Ocean Rig is continuing to participate as a partner in the Weymouth well (Nova Scotia Exploration License 2380) on the East Coast of Canada, currently being drilled by the company's semisub Eirik Raude. The two other partners are EnCana and Shell.
Due to challenging geological conditions in the well, the forecasted time to complete the drilling has been extended, and as a consequence, the cost exceeds the initial budget. The delay is not related to the operational performance of Eirik Raude, which has been satisfactory.
In order for Ocean Rig to maintain the full potential of any discovery, along with EnCana and Shell, the company has made a decision to continue its participation in the well. According to a revised agreement, Ocean Rig has a right to cap its cost.
The company's decision is based on information related to the prospect and information acquired during the drilling process.
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