A majority owned subsidiary of Seadrill, which faces a possible Chapter 11 bankruptcy protection filing, the NADL jack-up rigs West Elara and West Linus secured 10-year long contracts with ConocoPhillips Skandinavia.
The West Elara contract extension starts from October this year and NADL has agreed to a day rate adjustment on the existing contract on the rig equivalent to a $58m reduction. Between October 2017 and March 2020 rig is on a fixed day rate worth a total of $160m, and then till October 2027 an indexed rate which the company expects to provide an estimated $530m in revenues.
Meanwhile the contract for the West Linus has been extended from May 2019 to end 2028 at an indexed day rate estimated to contribute $706m.
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