Cosco signs LOI to build well intervention semi

Offshore staff

SINGAPORE --Cosco Shipyard Group has signed an LOI with Marine Accurate Well ASA to build a GM4000 semisubmersible for well intervention services. The contract value is $200 million.

The contract signing is expected later this month in China and includes an option for three more new vessels.

The GM4000 is designed for intervention services including through-tubing drilling and coiled tubing drillling. The operator says it will be the first purpose-built unit capable of year-round operations on the Norwegian continental shelf.

"We are expecting strong growth in the market for well intervention services in the years to come due to the increasing number of subsea oil and gas wells in production," says Oyvind Jordanger, chairman of Maracc. "Conventional drilling rigs traditionally used for well intervention work are experiencing full utilization in exploration and development work."

01/16/2007