Energy Drilling to manage three tender rigs for Seadrill

Tender rig specialist Energy Drilling Management Pte Ltd (EDMPL) has entered into a management agreement with Seadrill Partners to maintain, market and operate three of its tender rigs.

West Vencedor rig - Seadrill
West Vencedor rig; Source: Seadrill

The rigs in question are Seadrill-T15, Seadrill-T16, and West Vencedor and the agreement is effective from 3 February 2021, Energy Drilling said earlier this week.

After the transaction, Energy Drilling will effectively market and eventually operate a fleet of six tender rigs comprising of four barge-type and two semi-submersible type tender rigs.

The rigs are preserved in Singapore, Malaysia, and Indonesia and plans are in place to transition the rigs from Seadrill Management to Energy Drilling Management.

The rigs will be actively marketed by Energy Drilling to operators in the region and West Africa who are familiar with the deployment of tender rigs for development drilling on fixed platforms in shallow waters and Spars and TLPs in deep-waters.

Marcus Chew, CEO of Energy Drilling, said: “This clearly demonstrates the value proposition offered by Energy Drilling in a competitive market. This transaction will help consolidate the tender rig sector as we enter into a market that is showing early signs of recovery”.

John Roche, CEO of Seadrill Partners, said: “We are impressed by the knowledge and professionalism shown by the Edrill team throughout the selection process. Their effective cost structure and their unique focus on the tender rigs segment of the drilling market will translate to the best chances of helping these assets to get back to work”.

It is worth reminding that Seadrill Partners filed for Chapter 11 bankruptcy in late 2020.

Seadrill Partners LLC, set up as an asset-holding unit, owns four drillships, four semi-submersible rigs, and three tender rigs which are all operated by Seadrill Ltd.

Seadrill Ltd. is also in a challenging financial situation and the company is working to come up with a solution for its troubles.

The latest update on this situation, released earlier this week, said that Seadrill had entered into a forbearance agreement with certain creditors in respect of nine out of the group’s twelve senior secured credit facility agreements.