Petrobras Extend Seadrill Contract but Lower Day-rate
Offshore drilling contractor Seadrill has been awarded an 18-month contract extension for the drillship West Tellus by Brazil’s state-owned oil company Petrobras.
The contract starts in April 2018 and secures work for the unit through the end of October 2019. The total backlog for the contract extension is approximately $164 million.
Seadrill reported that as part of the agreement to extend the contract for West Tellus, the drilling contractor has agreed to a dayrate reduction on the current contract effective from February 26, 2016, resulting in a $132 million reduction in backlog.
The net effect of this agreement is a $32 million increase in backlog.
West Tellus is working for the Brazilian oil company on the Libra field, offshore Brazil. The rig’s dayrate so far was $473,000.
Seadrill’s West Tellus is a 6th generation DP3 drillship rated for 3,600m water depth. It was built in 2013 by Samsung Shipyard in South Korea.
