UK-based offshore drilling contractor Ensco has revised terms with Petrobras over some of its rig contracts with Brazil’s scandal-plagued, financially troubled state oil firm.
By mutual agreement of the companies, two of the rigs – Ensco 6003 and Ensco 6004 – have had their contracts terminated effective May 1, 2016.
One rig, Ensco 6002, has had its term extended to December 2019 but its day rate has been decreased to $240,000.
And another one – ENSCO 6001 – will have its day rate reduced from $345,000 to $275,000 but the contract will still run to June 2018.
Ensco said the two rigs covered by the discontinued contracts will be removed from Brazilian waters and permanently retired, a sign of the weak state of the oil market.
In January Petrobras had cancelled the contract for Ensco drillship DS-5 over alleged graft payments involving a third-party consulting firm but Ensco denies those claims.