Shell Saves £75 Million Renegotiating Day Rate for North Sea Drilling Rig
Shell have saved £75 over two years on the confirmed extension of a Drilling Rig operating in the North Sea
Noble Corporation have confirmed they have slashed the day rate of one of their Noble Hans Deul Jackup from $235,000 to $88,000 to keep it working for Shell for another 2 years. The savings total up to £75m over the 2 year term although may be less depending on day rate agreed for down time.
Noble Corporations latest fleet report confirms that Shell have awarded a 2 year extension for the Noble Hans Deul at the reduced rate which will take effect from August 2016.
The contract was originally started in August 2014 and the extension secures work for the rig until August 2016.
The new terms state: ‘The client has the right to early terminate the contract for convenience subject to a notice period and, in some circumstances, a retroactive dayrate adjustment.’
The Noble Hans Deul is a modern Jackup rig that was delivered to Noble Corporation in 2008. It is designed to work in relatively shallow waters and is well suited to the North Sea with a maximum water depth of 122m
