Keppel FELS Clinches $265M Contract from Ensco to Build a Jackup

Keppel Corporation Limited reported Thursday that Keppel FELS Limited (Keppel FELS), a unit of the company's subsidiary Keppel Offshore & Marine (Keppel O&M), clinched a contract to build a KFELS Super A Class harsh environment jackup from a subsidiary of Ensco plc for around $265 million.

The jackup ENSCO 123 (400' ILC), the fourth ENSCO 120 Series that Ensco has ordered from Keppel FELS, is scheduled for delivery in 2Q 2016. The company has an option to order a similar jackup under the contract.

“We are pleased that Ensco ... continues to expand its fleet of harsh environment jackups with Keppel FELS. It marks the strength of our reputation for providing proven rigs that are the best in class ... We are encouraged that established drilling contractors such as Ensco continue to value rigs of quality and the Keppel promise of on-schedule project execution,” Tong Chong Heong, CEO of Keppel O&M said in a press release.

The ENSCO 120 Series jackups are based on the KFELS Super A Class and features Keppel FELS' proprietary and superior jacking and fixation system. These jackups can operate in water depths of 400 feet and drill to depths of 40,000 feet. It features advanced automated drilling systems with 2.5 million pounds of static hook load, a spacious deck and comprehensive amenities for a 145-person crew.

The ENSCO 120 Series jackups have an offline stand building capability to handle drill pipes efficiently. They are also equipped with the latest pinion overload detection, rack phase difference detection, and brake failure and overload protection devices, meeting the stringent Health, Safety and Environment (HSE) standards of various sectors in the North Sea.

“Customer acceptance of the ENSCO 120 Series design has been remarkably strong because the rig has proprietary, patented technology that significantly increases the operational efficiencies in harsh environments," Dan Rabun, chairman and CEO of Ensco plc said in the press release.

Keppel FELS delivered the first ENSCO 120 Series jackup, ENSCO 120 (400' ILC), earlier this year, which has been chartered to Nexen and is about to begin work in the North Sea. ENSCO 121 (400' ILC) and ENSCO 122 (400' ILC) are also contracted for multi-year terms in the North Sea following delivery from Keppel FELS.


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