Norway’s Odfjell Drilling has won an extension for one of its rigs with compatriot energy major Equinor.
The deal is to extend the employment of the 2009-built Deepsea Atlantic semisub until the end of the second quarter of 2027.
The unit will operate under previously agreed terms until the mid-third quarter of 2026. The current 23-month contract has a value of about $290m.
After this, the unit will then continue with Equinor until the end of the second quarter of 2027 for an approximate incremental value of $148m excluding escalation fees, integrated services, performance bonuses, and fuel incentives.
The contract maintains further optional periods of four priced one-well options as well as three further optional periods of approximately one year each, with the rates for each period to be mutually agreed upon before exercising. If exercised, such options could keep the rig contracted into 2030.
“With this additional backlog, the Odfjell Drilling owned fleet is now fully booked until 2027 with a significant, predictable, and increasing revenue backlog,” said Kjetil Gjersdal, CEO of Odfjell Drilling.
