Offshore drilling contractor Seadrill on Tuesday announced it has completed the sale of its three rig jack-up fleet in Qatar.
The previously disclosed sale sees the company divest the West Castor, West Telesto and West Tucana, as well as its 50% equity interest in the joint venture that operates the rigs, to Seadrill’s JV partner Gulf Drilling International.
Seadrill said it will reap $338 million in cash proceeds from the deal.
“Our divestiture of the Qatar jack-up fleet and exit from the joint venture are consistent with our ongoing efforts to strengthen and simplify our business and will allow us to focus on Seadrill’s core business: operating deepwater rigs across the Golden Triangle and similarly advantaged geographies,” said Simon Johnson, Seadrill's president and CEO, when the sale was announced in May.
“We believe that our strengthened liquidity position upon completion of the jack-up sale, coupled with our conviction in the deepwater floater market outlook and Seadrill’s competitive positioning within it, supports the expansion of our share repurchase program.” Johnson said.
