Norwegian oil company Equinor has exercised its option to add one more well to Odfjell Drilling's Deepsea Atlantic offshore drilling rig contract.
Odfjell Drilling said Wednesday the well had been exercised under the Continued Optionality mechanism in the contract entered into between the two companies in May 2018, as part of the overall Master Frame Agreement.
"The work shall commence after the completion of the current scope estimated to be in Q2/Q3 2021. The commercial terms are materially the same as for the recently announced Johan Sverdrup Phase 2 contract award," Odfjell Drilling said.
The two companies in November 2020 signed a contract for the use of the Deepsea Atlantic rig on Equinor's Johan Sverdrup Phase 2 field development in the North Sea, off Norway.
Under the terms announced in November, the contract for the use of the Deepsea Atlantic drilling rig on the Johan Sverdrup was for twelve firm wells plus five optional wells. Equinor has since exercised options for four wells, including the one announced Wednesday.