West Ariel is one of the three jack-ups contracted to work in the Middle East (source: Seadrill)
Offshore contractor Seadrill Limited was awarded three contracts by an unnamed operator for a trio of jack-ups
West Ariel, West Cressida, and West Leda will commence work in the Middle East. The firm-term of each contract is three years with an expected start of between Q1 2023 and Q2 2023. Total value for the three contracts is approximately US$404M inclusive of mobilisation revenue.
When these contracts have begun, Seadrill will operate seven units directly and have a further three units on bareboat charter in the Middle East.
Seadrill chief executive Simon Johnson said, “With our imminent relisting in Oslo, news of this award confirms Seadrill’s status as a preferred partner in a rapidly recovering rig market. Upon commencement of operations early next year, these rigs will add to Seadrill’s strong market share in the Middle East, leading to significant economies of scale by clustering rigs of similar design in a market segment where we see strong signs of recovery and long-term demand.”
This week, the company also announced new contracts worth US$105M for the West Neptune and Sevan Louisiana rigs in the US Gulf of Mexico. West Neptune has secured a four-well extension worth US$71M with two one-well options with LLOG Exploration Offshore, with a firm term of 200 days, which will keep the unit employed into August 2023. Sevan Louisiana’s three-well extension with Talos Production commences this August and will keep the unit occupied for 105 days.
In addition, the company’s joint venture partner Sonadrill clinched a 10-well contract worth US$161M with an affiliate of Angola’s Sonangol. Drillship West Gemini will begin work in Q4 2022 for a firm-term of 18 months in direct continuation of the vessel’s existing contract.
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