Rowan lands new gig for idle jack-up rig
- Business & Finance
Offshore driller Rowan Companies has received a contract extension for one of its drillships and a one-well contract for an idle jack-up drilling rig.
Earlier in October, Rowan announced an all-stock merger agreement with Ensco, which will create an offshore drilling company with a fleet of 28 floating rigs (semi-subs and drillships) and 54 jack-ups. This includes two drillships and one jack-up rig under construction and does not include rigs which are part of Rowan’s ARO joint venture in Saudi Arabia.
According to Rowan’s latest fleet status report issued on Thursday, October 18 the U.S. oil company LLOG has exercised the first of its two one‐well priced options for the 2014-built drillship Rowan Resolute.
The drillship’s three‐well contract with LLOG started in mid‐June 2018. The second option is at a higher rate. Following this new option, the rig will be under contract with LLOG in the Gulf of Mexico until December 2018.
Furthermore, Rowan EXL III jack-up rig, built in 2010, has been awarded a one‐well contract with McMoRan in the U.S. Gulf of Mexico, which is expected to begin in late October 2018, immediately followed by a contract with Cantium.
The contract with Cantium, announced back in August, is expected to start in late November 2018 with a firm duration of six months plus a three‐month option period. The contract is scheduled to end in May 2019.
Rowan EXL III has been idle since mid‐August 2018 and went on rate with McMoRan in early October 2018 while waiting on weather to move.
As previously reported, the 2011-built jack-up rig Rowan Norway has been awarded a two-well contract with Turkish Petroleum with an estimated duration of 100 days and an estimated start date of mid‐November 2018.
The 2011-built jack-up Rowan Stavanger is expected to start its contract for accommodations work with Repsol Norge in early November 2018. The contract is for approximately 150 days, with one 60‐day option. Rowan said in the report that the rig is on standby rate since early September 2018. Standby revenue will be recognized over the accommodations work period.
Rowan’s three jack-up rigs, Rowan Middletown, Charles Rowan, and Arch Rowan, transitioned from managed to leased in early September 2018. The rigs were leased to ARO Drilling, a 50/50 joint venture between Rowan and Saudi Aramco.
As previously reported, ARO won three-year contracts for these rigs with Saudi Aramco.
Offshore Energy Today Staff