COSL Gobbles Up AWO, Now Holds World's 8th Largest Rig Fleet

On July 7, China Oilfield Services Limited (COSL) announced that it had reached an agreement with Awilco Offshore ASA to acquire 100% of its shares with a cash tender offer of approximately NOK 12.7 billion (approximately $2.5 billion).

AWO is an international offshore drilling contractor owning and operating five jack-up drilling rigs and two accommodation units. Another three jack-up drilling rigs and three semi submersible drilling rigs are under construction. AWO also holds options for the construction of two semi submersible drilling rigs.

The combination of COSL and AWO will create the world's 8th largest rig fleet, consisting of 34 operated rigs (including rigs under construction) with operation and growth opportunities in most major international markets. AWO's modern high-specification rigs and cutting-edge technology for offshore drilling is a good strategic fit for COSL pursuant to its globalization and growth strategies.