Seadrill Limited

After the speaker's remarks, there will be a question and answer session. If you'd like to ask a question during this time, simply press star followed by the number one on your telephone keypad. If you'd like to withdraw your question, please press star one again. I will now hand the call over to Kevin Smith, Vice President of Corporate Finance and Investor Relations. Sir, please go ahead.

Welcome to C-Drill's third quarter 2025 earnings call. I'm Kevin Smith, Vice President of Corporate Finance and Investor Relations, and I'm joined today by Simon Johnson, President and Chief Executive Officer, Samir Ali, Executive Vice President and Chief Commercial Officer, and Grant Creed, Executive Vice President and Chief Financial Officer. Our call will include forward-looking statements that involve risks and uncertainty. Actual results may differ materially. No one should assume these forward-looking statements remain valid later in the quarter or year, and we assume no obligation to update them except as required by securities laws. Our filings with the US Securities and Exchange Commission provide a more detailed discussion of our forward-looking statements and the risk factors affecting our business. During the call, we will also reference non-GAAP measures. Our earnings release, furnished to the SEC and available on our website, includes reconciliations with the nearest corresponding gap measures. Our use of the term EBITDA on today's call corresponds with the term adjusted EBITDA as defined in our earnings release. I'll now turn the call over to Simon.

Thanks, Kevin. Hello, and thank you for joining us for today's call. I'll begin with some highlights from this quarter, which demonstrate CDREL's continued execution of our strategy to build backlog coverage through 2026 maximise utilization of the high specification fleet and deliver the operational excellence that drives continuity and long lasting relationships, good on trust and performance. Following my remarks, Samir will provide detail on our contract awards and market outlook. Grant will then review third quarter financial results and provide updated guidance for 2025. As we navigate a period of fluctuating demand, one aspect of our commercial strategy remains clear. maximise shareholder value by minimising costly gaps between contracts. Since our last update, we've added over $300 million to our backlog, securing new contracts across five rigs. And what is a very competitive market, our collaborative approach with customers and the exceptional performance by our crews have enabled us to maintain our competitive edge. In Angola, securing work for the three rigs in the Sonodrill joint venture was a key strategic priority. enhancing the longevity of the partnership and reaffirming our position as the number one drill ship operator in Angola. The Sonagol Libongos commenced its new program in August, keeping the rig committed into early 2027 and extending the relationship with our client into its eighth year. The show of faith by the customer reflects the results delivered by offshore crews and onshore teams day after day. The Libongos has been recognized as the Sea Drill Rig of the Quarter eight times, more than any other drill ship in our fleet. The Sonengold Queen Gala, which has worked for Total Energies since its maiden contract in 2022, has also won further work on a direct continuation basis and began its new program in early October. The Queen Gala was awarded Total Energies Rig of the Year for 2024 and has sustained its exceptional operational performance through 2025. Finally, the Cedral-owned West Gemini recently completed special periodic survey and is expected to commence a well-based contract with Sonigol E&P in the next few months. All three rigs operated through the Sonadryl joint venture have delivered exceptional performance year to date, each achieving near perfect technical uptime in excess of 99.7%. This accomplishment reflects our unwavering commitment to deliver industry-leading operational performance. We sincerely thank our joint venture partner and valued customers for entrusting CEDRIL with the management and technical delivery of Sonodrill's operations. Our teams have demonstrated a commitment to developing local talent, world-class performance, and, crucially, staying at the top of the performance curve. We are proud to contribute to the prosperity of Angola, its communities, and stakeholders, building a lasting legacy of responsible development and shared success. In the US Gulf, the West Valley, and Savannah, Louisiana, each secured new programs and direct continuation, adding a combined firm term of 195 days. The West Vela was awarded a one-well contract with Walter Oil and Gas, which we anticipate will commence in March 2026. The rig will then return to work for Talos to drill an appraisal well following the discovery drilled by West Vela in August this year. The West Vela demonstrates our ability to leverage team expertise and performance excellence. 25% of the crew have been with the rig since it left the shipyard in 2013, and it was among the first rigs in our fleet to be equipped with managed pressure drilling. A decade of shared experience in technology development allows us to drill and complete wells that were previously considered too challenging. The West Vela remains one of, if not the best performing rig in the US Gulf, routinely executing programs well ahead of schedule and under budget. The Savan Louisiana has secured a new contract with Walter Oil and Gas, which is expected to keep the rig working for over two months following the completion of its current assignment with Murphy Oil. We're grateful to Walter Oil and Gas for their continued partnership and confidence in our crews and assets. These new contracts reflect the strong collaboration we've built over time. Also worth noting, the Savan Louisiana is expected to finish its current campaign with Murphy Oil ahead of schedule. We appreciate the faith Murphy has placed in Cedral as a new customer and look forward to building on our partnership as we support their operations going forward. We continue to set the standard in collaboration and innovation. Our recent partnership with Trendsetter on well intervention activities in the US Gulf is our most recent example. We're preparing to install Trendsetter's equipment on the Savan, Louisiana, making an already distinctive rig in both design and function even more capable. This upgrade gives the rig flexible operating modes across both shallow and deep water environments, opening new markets and enhancing its commercial appeal. Staying in the US Gulf, the West Neptune commenced its first well with its newly installed MPD system in October with log. The rig system includes the state of the art integrated riser joint that is set to be the new standard in safer, more efficient and more reliable MPD operations. The West Polaris is also equipped with this system and has successfully delivered two MPD wells for Petrobras so far this year. By executing wells safely, ahead of schedule and under budget, we've built a reputation as a trusted offshore partner in the Golden Triangle and in key markets around the world. Additionally, we continue to actively increase the capabilities of our rigs through time with the addition of advanced technologies such as MPD. Turning to the market, we continue to see a constructive pace of contracting and an uptick in global tendering activity, building momentum for market recovery as we move from 2026 into 2027. CEDRAL has consistently highlighted the industry's underinvestment in offshore and the need for renewed sustained spending to offset production declines and meet future energy demand. Our view has been validated. Oil majors are calling for renewed focus on exploration and investment to avoid a future supply crunch, and there is a growing consensus that US shale production has plateaued. At a recent conference, ConocoPhillips emphasized the need to return to large-scale projects and exploration. Notwithstanding the recent increases in production, Saudi Aramco warned of a looming global oil shortage due to a decade of underinvestment, calling for renewed spending on exploration and production. On the Norwegian continental shelf, Equinor plans to drill 175 exploration wells by 2030. VAR Energi is targeting an average 15 exploration wells annually over the next four years, and ACA BP intends to drill 10 to 15 exploration wells per year going forward. We agree with Oxy CEO Vicky Holub who said, quote, when you have the best discovery that has been made in the past couple of decades, i.e. Guyana, producing only enough to cover one third of the demand in one year, that is a big issue, unquote. The renewed focus on deep water is becoming clear as the industry faces the realities of prolonged underinvestment and the constraints of short cycle supply. Capital is flowing back into offshore projects with a steady pace of new FIDs, while exploration activity is gaining pace across many geographies and geologies. At the same time, natural gas demand continues to climb, driven by emerging uses such as data centres and the need to support an overstretched power grid. Deepwater is once again at the center of meeting the world's energy needs. With that, I'll turn the call over to Samir.