Chinese offshore seismic service provider SinoGeo has announced a plan to set up a joint venture with US-based offshore driller Northern Offshore for rig operations.
SinoGeo and Northern Offshore will invest RMB150m ($21.8m) and RMB1.35bn ($196m) for a 10% and 90% equity interest in the joint venture respectively.
The jv will acquire the 2017-built jackup rig Energy Emerger from Northern Offshore.
SinoGeo believes the jv will enhance the company’s offshore exploration capability and secure drilling rigs for its subsidiary Smart Oil Investment, which has a production sharing contract with CNOOC for an offshore block in Bohai Sea.
Northern Offshore is controlled by Chinese company Shandong Offshore, and it currently has a fleet of three jackup rigs and three jackup newbuildings on order at Waigaoqiao Shipbuilding and Cosco Dalian Shipyard.