Rowan nets three rig deals. Working on drillship problem in Namibia
- Business & Finance
Rowan Companies, an offshore drilling contractor based in Houston, has secured more contracts during May, 2014.
The Joe Douglas jack-up rig has been awarded an estimated 90-day contract with Freeport-McMoRan Oil & Gas in the Gulf of Mexico starting May 2014 at a day rate of $165,000, which is above the previous day rate of $160,000.
Also, the Rowan Gorilla VII jack-up rig has secured a 220-day extension with Apache in the UK sector of the North Sea starting in November 2014 at a day rate of $280,000, unchanged from the current day rate.
Furthermore, Indonesian oil company Pertamina has extended the Rowan Gorilla II jack-up rig for approximately 120 days at a day rate of $146,000. The rig may be off rate for sometime in the second half of 2014 for a special survey. Scope of work, including the amount of out of service days, is currently under review.
The Rowan Renaissance drillship, currently operated by the Spanish oil company Repsol in Namibia, began experiencing issues with its subsea systems on May 19, 2014.
“The Company is working to rectify these issues and expects the rig to resume normal operations by the beginning of June 2014. During this period the Company may incur some amount of unbillable operational downtime,” Rowan said in its fleet status report.
During this period the Rowan may incur some amount of unbillable operational downtime.
In addition, Rowan expects seven days off rate time in 2Q 2014 for commissioning of late arriving equipment for the Rowan Renaissance. The day rate for the Rowan Renaissance, which began its drilling contract with Repsol in April, is $625.000.