AmericasOffshore

Noble receives $540m early termination settlement from Freeport-McMoRan

Houston-based oil and gas E&P firm Noble Corporation announced it has now received the full settlement amount of $540m from Freeport-McMoRan for the early termination of drilling contracts for two drillships in the Gulf of Mexico.

The drillships Noble Sam Croft and Noble Tom Madden were contracted for work until July and November of 2017 respectively but they were terminated on May 10 of this year as Freeport tries to cut costs.

Noble received the payment in the form of Freeport shares which Noble resold.

Noble can also receive contingent payments up to $75m depending on the average price of crude oil in the 12-month period starting from June 30, 2016.

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Donal Scully

With 28 years experience writing and editing for newspapers in the UK and Hong Kong, Donal is now based in California from where he covers the Americas for Splash as well as ensuring the site is loaded through the Western Hemisphere timezone.

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