Norwegian oil and gas firm Equinor has exercised its option to extend the contract for Odfjell Drilling's Deepsea Atlantic semi-submersible drilling rig.
Odfjell Drilling said Friday that Equinor had exercised its right to add two new wells to the rig's contract.
Commenting on Friday, Odfjell Drilling said that the wells have been exercised under the continued optionality mechanism in the contract entered into between the parties in May 2018, as part of the overall Master Frame Agreement.
The work will start after the completion of the current scope estimated to be in Q1 2021.
"The commercial terms are materially the same as for the recently announced Johan Sverdrup Phase 2 contract award," Odfjell Drilling said.
To remind, the two companies signed a contract for the use of the rig on Equinor's Johan Sverdrup Phase 2 field development in November.
Under the terms in November, the contract for the use of the Deepsea Atlantic drilling rig on the Johan Sverdrup is for twelve firm wells plus five optional wells. This contract is set to begin in the first quarter of 2022. The approximate contract value for the 12 wells at Johan Sverdrup 2 is scope is up to $150 million.
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