John Fredriksen-controlled Northern Ocean, a semisub rig spin-off of Northern Drilling, has raised $45m via a private placement to fund the reactivation costs of the 2018-built Deepsea Mira for a new multi-country drilling contract with TotalEnergies.
for a new multi-country drilling contract with TotalEnergies.The rig has been booked for work outside of the Norwegian Continental Shelf on a drilling programme initially commencing in Namibia. The contract worth $135m should start in the middle of the second quarter of 2023 and last around 300 days, with an option for 180 days and a further option to extend by 90 days.
Fearnley Securities, DNB Markets, Danske Bank Norwegian Branch and Pareto Securities acted as joint lead bookrunners in the private placement. Fredriksen’s Hemen Holding, which holds around 39% of the company’s shares, subscribed to the placement to maintain its shareholdings. A subsequent offering of 2.5m shares at roughly $1 per share is also on the cards.
The rig’s manager, Odfjell Drilling, which secured the contract on behalf of Northern Ocean, has already started reactivation activities and mobilisation preparation. The latest deal secures employment for both Northern Ocean’s semis with a contract backlog of over $250m. The second rig, the 2019-built Deepsea Bollsta is on contract with Shell in Namibia.
