Petrojack to Purchase JackInvest Shares

Petrojack ASA has entered into an agreement with Network Drilling Limited (a company owned 32% by Mr. Berge Gerdt Larsen) regarding acquisition of 100% of the shares in JackInvest I Pte Ltd which has a construction contract with Jurong Shipyard in Singapore for a premium jack-up drilling rig. The rig has similar specifications as the three existing Petrojack rigs under construction at the Jurong shipyard. The purchase price is approximately US $180 million, which includes both the acquisition of the shares in JackInvest I Pte Ltd and yard payments for the rig, as well as approximately US $5 million for project management. Delivery is expected no later than December 2008. The price and time of delivery are considered favorable. The last construction contract for a similar jackup, with delivery 1Q09 is in excess of US $180 million.

Petrojack ASA has given Pareto Securities ASA a mandate as arranger of two new bond issues. In addition to financing of the shares in JackInvest I Pte Ltd and yard payments for the above mentioned fourth jack-up rig, proceeds from the bond loans will also finance payments under the construction contract of Petrojack II.

One bond loan will be issued in US Dollars, is expected to generate gross proceeds of US $200 million and will carry a coupon of 6 month libor + 4.90%. The second bond loan will be issued in NOK, is expected to generate gross proceeds of NOK 500 million and will carry a coupon of 3 months libor + 6.25%. Settlement date for both bond loans is expected to end of May 2006. Both loans will mature in 2012, and will thus secure long term financing.

After the above mentioned acquisition, Petrojack will have a total of four modern jack-up rigs under construction at Jurong, with scheduled delivery in March 2007, January 2008, June 2008 and December 2008 respectively.

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

Most Popular Articles

From the Career Center
Jobs that may interest you
Oilfield Sales Representative - Outside Sales (Oil and Gas)
Expertise: Business Development|Project Management|Sales
Location: Odessa, TX
EU Business Development Manager - Refining/Maintenance Services
Expertise: Business Development
Location: Houston, TX
Manager, Probabilistic Risk Analysis Job
Expertise: Business Development|Research & Development|Technical Manager
Location: Minneapolis, MN
search for more jobs

Brent Crude Oil : $49.98/BBL 1.59%
Light Crude Oil : $49.18/BBL 1.56%
Natural Gas : $2.73/MMBtu 1.44%
Updated in last 24 hours