Bermuda: Seadrill Secures Contract Extention Worth $90 M for Ultra-Deepwater Rig West Hercules

Seadrill has been awarded a six months contract extention for the ultra-deepwater semi-submersible drilling rig West Hercules by Husky Oil China Ltd.

The estimated value of the contract extention is approximately US$90 million. The extention secures continued employment for the ultra-deepwater unit offshore China until May 2012. Husky Oil China Ltd. has the right to extend the assignment by another six months on the same terms and conditions.

Alf C Thorkildsen, Chief Executive Officer in Seadrill Management AS says, “We are pleased to add further earning visibility for our ultra-deepwater rig fleet at what we believe is competitive terms and conditions given the current market sentiment. Our strong contract backlog gives us a unique opportunity to focus our efforts on safety and operational excellence “.

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Source: Seadrill, July 30, 2010: