$600 Million Of Drilling Contracts Awarded

Published at 09:08AM - 31/03/16

US$600 million worth of offshore drilling contracts have been awarded by Statoil, extending drilling work across its assets in the Norwegian sector.

“The current contracts will help maintain activity on competitive terms in a market challenged by profitability,” said Geir Tungesvik, Statoil’s senior vice president for drilling.

$600 Million Of Drilling Contracts Awarded

The extensions come as Statoil exercises its first option, on three separate contracts originally awarded in 2012. The extensions, will increase the initial four year term by a further two and, combined are worth a total NOK 5 billion (US$600m).

All three extensions will run from the 1st October 2016 to 1st October 2018, and will see Statoil’s existing drilling contractors, KCA Deutag, Odfjell Drilling and Archer, continue to operate on their respective platforms.

Statoil have stated that the extensions come with some changes to the work-scope of the original contract, but continue to include drilling and well services, the maintenance of drilling facilities, in addition to modifications and any optional work.

“The suppliers have demonstrated innovation and submitted good proposals for continued development of these services, and Statoil is positive to continuing the work with all of the three companies.” concluded Tungesvik.

Statoil Drilling Contractors

Statoil current three drilling contractors, Archer, KCA Deutag and Odfjell Drilling currently operated the drilling facilities on the following platforms:

Archer, a Norwegian based drilling contractor, operate the drilling facilities on Statoil’s: Statfjord A, B, C; Visund; Njord; Sleipner A; Snorre A, B platforms.

KCA Deutag, a UK based drilling contractor, operate drilling facilities on Statoil’s: Oseberg B, C, South, East; Gullfaks A, B, C platforms.

Odfjell Drilling, a Norwegian based drilling contractor, operate the drilling facilities on Statoil’s: Grane and Heidrun platforms.