Jurong Shipyard Wins $1.08B Contracts to Build 2 Drillships for Transocean
Sembcorp Marine Ltd.'s subsidiary Jurong Shipyard has signed two contracts, worth $540 million each or $1.08 billion, to construct two ultra-deepwater drillships, including options for three additional units, from a subsidiary of Transocean Ltd.
Transocean has to exercise the first option within one year, the second within 18 months, and the final within 24 months of the signing of the existing contract. The company noted that the payment terms for both drillships are very favorable to Transocean.
The two drillships, scheduled for delivery in 2Q 2017 and 1Q 2018 respectively, will be built based on Jurong Shipyard’s proprietary Jurong Espadon III design which is capable of operating in ultra-deepwater development drilling operations worldwide.
"These newbuild drillship orders highlight continued execution of our long-term asset strategy ... We are committed to reinvesting in our fleet through the addition of differentiated, high-specification and high-return assets that will appeal to a wide spectrum of our customers. We are very pleased to partner with Sembcorp Marine's Jurong Shipyard in this effort," Steven L. Newman, president and CEO of Transocean Ltd. said in a press release.
The drillships will be equipped with state-of-the-art drilling facilities, a large moon pool to cater for a larger riser angle and bilge boxes designed for superior motion characteristics. They also feature larger deck space with enclosed riser bay and round mud pits inside the hull for operational efficiency and safety.
Equipped with DP-3 (Dynamic Positioning Class 3) capabilities, the drillships will be capable of operating at 12,000 feet water depth and drilling to depths of 40,000 feet, with accommodation facilities for a crew of 220 personnel. The drillships will be initially outfitted with one 15,000 psi blowout preventer (BOP) with the ability to add a second BOP.
“We are pleased that Transocean has chosen Jurong Shipyard as a strategic partner to build their drillships with us. We would like to thank Transocean for selecting us and for their confidence in our Jurong Espadon III design and capabilities,” William Gu, general manager of Jurong Shipyard’s Offshore Division said in a company release.
Transocean now owns and operates six drilling rigs built by Sembcorp Marine’s yards, including three jackups and one semisubmersible delivered by PPL Shipyard and two semisubmersibles built by Jurong Shipyard.
WHAT DO YOU THINK?
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.
- Malaysia's InvestKL Woos Top Oil, Gas MNCs to Base in Kuala Lumpur
- Petrobangla Invites EOIs for 3 Offshore Exploration Blocks in Bay of Bengal
- Malaysia's SapuraKencana Posts 7.1% Gain in 2Q FY17 PAT to $27M
- TH Heavy Engineering, McDermott End Partnership in Malaysia
- Singapore's NUS Slowly Builds its Petroleum Engineering Program
- Falcon Oil Declares Commercial Flow Test Results for Shenandoah Well
- Japan Failing to Meet Corporate Demand for Clean Power: Amazon
- Macquarie Strategists Expect Brent Oil Price to Grind Higher
- UK Oil Regulator Publishes New Emissions Reduction Plan
- PetroChina Posts Higher Annual Profit on Higher Production
- McDermott Settles Reficar Dispute
- US, SKorea Launch Task Force to Stop Illicit Refined Oil Flows into NKorea
- Pennsylvania County Joins List of Local Govts Suing Big Oil over Climate
- Russian Navy Enters Warship-Crowded Red Sea Amid Houthi Attacks
- USA Commercial Crude Oil Inventories Increase
- New China Climate Chief Says Fossil Fuels Must Keep a Role
- Equinor Makes Discovery in North Sea
- Standard Chartered Reiterates $94 Brent Call
- India Halts Russia Oil Supplies From Sanctioned Tanker Giant
- DOI Announces Proposal for Second GOM Offshore Wind Auction
- Centcom, Dryad Outline Recent Moves Around Red Sea Region
- PetroChina Set to Receive Venezuelan Oil
- Czech Conglomerate to Buy Major Stake in Gasnet for $917MM
- US DOE Offers $44MM in Funding to Boost Clean Power Distribution
- Oil Settles Lower as Stronger Dollar Offsets Tighter Market
- Chinese Mega Company Makes Major Oilfield Discovery
- VIDEO: Missile Attack Kills Crew Transiting Gulf of Aden
- Norway Regulator Blasts Proposal to Halt New Oil and Gas Permits
- Chinese Mega Company Makes Another Major Oilfield Discovery
- What Is the Biggest Risk to Offshore Oil and Gas Personnel in 2024?
- New China Climate Chief Says Fossil Fuels Must Keep a Role
- Vessel Sinks in Red Sea After Missile Strike
- Exxon Rights in Stabroek Do Not Apply to Hess Merger with Chevron: Hess
- Analysts Reveal Latest Oil Price Outlook Following OPEC+ Cut Extension
- Equinor Makes Discovery in North Sea