Odfjell Drilling Secures $148M Extension with Equinor for Deepsea Atlantic Rig

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Deepsea Atlantic rig (Credit: Odfjell Drilling)
Deepsea Atlantic rig (Credit: Odfjell Drilling)

Offshore drilling contractor Odfjell Drilling has agreed terms with Equinor to extend its contract for use of the Deepsea Atlantic semi-submersible rig until end the second quarter of 2027.

Deepsea Alantic will operate under previously agreed terms until mid-third quarter of 2026 as part of the contract the companies signed back in 2023.

After this, the unit will then continue with Equinor until end the second quarter of 2027 for an approximate incremental value of $148 million excluding escalation fees, integrated services, performance bonuses and fuel incentives.

The contract maintains further optional periods of four priced one well options as well as three further optional periods of approximately one-year each, with the rates for each period to be mutually agreed prior to exercising

If exercised, such options could keep the Deepsea Atlantic contracted into 2030.

Deepsea Atlantic rig is sixth generation deepwater and harsh environment unit, which can operate at water depths of up to 3,000 meters.

The dual derrick, dynamic-positioned rig incorporates enhanced GVA 7500 designs. Its maximum drilling capacity is 10,670 meters

 “With this additional backlog, the Odfjell Drilling owned fleet is now fully booked until 2027 with significant, predictable and increasing revenue backlog. In addition, we are very pleased to add further tenure with our long-standing client, Equinor, with whom the Deepsea Atlantic has been contracted since 2009,” said Kjetil Gjersdal, Chief Executive Officer of Odfjell Drilling.

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