SHEET June 30, December 31, 2008 2007 -------------- -------------- (Unaudited) ASSETS CURRENT ASSETS Cash and cash equivalents $ 77,314,358 $ 1,262,625 Restricted cash 600,000 -- Restricted cash held in trust account -- 273,109,051 Prepaid expenses and other assets 633,754 87,075 -------------- -------------- Total current assets 78,548,112 274,458,751 Deferred income taxes 1,125,432 311,607 Other assets 8,532,799 756,771 Property and equipment, net of accumulated depreciation of $22,769 and $10,421 490,559,453 111,651 -------------- -------------- TOTAL ASSETS $ 578,765,796 $ 275,638,780 ============== ============== LIABILITIES AND STOCKHOLDERS' EQUITY CURRENT LIABILITIES Accounts payable $ 1,001,749 $ 61,518 Accrued liabilities 1,674,549 578,618 Deferred underwriters fee -- 8,280,000 Income taxes payable (receivable) (142,652) 310,171 -------------- -------------- Total current liabilities 2,533,646 9,230,307 -------------- -------------- Long-term debt 34,000,000 -- Common stock, subject to possible redemption, 10,346,550 shares at redemption value -- 79,286,965 Commitments and contingencies -- -- STOCKHOLDERS' EQUITY Preferred stock, $0.001 par value, 1,000,000 shares authorized, none issued or outstanding -- -- Common stock, $0.001 par value, 400,000,000 and 100,000,000 shares authorized, and 75,708,331 and 42,375,000 shares issued and outstanding 75,708 42,375 Additional paid-in capital 540,093,953 185,159,318 Earnings accumulated during the development stage 2,062,489 1,919,815 -------------- -------------- Total stockholders' equity 542,232,150 187,121,508 -------------- -------------- TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY $ 578,765,796 $ 275,638,780 ============== ============== VANTAGE DRILLING COMPANY (A Corporation in the Development Stage) CONSOLIDATED STATEMENT OF CASH FLOWS (Unaudited) For the Period September 8, Six Months Ended June 30, 2006 -------------------------- (inception) to June 30, 2008 2007 2008 ------------ ------------ ------------ CASH FLOWS FROM OPERATING ACTIVITIES Net income $ 639,965 $ 648,039 $ 5,093,338 Adjustments to reconcile net income to net cash provided by (used in) operating activities: Depreciation expense 12,348 1,423 22,769 Stock-based compensation expense 183,728 -- 183,728 Deferred income tax expense (813,825) -- (1,125,432) Changes in operating assets and liabilities: Restricted cash (600,000) -- (600,000) Prepaid expenses and other assets (606,098) (183,184) (693,173) Accounts payable 940,231 626,087 1,001,749 Accrued liabilities 643,108 -- 1,531,897 ------------ ------------ ------------ Net cash provided by operating activities 399,457 1,092,365 5,414,876 ------------ ------------ ------------ CASH FLOWS FROM INVESTING ACTIVITIES Acquisition of assets (213,396,605) -- (213,396,605) Additions to property and equipment (2,063,545) (79,689) (2,185,617) Deferred acquisition costs 756,771 180,276 -- Restricted cash held in trust account 273,109,051 (269,960,000) -- ------------ ------------ ------------ Net cash provided by (used in) investing activities 58,405,672 (269,859,413) (215,582,222) ------------ ------------ ------------ CASH FLOWS FROM FINANCING ACTIVITIES Proceeds from borrowings under credit agreement 34,000,000 -- 34,000,000 Debt issuance costs (8,473,380) -- (8,473,380) Advances from stockholders of OGIL 3,300,000 -- 3,300,000 Repayments of advances from stockholders of OGIL (3,300,000) -- (3,300,000) Proceeds from issuance of common stock to initial stockholders -- -- 25,000 Proceeds from issuance of common stock and warrants in private placement -- 6,000,000 6,000,000 Proceeds from issuance of common stock and warrants to public stockholders -- 255,930,000 255,930,000 Proceeds from issuance of option to purchase common stock and warrants to underwriters -- 100 100 Proceeds from notes payable-stockholders -- 85,800 275,000 Repayment of notes payable-stockholders -- (50,000) (275,000) Proceeds from deferred underwriters fee -- 8,280,000 8,280,000 Repayment of deferred underwriters fee (8,280,000) -- (8,280,000) Redemption of common stock (16) -- (16) ------------ ------------ ------------ Net cash provided by financing activities 17,246,604 270,245,900 287,481,704 ------------ ------------ ------------ Net increase (decrease) in cash and cash equivalents 76,051,733 1,478,852 77,314,358 Cash and cash equivalents -- beginning of period 1,262,625 33,790 -- ------------ ------------ ------------ Cash and cash equivalents -- end of period $ 77,314,358 $ 1,512,642 $ 77,314,358 ============ ============ ============ VANTAGE DRILLING COMPANY (A Corporation in the Development Stage) CONSOLIDATED STATEMENT OF CASH FLOWS SUPPLEMENTAL INFORMATION (Unaudited) For the Period September 8, Six Months Ended June 30, 2006 ------------------------------- (inception) to June 30, 2008 2007 2008 -------------- --------------- -------------- SUPPLEMENTAL CASH FLOW INFORMATION Cash paid for taxes $ 1,750,016 $ -- $ 4,050,016 Non-cash investing and financing transactions Issuance of common stock and warrants for acquisition $ (275,000,000) $ -- $ (275,000,000) Increase in common stock, subject to possible redemption -- 76,753,407 --
Contact Information: Public & Investor Relations Contact: Paul A. Bragg Chairman and Chief Executive Officer Vantage Drilling Company (281) 404-4700