A judge has effectively put on hold a decision on whether or not Brazil’s state oil firm Petrobras can terminate a drillship contract with Petroserv, the Brazilian oilfield services company.
Petrobras had moved to cut short its deal to charter the drillship Carolina but two Petroserv subsidiaries – Ventura Petroleo and Commodore Marine – took out an injunction to prevent the cancellation.
Now for a second time a Brazilian appeal court judge has upheld the injunction pending the final decision of another court – the full 7th Civil Division Court – about the validity of the period of the contract.
So all parties must wait but in the meantime the daily drillship rental of $250,000 still applies.
The financial struggles of Petrobras are well documented with it being hit by a perfect storm of massive debt, the plunging price of oil and the effects of a massive bribery scandal at the company.
Petrobras has been trying to clear some of the red ink by selling assets, laying off employees, constricting budgets and shortening or reworking some contracts.