Lundin Contracts Odfjell Rig for Up to Nine Wells



Lundin Contracts Odfjell Rig for Up to Nine Wells
Lundin Energy Norway has awarded Odfjell Drilling a letter of intent (LOI) for the latter's Deepsea Stavanger semi-submersible rig.

Lundin Energy Norway (OTCMKTS: LNDNF) has awarded Odfjell Drilling (FRA: OD3)  a letter of intent (LOI) for the latter’s Deepsea Stavanger semi-submersible rig, Odfjell reported Monday.

“We are very pleased to continue to add backlog to our fleet and this letter of intent from Lundin Energy Norway again confirms our strong position in the harsh environment market,” Simen Laugh, Odfjell’s CEO, remarked in a written statement emailed to Rigzone.

Odfjell noted the LOI is subject to contract finalization and final approvals from involved parties. The company pointed out the contract is slated to commence in the third quarter of this year, with a duration of one firm well and eight optional wells.

According to Odfjell, the estimated value of the firm contract scope ranges from US$11-14 million plus incentives. The firm added the projection third-quarter contract commencement would immediately follow Deepsea Stavanger’s upcoming five-well contract with Aker BP (FRA: ARC). As Rigzone reported last September, Odfjell has valued the Aker BP contract at up to US$44 million.

“We are confident that Deepsea Stavanger will meet the high expectations set by Lundin Energy Norway and its partners,” commented Lieungh.

To contact the author, email mveazey@rigzone.com



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