Shelf Drilling hit with two early contract terminations

Offshore drilling contractor Shelf Drilling has received early contract terminations from ADNOC Drilling for two jack-up rigs.

Compact Driller jack-up rig - Shelf Drilling
Compact Driller jack-up rig; Source: Shelf Drilling

Shelf Drilling said on Monday it has received a notification from a customer on early termination of the contracts for the High Island VII and Compact Driller jack-up rigs.

The contract end date for both rigs has been updated to August 2021.

The original contract end dates for the High Island VII and Compact Driller were February 2023 and June 2022, respectively.

Both rigs have been operating for ADNOC Drilling offshore the United Arab Emirates, according to Shelf Drilling’s fleet status report, last updated in November 2020.

The High Island VII rig was awarded a three-year contract extension by ADNOC Drilling back in October 2019. The contract also included a two-year option period.

The High Island VII jack-up rig is of a Marathon LeTourneau 82-SD-C design built in 1982. The rig’s last upgrade was in 2016.

The Compact Driller received a three-year contract award from ADNOC Drilling back in December 2018.

The contract included two one-year options, and the planned start-up of operations was in the first half of 2019.

The 300-foot jack-up rig Compact Driller is of a Marathon LeTourneau 116-C design built in 1992. The rig’s last upgrade was in 2013 performed by Unithai Shipyard.