Offshore drillers Aquadrill Offshore and Awilco Drilling have both been unsuccessful in court lately.
Aquadrill, formerly Seadrill Partners, lost a legal hearing against BP related to claims for breach of a drilling contract. The International Arbitration Tribunal in New York has ruled that Aquadrill’s claims for breach of contract and related requests for relief and damages are denied in full. The affiliate of John Fredriksen’s Seadrill Limited said it is evaluating the tribunal’s ruling and considering its options, including its right to appeal.
Aquadrill owns 11 offshore drilling units, consisting of four drillships, four semisubs and 3 tender assist drilling units.
Meanwhile, the UK-based Awilco Drilling failed in its appeal to the First-tier tribunal against Her Majesty’s Revenue and Customs (HMRC) over a £6.8m ($9.4m) tax bill arising in 2015 from the termination of a drilling contract for the WilHunter rig. WilHunter UK, a subsidiary of Awilco, claimed that the earned income was such that accumulated losses could be utilised against the income, resulting in a reduction in its tax liability for the year.
The company plans to challenge the ruling and will be making an application to the tribunal for the decision to be set aside and re-made. Subject to the outcome, Awilco said WilHunter will also consider applying for permission to appeal to the Upper tribunal.
Awilco Drilling owns two semisubs, the 1982-built WilPhoenix and the 1983-built WilHunter. The latter was cold stacked in Invergordon during Q2 this year.