Sevan Drilling Exercises Option to Defer Delivery of Sevan Developer

Cosco Corporation (Singapore) Ltd. reported Monday that Sevan Drilling Rig VI Pte Ltd. has exercised an option with Cosco (Qidong) Offshore Co., Ltd. -- a unit of its 51 percent owned subsidiary Cosco Shipyard Group Co. Ltd. -- to extend the delivery date of the Sevan Developer (UDW semisub) by six months to April 15, 2016.

"Cosco Qidong is required to refund to the Shipowner (Sevan Drilling Rig VI Pte Ltd.) the sum of $26.3 million (being 5 percent of the contract price) plus interest, by Dec. 1, 2015. The final payment for the contract has also been amended from the original 80 percent of the contract price to 85 percent of the contract price of $526.0 million (amounting to $447.1 million) and can be amended further upon the expiration of the option period. The other terms and conditions under the deferment agreement entered into on Oct. 15, 2014, including termination rights, remain unchanged," Cosco said in the press release.

Earlier on Oct. 17, 2014, Cosco Qidong and Sevan Drilling Rig VI Pte Ltd. had agreed to defer the delivery date of Sevan Developer for 12 months with options exercisable at 6-month intervals, to extend the delivery date up to a total of 36 months from Oct. 15, 2014.

"In view of the deferment and the uncertainty as to whether the remaining options will be exercised, it is not possible to ascertain the financial impact of the agreement for deferment at this point in time," Cosco added.

Have a news tip? Share it with Rigzone!


Click on the button below to add a comment.
Post a Comment
Generated by readers, the comments included herein do not reflect the views and opinions of Rigzone. All comments are subject to editorial review. Off-topic, inappropriate or insulting comments will be removed.

Related Companies
For More Information on the Offshore Rig Fleet:
RigLogix can provide the information that you need about the offshore rig fleet, whether you need utilization and industry trends or detailed reports on future rig contracts. Subscribing to RigLogix will allow you to access dozens of prebuilt reports and build your own custom reports using hundreds of available data columns. For more information about a RigLogix subscription, visit

Our Privacy Pledge

More from this Author
Rigzone Staff
e-mail us at
 -  LyondellBasell Plans Its Largest Inves... (Jul 21)
 -  Preparing a Mechanical Engineering Res... (Jul 19)
 -  Tesoro Signs Deal with Pemex to Enter ... (Jul 19)
 -  Irish Gas Grid Could Receive LNG from ... (Jul 19)
 -  What's It Take to Land a Job as a Petr... (Jul 14)

Most Popular Articles

From the Career Center
Jobs that may interest you
Expertise: Floorhand / Roughneck|Roustabout
Location: Port Fourchon, LA
QA/QC Engineer
Expertise: Mechanical Engineering|QA / QC / Inspection
Location: Houston, TX
Electronics technician
Expertise: Electrical Technician|Field Service Tech|Mechanical Technician
Location: El Reno, OK
search for more jobs

Brent Crude Oil : $48.6/BBL 1.12%
Light Crude Oil : $46.34/BBL 1.24%
Natural Gas : $2.9/MMBtu 2.35%
Updated in last 24 hours