Skip to main content

Atwood Oceanics (ATW) said its Atwood Beacon rig was damaged while positioning for its next well offshore Indonesia.

The Houston-based oil driller said the rig "incurred unexpected rapid leg penetration on two of its legs." There were no injuries or environmental consequences, the company said.

Atwood said the rig is stable and will be towed to a shipyard in Singapore for inspections and repairs. While some damage to the derrick and legs has occurred, the extent of damage to the rig is not known at this time.

The company said it has insurance on the rig that carries a $1 million deductible. Atwood also has loss-of-hire insurance coverage of $70,000 per day for 180 days. That policy kicks in after a 30-day waiting period.

TheStreet Recommends

On Monday, the stock slipped 83 cents to $40.87.