Statoil firms up Norwegian rig capacity

Statoil has signed a letter of intent with Odfjell Drilling to use the semisubmersible drilling rig Deepsea Bergen for production drilling in the Norwegian Sea.

Offshore staff

STAVANGER, Norway -- Statoil has signed a letter of intent with Odfjell Drilling to use the semisubmersible drilling rig Deepsea Bergen for production drilling in the Norwegian Sea. The contract value is around $380 million.

Ivar Aasheim, Statoil’s SVP for the operations north cluster of the Exploration & Production Norway area, said: “It secures our future capacity in the rig market, thus enabling us to maintain our production targets in the longer term.”

The three-year contract includes a one-year option following completion of the planned drilling program. The dayrate of around $346,000 is based on current exchange rates. Statoil has an option to further extend the contract period at a reduced rate.

“In our view, the agreement reflects a sustainable price level for this type of rigs,” says Gunn Vik Grønhaug, responsible for procuring drilling and well services in Statoil.

11/15/2010

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