Lundin, Odfjell Drilling Sign LoI for Deepsea

Deepsea Stavanger drilling rig/Credit: BP/Flickr

Norwegian offshore drilling contractor Odfjell Drilling has signed a letter of intent with the oil company Lundin Energy for the use of its semi-submersible drilling rig Deepsea Stavanger.

The letter of intent is subject to the finalization of the contract and final approvals from involved parties, Odfjell Drilling, the owner of the DSME-built drilling rig said.

The contract is set to begin in the third quarter of 2021, upon completion of the Deepsea Stavanger’s upcoming five well assignment with Aker BP. The contract with Lundin Energy Norway will be for one firm well plus eight optional wells.

Per Odfjell Drilling, the firm contract scope has an estimated contract value of approximately USD 11-14 million plus incentives.

“We are very pleased to continue to add backlog to our fleet and this letter of intent from Lundin Energy Norway again confirms our strong position in the harsh environment market. We are confident that Deepsea Stavanger will meet the high expectations set by Lundin Energy Norway and its partners” says CEO of Odfjell Drilling AS, Simen Lieungh.

The Deepsea Stavanger rig recently returned from a project in South Africa, where it helped Total unearth another large offshore discovery.

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