UK-based Awilco Drilling has decided to scrap its 1983-built semisub drilling rig WilHunter, currently cold stacked in Invergordon.
“Recycling options are being pursued,” the company said during its Q3 earnings call. The rig’s demo value is estimated to be around $11.4m by the online pricing platform VesselsValue.
“The unit hasn’t worked for a long period of time and we think now is the right time to recycle the unit in an environmentally responsible fashion,” the company said, adding it could gain around $1m – $1.5m based on the recent increase of scrap values.
In addition to WilHunter, Awilco owns the 1982-built semi WilPhoenix, which is currently warm stacked in Invergordon following its contract with Ithaca.
The company also had plans to add two seventh-generation drilling rigs, ordering the pair at Keppel FELS for $425m each in 2018 and 2019, but the orders were terminated due to alleged breaches of contract. Arbitration processes related to the terminations continue.
Awilco Drilling booked a net loss of $4.6m in the third quarter of 2021.