Precision Drilling Corporation reported that planned capital expenditures for 2013 are $485 million and the implementation of a quarterly dividend starting in the 4th quarter of 2012. Precision also announced a new international contract award for two new build rigs in Kuwait and asset writedowns as part of Precision's High Performance, High Value strategy.

2013 Capital Plan and Update on 2012 Capital Plan

The 2013 capital expenditure plan includes $164 million for expansion capital, $194 million for sustaining and infrastructure expenditures and $127 million to upgrade existing rigs. Precision expects that the $485 million will be split $417 million in the Contract Drilling segment and $68 million in the Completion and Production Services segment.

Precision's expansion capital plan includes completing construction of two remaining rigs from the 2012 new build program, one new build rig for the North American market and the costs to complete about 50 percent of two new build rigs for international operations. All new build rigs are backed by long-term contracts.

Tags: Precision Drilling Corporation