Diamond Offshore to Manage Aquadrill's Rig for One-year Deal in GoM

OE Staff
Friday, September 24, 2021

Offshore drilling firm Aquadrill - ex-Seadrill Partners - has entered into a charter hire agreement with drilling contractor Diamond Offshore Drilling - as a rig manager - for Aquadrill's Auriga drillship.

Under the contract, Aquadrill will provide the Auriga rig for a one-year drilling contract plus a one-year mutually agreed option for operations in the U.S. Gulf of Mexico. 

The charter hire agreement for the 7th generation dynamically positioned drillship - formerly known as West Auriga - will be extended if the two companies mutually agree to exercise the optional term.

"The terms of the charter hire agreement are consistent with the current management services agreements in place between the company and the Manager. Further, the resulting financial benefits are as if the company had entered into the drilling contract directly," Aquadrill said, without sharing details on the end client.

Under the drilling contract associated with the charter hire agreement, the Auriga will be upgraded with managed pressure drilling capabilities, the company said.

"The total contract value for the firm portion of the drilling contract is expected to be $94 million and commencement is expected in February 2022 following reactivation, upgrade, contract preparation, and system integration testing," Aquadrill said.

Data from Esgian's Bassoe Analytics show that the client is most likely BP, with the dayrate for the firm part of the contract estimated at $257,500.


Categories: Vessels Drilling Activity Rigs

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