Shelf Drilling, the contractor of jack-up rigs, has secured long-term contract extensions for four of its jack-ups working offshore the Arabian Peninsula.
The rigs High Island II, High Island IV and Main Pass I will each be employed for a further 10 years while the Main Pass IV has a five-year extension, said the offshore drilling company exclusively focused on providing shallow water services to the oil and gas industry.
All four extensions are at day-rates generally consistent with current rates for these rigs and allow for annual rate adjustments based on the previous 12-month average Brent crude oil price.
The extensions are expected to commence in Q1 2020, it said.
David Mullen, Chief Executive Officer said: “We are very pleased to continue our long-standing business in the Arabian Gulf and see these long-term extensions as a recognition of our leading performance and a further strengthening of our position in a strategically important market."
Mullen said: "All four of these rigs have been delivering exceptional safety and up-time performance in the region since 2005, and these awards are a testament to the quality of our rigs and, most importantly, our people. This renewed commitment is also an excellent opportunity for us to build on our proven track record of delivering wells safely and efficiently in the region. These extensions will add significantly to our contract backlog and are yet another indication of the improving jack-up market. We remain focused on building this momentum throughout our business as the broader jack-up market recovery cycle unfolds.”
Shelf Drilling is a leading international shallow water offshore drilling contractor with rig operations across Middle East, Southeast Asia, India, West Africa and the Mediterranean.