We increase our target price 5.0% but maintain M-PF recommendation with 2.9% total return. We forecast a small loss in 2017 because of a lower TAD utilization rate and lower jack-up day rates despite significant improvement in jack-up utilization rates. Earnings will recover sharply in 2018 on the back of a recovery in day rates as well as drilling demand for major gas field projects, such as Red Emperor, Block B and White Lion.