Kuala Lumpur: Coastal Contracts has announced that is has secured a contract for the sale of a jack-up rig at a price of around RM807m ($223.5m).
The company didn’t reveal the buyer, just that it was a reputable oil company, and was due for delivery in the third quarter of 2015.
Ng Chin Heng, executive chairman of Coastal, commented: “I am pleased to announce that Coastal Group has secured a sale order of its first jack-up drilling rig. With the latest sale, our cumulative sales order book has further increased to a high of RM1.92billion, balanced with our long term charter contract for jack-up gas compression service unit in Mexico.
Amid low oil prices, the offshore demand for offshore drilling rigs. The decision to sell our first jack-up drilling rig was in order to reduce the Company’s exposure to a potential downturn in the drilling market.”
The company announced it would build the rig in March 2014, and had been working on the sale since the announcement.
