Maersk Drilling has reportedly decided to implement further layoffs following a recent contract termination for its Maersk Valiant drillship.
According to media sources, the offshore drilling contractor will cut a further 122 jobs when the 2014-built drillship reaches the end of its contract.
“With the termination of Maersk Valiant, we are reminded of the extremely challenging conditions in the offshore oil and gas market,” Maersk Drilling Head of Global Saes, Michael Reimer Mortensen, said on July 27 when the drill contract was terminated.
Maersk Cuts 122 Offshore Jobs
The early termination agreement for the deep water unit was signed by Maersk Drilling, ConocoPhillips and Marathon Oil with effect from mid-September 2016.
The original contract was scheduled to end in September 2017.
The rig had been in a joint contract with the two companies in the U.S. Gulf of Mexico since June 2014.
Earlier this month, Maersk Drilling had already announced it would cut up to 130 jobs following the contract termination of two other drilling rigs.
“It is with regret that we will see a high performing rig such as the Maersk Valiant without work, but we will continue to explore opportunities with our customers and seek ways to create innovative solutions to enable project viability,” Mortensen said at the time of the termination.
Maersk Valiant Cancelled Ahead of Schedule
Maersk Valiant was built in 2014 and is equipped with dual BOPs as well as an integrated MPD system.
The rig is designed for year-round operation in areas such as the Gulf of Mexico, West and East Africa and Asia Pacific.
It has been design to operate at water depths of up to 12,000 feet.
Maersk Drilling currently counts with 23 drilling rigs, including drill ships, deep water semi-submersible rigs and high-end jack-up rigs, as well as one ultra-harsh environment jack-up rig under construction.