Seadrill has signed agreement with Jurong shipyard in Singapore for building a new jack-up drilling rig.
The company plans to complete this new rig by the end of the third quarter of 2013. The total estimated cost of the project is US$530 million that comprises project board, drilling and handling tools, spares and principal interest.
ConocoPhillips received the five-year deal for the new jack-up drilling rig on the Norwegian Continental Shelf. The contract value is estimated around US$680 million. The company begins contract in the fourth quarter of 2013. The contract is dependent on the approval of the Norwegian Government for development and operation plan for Ekofisk South and Eldfisk II.
The construction of the new drill rig will be based on Seadrill's West Elara, the Gusto MSC CJ70 150A design. This advanced jack-up is built exclusively for Norwegian requirements and also matches the specification of the world’s largest jack-up drilling units. This drilling unit can work in water depths up to 150 meters having a high variable deck load and high operating efficiency than the former units. Added opportunities like well testing are possible through the size of the unit.
This is the primary task of Seadrill and ConocoPhillips is to build-up an industrial co-operation. However, the companies are planning to launch one more new and advanced jack-up drilling unit to widen the life cycle of Ekofisk. This latest rig is a significant addition to the fleet of the harsh environment drilling units that increases income.
Seadrill has also assigned drilling and construction contract with North Atlantic Drilling.