April 20, 2005
ENSCO 64 jackup declared constructive total loss
ENSCO International Incorporated (NYSE: ESV) says its jackup drilling rig ENSCO 64, which was severely damaged by Hurricane Ivan in September 2004, has been declared a constructive total loss for insurance purposes.
ENSCO expects to receive the $65 million insurance proceeds within the next two weeks, and plans to recognize an after tax gain of approximately $8 million related to this insurance settlement during the second quarter of 2005.
A final determination as to the extent of loss and related insurance recovery on ENSCO 25, a platform rig that also was damaged by Hurricane Ivan, is expected to be concluded during the second quarter of 2005. The recovery, net of deductible, is anticipated to be approximately $1.3 million