Offshore drilling firm Seadrill announced Friday that it has bought the Songa Eclipse (UDW semisub) rig for $590 million.
The rig, which was completed in Jurong Shipyard in Singapore in 2011, is currently being used by Total for work off Angola on a fixed contract that ends in December 2013. Total has three one-year options to further extend this contract.
Seadrill said that it will take delivery of the rig in December 2012, after which it will have an immediate impact on Seadrill’s cash flow and financial results.
"This investment is in line with our strategy of building a modern fleet through selective acquisitions and organic growth. The ultra-deepwater market is in a strong cycle, something we expect to prevail over the coming years and the acquisition increases our exposure to this segment. Furthermore, we are pleased to strengthen our relationship with Total in Angola, and increase our presence in the region, which adds scale to our operations and could further reduce our relative cost base in the region," Seadrill CEO Fredrik Halvorsen commented in a company statement.
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