Odfjell Drilling has signed a contract with Equinor, formerly known as Statoil, for its semi-submersible drilling platform Deepsea Atlantic for six firm wells, after the two parities signed a letter of intent for the contract last month.
The contract is scheduled to commence early first quarter 2019 and is for an estimated duration of 18 months. The contract also contains the option to continue operations for Equinor after the firm period.
The contract value is estimated to $160m plus potential income from a contract incentive model.
In addition, as part of a long term co-operation with Equinor, Odfjell Drilling also signed a master frame agreement for all the drilling units in the fleet, which will be the foundation for any future rig requirements which may be agreed between the parties.
“A long term co-operation with Equinor is a key cornerstone in Odfjell Drilling’s long term strategy for growth on the NCS. The Master Frame Agreement formalizes this co-operation and allows the parties to work closer in developing new technologies and new ways of working to achieve even more efficient operations. The drilling contract for Deepsea Atlantic is hopefully the first of many opportunities to be realized under the Master Frame Agreement. Odfjell Drilling looks forward to being a key contributor to Equinor’s ambitious targets for drilling on NCS,” said Simen Lieungh, CEO of Odfjell Drilling.