Noble Corporation Plc (NE): Business Model Canvas [Dec-2025 Updated]

You're digging into the mechanics of Noble Corporation Plc's business model as we head into late 2025, and honestly, it's a story of high-spec assets driving predictable cash flow. My two decades in this game, including leading analyst teams, tells me to look past the day-to-day noise and focus on the structure: they are locking in major players like Shell and Petrobras with long-term deals, backing a $7.1 billion contract backlog. This focus on operational excellence with their deepwater fleet is set to generate between $3.225 to $3.275 billion in revenue this year, all while returning $340 million to shareholders. If you want to see exactly how this high-spec, long-term contract strategy translates across their key partners, resources, and cost drivers, look no further.

Noble Corporation Plc (NE) - Canvas Business Model: Key Partnerships

Noble Corporation Plc maintains strategic alliances with major energy producers to secure long-term, high-value contract coverage across its fleet.

The company's financial structure involves significant obligations to financial institutions, reflected in its debt load as of the third quarter of 2025.

Deepwater contract awards with major international oil companies (IOCs) provide substantial backlog visibility.

• Shell: Two 7th generation drillships each secured 4-year contracts in the U.S. Gulf, with a base value of $606 million each (excluding mobilization/demobilization), carrying potential performance incentives up to 20% of the base value.
• TotalEnergies: Two contracts in Suriname represent firm revenue of $753 million over an estimated 1,060 days (16-well programs), plus an additional $297 million tied to operational performance. TotalEnergies also awarded a single well contract in Papua New Guinea starting Q4 2025, valued at an estimated firm $34.2 million.

Partnerships for specialized projects, such as Carbon Capture and Storage (CCS), involve specific rig commitments.

• BP (Northern Endurance Partnership CCS): Noble Intrepid secured a contract with an estimated duration of 160 days at a dayrate of $150,000. Noble Innovator was awarded a contract for a minimum duration of 387 days at the same $150,000 dayrate.

Long-term extensions with national oil companies (NOCs) in South America continue to support fleet utilization.

Noble Corporation Plc's total contract backlog, as of October 27, 2025, stood at $7.0 billion.

Agreements with major equipment suppliers and service companies for rig maintenance and support are critical, though specific contract values are not publicly itemized in the latest fleet status reports.

You can see the direct financial impact of these partnerships in the backlog figures; for instance, new contract awards since the April 2025 report added approximately $740 million to the backlog by late October 2025.

Noble Corporation Plc (NE) - Canvas Business Model: Key Activities

You're hiring before product-market fit... wait, that's not right for Noble Corporation Plc. You're looking at a mature, capital-intensive operation where key activities revolve around asset deployment, contract execution, and disciplined capital management. Here's the quick math on what they're actively doing as of late 2025.

The core activity is providing contract drilling services with a global fleet. This requires constant operational oversight and securing future work to keep the high-specification assets earning. The Q3 2025 Contract Drilling Services Revenue hit $757 million, showing the immediate output of this activity.

A major focus is managing a contract drilling services backlog. This backlog represents committed future revenue, which is crucial for visibility. As of October 27, 2025, the total backlog stood at $7.0 billion.

The company is actively engaged in fleet rationalization, including asset sales. This is about trimming the fleet to focus on higher-spec, higher-return assets. The sales of the jackup Noble Highlander and drillship Pacific Meltem closed in the third quarter, generating combined net proceeds of $87 million. Furthermore, the Noble Reacher was sold in October for $27.5 million.

Another critical activity is executing shareholder capital returns. Noble confirmed that total 2025 shareholder capital returns reached $340 million. This was supported by a Q4 cash dividend declared at $0.50 per share.

Finally, significant effort goes into rig maintenance, upgrades, and new contract preparation. This is reflected in the capital expenditure guidance. For the full year 2025, Capital Expenditures (net of reimbursements) guidance was narrowed to the range of $425 to $450 million, partly due to capital associated with recent long-term contract awards.

Here's a look at the key operational and financial metrics driving these activities:

The operational deployment is shown by the utilization figures, which directly impact revenue generation:

• Marketed fleet utilization in Q3 2025 was 65%.
• Utilization for floaters specifically was 65% in Q3 2025.
• Utilization for jackups was 60% in Q3 2025.

The backlog breakdown shows where the future work is scheduled:

• Backlog scheduled for revenue conversion in the remaining 2-plus months of 2025: approximately $0.5 billion.
• Backlog scheduled for revenue conversion in 2026: $2.4 billion.
• Backlog scheduled for revenue conversion in 2027: $1.9 billion.

Finance: draft 13-week cash view by Friday.

Noble Corporation Plc (NE) - Canvas Business Model: Key Resources

You're looking at the core assets that power Noble Corporation Plc's operations as of late 2025. These aren't just line items on a balance sheet; they are the physical and human engines driving contract revenue.

The physical assets are anchored by a modern, high-specification fleet. While the company has been rationalizing older units, the focus is clearly on premium assets capable of securing long-term, high-value work. You can see the composition below, which reflects the strategic direction following recent acquisitions and sales.

The visibility into future revenue, a critical resource for planning and financing, is strong. The contract drilling services backlog provides a solid foundation against near-term market volatility. Honestly, a backlog of this size gives management a lot of breathing room.

• Contract drilling services backlog as of late October 2025: approximately $7.1 billion.
• Backlog scheduled for revenue conversion in 2026: $2.4 billion.
• Backlog scheduled for revenue conversion in 2027: $1.9 billion.
• Total shareholder capital returns for 2025: $340 million.

Liquidity is another key resource, ensuring the company can meet obligations and fund necessary capital expenditures without stress. The cash position reflects recent asset disposals and strong operating cash flow generation through Q3 2025.

Cash and cash equivalents as of September 30, 2025, stood at $477.9 million. This was up from the prior quarter, partly due to net disposal proceeds totaling $87 million during Q3 2025 from the sale of the Noble Highlander and Pacific Meltem. Net cash provided by operating activities for Q3 2025 was $277 million.

Finally, the human capital-the highly skilled offshore and onshore technical personnel-is indispensable for operating these complex assets safely and efficiently. The growth in this resource reflects the company's expansion and contract momentum.

• Total number of employees in fiscal year 2025: 5,000.
• This represents a year-over-year growth of 1,400 employees, or 38.89%, from the 2024 count of 3,600.
• The market for these workers is noted as extremely competitive, requiring investment in equity and cash incentives to retain them.

Finance: draft 13-week cash view by Friday.

Noble Corporation Plc (NE) - Canvas Business Model: Value Propositions

You're looking at the core reasons customers choose Noble Corporation Plc for their most critical offshore drilling needs, which is all about having the right rig, the right people, and the right schedule.

Modern, versatile, and technically advanced offshore drilling fleet.

Noble Corporation Plc offers a high-specification fleet, which is key to tackling varied and complex well designs globally. The company has been active in fleet rationalization, including the sale of the Noble Highlander jackup and Pacific Meltem drillship in Q3 2025, yielding $87 million.

Here's a snapshot of fleet commitment as of late 2025, showing strong forward coverage:

The fleet includes assets capable of handling demanding environments, such as the Noble Innovator, a Gusto MSC CJ 70-150 MC design jack-up built in 2003 that can accommodate 120 people.

Operational excellence and safety record for complex deepwater projects.

The value proposition here is built on a commitment to Health, Safety, and Environmental (HSE) performance, which is integrated into the business strategy. Noble Corporation Plc's HSE management system is certified to ISO 14001:2015.

The company also focuses on environmental stewardship, having achieved a B score from CDP for its carbon footprint reduction efforts. Furthermore, Noble is advancing energy efficiency through its EnergyWise initiative, aiming for a 6 or greater reduction in energy use when fully implemented.

You can see the focus on reliability translating into long-term customer commitments:

• Noble Developer has a two-year extension with bp in the US Gulf until February 2029.
• Noble Stanley Lafosse has a contract extension until approximately August 2027.
• Noble Valiant has a contract commitment in Suriname extending through Q3 2029.

Long-term contract visibility through 2031 for customers.

Securing long-term work provides customers with schedule certainty and Noble with revenue visibility. While the CEO noted enhanced visibility through 2030 following Q1 2025 contract awards, specific rig contracts extend further.

For instance, the Noble Voyager and another V-class 7th generation drillship each secured four-year contracts with TotalEnergies in Suriname, set to commence between Q4 2026 and Q1 2027, with base values of $606 million each.

Supporting energy transition projects like CCS drilling for BP.

Noble Corporation Plc is actively supporting the energy transition, specifically in Carbon Capture and Storage (CCS) well infrastructure. This is a strategic area where the company has secured technical qualification from DNV for supporting offshore $\text{CO}_2$ operations.

The most concrete example is the work with BP for the Northern Endurance Partnership ($\text{NEP}$) in the UK North Sea. This project is designed to store up to 100 million tons of $\text{CO}_2$ over a 25-year span, with an annual injection rate target of 4 million metric tons.

The value proposition here is demonstrated by the specific contract details for the Noble Innovator jack-up rig:

• Firm Wells: Six wells.
• Options: Option for two additional wells.
• Contract Dayrate: $150,000.
• Commencement: Expected in Q3 2026.

Finance: review the impact of the $0.50 per share Q3 2025 dividend on the $340 million returned to shareholders year-to-date.

Noble Corporation Plc (NE) - Canvas Business Model: Customer Relationships

Noble Corporation Plc focuses its customer relationships on securing long-term, strategic commitments with major International Oil Companies (IOCs) and National Oil Companies (NOCs). As of the third quarter of 2025, the total contract drilling services backlog stood at $7.0 billion, reflecting over 22 rig years of backlog added during 2025. This backlog figure, as of April 28, 2025, had been calculated assuming 40% of available performance-based revenue was realized. The company's floater fleet utilization was 75% in the second quarter of 2025. For the full year 2025, management noted that 95% of the adjusted EBITDA guidance midpoint was contracted as of Q1 2025.

The company's strategy emphasizes securing multi-year rig commitments through direct negotiation, evidenced by recent major awards. For instance, Noble Developer and another V-class 7th generation drillship secured four-year contracts with Shell in the U.S. Gulf, each carrying a base value of $606 million. Furthermore, TotalEnergies awarded firm revenue contracts in Suriname totaling $753 million, expected to commence between Q4 2026 and Q1 2027. The company's marketed fleet utilization was 65% across 35 marketed rigs in Q3 2025.

The direct negotiation model is enhanced by tying compensation directly to operational success. Performance-based incentive compensation is a feature on key contracts. For example, the TotalEnergies contracts allow for an additional $297 million in revenue tied to a collective operational performance program. Similarly, the Shell contracts include performance-based incentives that could yield an additional 20% in revenue over the base value. This structure aligns Noble Corporation Plc's revenue potential with superior execution for the client.

The company supports these strategic relationships with dedicated account management, a core component of its First Choice OffshoreSM strategy. While specific team sizes aren't public, the successful execution of complex, multi-year deals with major players like Shell, TotalEnergies, and bp demonstrates a high level of commercial and technical engagement. The company secured approximately 15 rig years of new contract awards in Q1 2025 alone, representing $2.2 to $2.7 billion of revenue potential.

The focus on long-term commitments is visible in contract extensions as well. Noble Stanley Lafosse received an extension with its current U.S. Gulf customer until approximately August 2027.

• Major IOCs/NOCs securing multi-year commitments include Shell, TotalEnergies, and bp.
• The firm contract value added since the April fleet status report through Q3 2025 was approximately $740 million.
• Noble Viking secured a firm contract with TotalEnergies in Papua New Guinea valued at $34.2 million for one well, excluding variable performance bonus.
• Noble Globetrotter I secured a contract with OMV in Bulgaria valued at $82 million for approximately four months.

Noble Corporation Plc (NE) - Canvas Business Model: Channels

Direct sales and marketing team for contract negotiation.

The commercial efforts are spearheaded by leadership roles such as the Senior Vice President of Marketing and Contracts, a position held since October 2022, with prior experience in leading marketing and contracts for the Middle East and India. Personnel with experience in Marketing and Contracts have been in roles dating back to 2015 within regions like the Far East and Oceania.

The volume of business flowing through these negotiations is substantial, as evidenced by the contract awards:

• Approximately $740 million in new contract value secured since the August 2025 fleet status report.
• Total contract backlog stood at $7.0 billion as of the third quarter of 2025.
• New contract awards in the first quarter of 2025 represented $2.7 billion of revenue potential.
• The base value for two four-year contracts awarded by Shell in the U.S. Gulf was $606 million each.

The negotiation process directly impacts the forward visibility, with the backlog providing coverage of 62% of available days for 2025, representing $1.1 billion.

Global operating footprint across established and emerging regions.

Noble Corporation Plc supports its global operations with a workforce of approximately 5,000 total employees. The company provides contract drilling services globally, focusing on ultra-deepwater and high specification jackup drilling opportunities in both established and emerging regions worldwide. The fleet is positioned to serve customers who are primarily large, integrated, independent, and government-owned or controlled oil and gas companies throughout the world.

Rig deployment in key basins: US Gulf, Guyana, Suriname, North Sea.

The deployment strategy targets key geographic areas where customer demand is concentrated. As of the second quarter of 2025, Noble Corporation Plc's marketed fleet utilization was 70%. Specifically, the floater fleet utilization was 75% contracted during Q2 2025.

Key basin activity includes:

• US Gulf: Noble Stanley Lafosse received a five-well extension until approximately August 2027. A V-class 7th generation drillship was confirmed for Shell in the US Gulf to begin in Q4 2027.
• Suriname: Noble Regina Allen was awarded a one-well contract expected to commence in Q4 2025 with an estimated value of $17.7 million. Another rig was confirmed for TotalEnergies in Suriname starting in Q4 2026.
• North Sea: The majority of the jackup fleet was positioned here as of December 31, 2024. Noble Resilient secured a contract in the UK North Sea for a minimum duration of 120 days at a dayrate of $133,000. Noble Innovator secured a contract with BP in the UK for the Northern Endurance Partnership CCS project at a dayrate of $150,000.
• Other Regions: Noble Viking received a contract from TotalEnergies in Papua New Guinea valued at approximately $34.2 million for about 47 days. Noble Globetrotter I was awarded a contract in Bulgaria valued at $82 million for approximately four months.

The following table summarizes key operational and financial metrics relevant to the channel performance as of late 2025 reporting periods:

The company's ability to secure long-term commitments is reflected in the backlog, which shows 49% committed for 2026 (valued at $2.3 billion) and 36% for 2027 (valued at $1.6 billion).

Noble Corporation Plc (NE) - Canvas Business Model: Customer Segments

Noble Corporation Plc serves a global customer base across various energy sectors, focusing on high-specification assets.

As of late 2025, the customer base is segmented across major international players, national entities, independents, and emerging energy transition developers. The total contract backlog stood at $7.0 billion as of the third quarter of 2025 fleet status report.

The historical customer concentration, based on the backlog as at December 31, 2024, shows significant reliance on the largest International Oil Companies (IOCs):

• ExxonMobil represented approximately 37.2% of the backlog.
• BP represented approximately 13.1% of the backlog.
• Petrobras represented approximately 12.6% of the backlog.

Recent contract awards in 2025 further illustrate engagement with these key groups:

The focus on energy transition is becoming a distinct customer segment, evidenced by specific project wins. Noble Corporation Plc is actively supporting Carbon Capture and Storage (CCS) and offshore wind infrastructure development.

Key activity within the Energy Transition Developers segment includes:

• Contracts with bp for the Northern Endurance Partnership CCS project in the UK North Sea, involving the Noble Innovator and Noble Intrepid rigs.
• A 92-day accommodation services contract awarded to the Noble Resilient with Inch Cape Offshore, supporting a UK North Sea wind farm. This contract was valued at approximately $6.5 million.

The utilization profile of the fleet as of late 2025 reflects the current demand from these segments. Noble's marketed fleet of 35 rigs had a utilization rate of 65% in the third quarter of 2025. Separately, the floater segment (which includes many of the high-spec rigs servicing IOCs) was 75% contracted during the second quarter of 2025.

Independent E&P companies are served through ongoing contracts, such as the extension for the Noble Stanley Lafosse with its current customer in the U.S. Gulf, keeping the rig contracted through approximately August 2027.

Noble Corporation Plc (NE) - Canvas Business Model: Cost Structure

You're looking at the core expenses that keep Noble Corporation Plc's high-specification fleet running and servicing its deepwater contracts. The cost structure is heavily weighted toward direct operational expenses, but you also need to factor in the capital required to maintain and upgrade these assets, plus the cost of servicing the balance sheet.

For the third quarter of 2025, the direct costs associated with keeping the rigs working were substantial. To be fair, a significant non-cash charge hit the books in that period, too, related to asset disposition decisions. Here's the quick math on the key cost drivers we see in the latest filings.

The capital expenditure guidance for the full year 2025 is set between $425 million and $450 million, net of customer reimbursements. This spending reflects ongoing investments in the fleet, though it's worth noting that some reactivation capital for specific rigs will be reimbursed upfront.

The balance sheet structure directly impacts the income statement through financing costs. With a total debt principal of $2 billion as of September 30, 2025, the associated interest expense for the third quarter was $40.5 million. This is a fixed cost you must account for regardless of dayrates.

You should also track costs related to fleet optimization, which can be lumpy. The Q3 2025 results included a specific, non-cash charge:

• Impairment charge tied to assets classified as held for sale: $60.7 million.
• Additional outlays expected related to legacy Diamond ships contract terminations: up to approximately $135 million.

Finance: draft 13-week cash view by Friday.

Noble Corporation Plc (NE) - Canvas Business Model: Revenue Streams

You're looking at the core ways Noble Corporation Plc brings in cash, which is almost entirely tied to its high-specification drilling fleet utilization and strategic asset management as of late 2025. The revenue streams are heavily weighted toward dayrates secured through long-term commitments, which is what provides that multi-year visibility we analysts like to see.

The primary revenue driver is the Contract drilling services revenue. For the full year 2025, Noble has narrowed its guidance for Total Revenue to a range of $3,225 to $3,275 million. To give you a recent snapshot, the Contract drilling services revenue for the third quarter of 2025 specifically was $757 million, which was a sequential decrease from the second quarter, largely due to rig utilization dipping to 65% for the marketed fleet in Q3 2025.

Here's a quick look at how the revenue streams break down based on recent disclosures:

Beyond the dayrate revenue, other specific streams contribute to the top line. You should watch for these as they can cause quarter-to-quarter variability, so be mindful of the timing.

• Mobilization and demobilization fees from new contracts: These are recognized as revenue when the associated services occur, and they are explicitly excluded from the stated contract backlog figures. For example, one contract award in Q2 2025 for the Noble Globetrotter I was valued at $82 million, which included mobilization and demobilization fees.
• Performance-based incentive revenue from long-term contracts: This revenue is contingent on meeting certain operational or financial targets over the contract life. Noble's backlog figure as of April 28, 2025, of $7.5 billion included an assumption of realizing 40% of the available performance revenue under recently announced long-term contracts.
• Proceeds from the sale of non-core assets: This is a non-recurring, but significant, cash inflow stream. The previously mentioned asset sales of the jackup Noble Highlander and drillship Pacific Meltem closed in the third quarter, generating combined net proceeds of $87 million. To be fair, the sale of the Noble Reacher in October added another $27.5 million.

The company is actively managing its asset base to focus cash generation on core, high-spec assets. For instance, the sale of the Pacific Meltem and Noble Highlander contributed to the $87 million in net disposal proceeds during the third quarter. This active management helps streamline operations and fund shareholder returns, like the declared fourth-quarter cash dividend of $0.50 per share, bringing total 2025 shareholder capital returns to $340 million. Finance: draft 13-week cash view by Friday.