Petrobras Terminates Drilling Contract with Diamond Offshore
Brazil’s Petrobras has terminated its contract for Diamond Offshore’s semi-submersible drilling rig Ocean Valor two years early and the owner says legal proceedings could follow.
“The company does not believe that Petrobras had a valid or lawful basis for terminating the contract, and the company intends to defend the rights of its subsidiary under the contract,” NYSE-listed Diamond Offshore said in a filing to the US SEC today.
The drilling contract was extended in 2014 and had been scheduled to terminate in October 2018.
The rig had been earning $455,000 per day during the extension period.
Source: Splash 247
