Odfjell rig lands more work with Equinor

Offshore rig owner Odfjell Drilling has been awarded more work for one of its semi-submersible rigs from Equinor in Norway.

Odfjell Drilling said on Wednesday that Equinor has exercised one new well for the Deepsea Atlantic rig.

The well has 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 the second or third quarter of 2021.

The commercial terms are materially the same as for the recently announced Johan Sverdrup Phase 2 contract award.

To remind, Equinor and Odfjell Drilling in July 2020 signed a letter of intent for the Deepsea Atlantic to drill 12 wells during phase 2 of the Johan Sverdrup field development in Norway, following its work on phase 1.

The drilling period was scheduled to start at the beginning of 2022.

In August 2020, Equinor decided to use the Deepsea Atlantic for three offshore wells, exercised under the continued optionality mechanism in the contract entered into between the two companies back in May 2018. This is also a part of an overall master frame agreement.

The work under this deal was scheduled to start following the completion of the rig’s then current scope, which was estimated to be in the fourth quarter of 2020.

Come December 2020 and Equinor exercised two new wells for the Deepsea Atlantic, scheduled to start around 1Q 2021.

Finally, in January 2021, Equinor exercised one additional well for the rig scheduled to start in the second quarter of 2021.