Songa Trym Yard Stay Costs Hit $260 Million (Norway)

Songa Offshore, a Cyprus-based drilling contractor, has informed in its December 2012 fleet update that its Songa Trym rig has completed its yard stay at CCB shipyard in Norway.

The drilling contractor reported that non-conformities identified in the Petroleum Safety Authority’s (Petroleumstilynet) audit of November 15, 2012 have been corrected and addressed.

The rig moved off the yard to the fjord outside CCB January 2, 2013. The rig has since undergone incline testing, and is in process of completing final parts of drilling equipment package and getting its blow-out preventers (BOP) lifted on board prior to client acceptance testing.

The total cost for the yard stay is now estimated to approximately $260 million which includes $55 million reimbursed from Statoil. The costs have risen by 40 million when compared to Songa’s initial estimate of $220 million, meaning that Songa will now pay $205 million, instead of $165 million.

The work is anticipated to be completed by the end of January, and the rig will thereafter enter into a 3+2 year contract with Statoil under direct Songa Offshore management.

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Offshore Energy Today Staff, January 15, 2013