GAIN ON SALE OF ASSETS TO UNCONSOLIDATED SUBSIDIARY GAIN ON SALE OF ASSETS TO UNCONSOLIDATED SUBSIDIARY (Tables)

12 Months Ended

Dec. 31, 2017

GAIN ON SALE OF ASSETS TO UNCONSOLIDATED SUBSIDIARY [Abstract]

Gain on sale of assets to unconsolidated subsidiary

GAIN ON SALE OF ASSETS TO UNCONSOLIDATED SUBSIDIARY

On October 17, 2017, pursuant to an Asset Transfer and Contribution Agreement, as amended, with ARO, the Company agreed to sell three rigs to ARO: the JP Bussell, the Bob Keller and the Gilbert Rowe and related assets for a total cash consideration of $357.7 million. The book value of these assets was approximately $200.3 million. As a result of this sale transaction with ARO, the Company recognized a gain on the disposal of rig assets in the amount of $157.4 million in 2017. See Note 1 and Note 3 for more details of the ARO joint venture.