Oslo-listed drilling contractor Shelf Drilling has secured contracts for two jack-ups valued at approximately $234 million for operations offshore Nigeria.
The Dubai-based rig owner has finalised a three-year contract for the Shelf Drilling Achiever, with operations scheduled to commence in October 2024.
The contract includes an option for an additional two years.
The combined contract value for the five-year total firm period added for the two rigs, excluding mobilization and demobilization revenue, is $234 million, according to the release.
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“These contracts in Nigeria contribute significant backlog and revenue visibility for Shelf Drilling in 2025 and beyond. We look forward to delivering continued strong safety and operating performance with the Adriatic I following many years of continuous activity in Nigeria and successfully bringing the Shelf Drilling Achiever into operations later this month,” Greg O’Brien, the CEO of Shelf Drilling said.
In September, Shelf Drilling secured a contract for the Shelf Drilling Mentor covering 10 wells and an estimated duration of 450 days in direct continuation of the rig’s current campaign in Nigeria with a contract value of $60 million.
The Shelf Drilling Achiever rig was brought to West Africa on a dry transport carrier. The company also mobilized the Main Pass IV rig using the same dry transport carrier.
O’Brien said in a separate statement, “We are very pleased with these two awards, which build on our leading position in West Africa and demonstrate the strength of this market. These awards further support our decision to mobilize the two rigs from the Middle East, and we are confident that operations for the Main Pass IV will also commence shortly after the rig’s arrival”.
Meanwhile, Shelf Drilling completed the sale of its Baltic jack-up rig for $60 million.
According to a separate news release, the buyer intends to deploy the rig on a multi-year, plug and abandonment (P&A) program in Malaysia, and Shelf Drilling has agreed to provide rig management and operations support to the buyer for the upcoming P&A campaign. The buyer’s name was not disclosed.
In June, the Baltic jack-up rig completed its contract in West Africa.
Shelf Drilling describes itself as a leading international shallow water offshore drilling contractor with rig operations across the Middle East, Southeast Asia, India, West Africa, the Mediterranean and the North Sea. The company was founded in 2012 and “has established itself as a leader within its industry through its fit-for-purpose strategy and close working relationship with industry-leading clients,” it said.
In April, Shelf Drilling received notification from a Middle Eastern customer about the suspension of the operations of four jack-up rigs. The customer was not disclosed by the company.
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