NADL delays West Rigel rig again. Exploring ‘JV’ with Jurong

Exploration & Production

Offshore drilling contractor North Atlantic Drilling could set up a joint venture company with a Singapore shipyard.

Namely, the Seadrill subsidiary on Tuesday said it would extend its standstill agreement for the delivery of the West Rigel semi-submersible drilling rig from Jurong Shipyard in Singapore.

The drilling company explained that the delivery date has now been set for September 2, 2016, which should allow additional time to the parties to find work for the rig.

However, if no employment is secured for the West Rigel, and no alternative transaction is completed, NADL said it would form a „Joint Asset Holding Company“ for joint ownership of the rig.

The joint company would be 23% owned by NADL and 77% by Jurong.

This is not the first time the delivery of the sixth generation harsh environment semi-submersible drilling rig has been delayed.

The rig was originally planned for delivery in the second quarter 2015, after which the delivery date was put off for the fourth quarter of 2015, and then again for June 2016.

West Rigel is a 6th generation semi-submersible drilling rig. The design is based on Moss Maritime CS60 and the unit is designed to work in both benign and harsh environments. The unit is winterized, and suited for work in cold climate.

Offshore Energy Today Staff