ADES International Holding has agreed to acquire two jackup rigs based in Southeast Asia from Vantage Drilling International for $190 million.
The transaction involves the direct acquisition of the Topaz, which is contracted to work in the offshore Malaysia-Thailand joint development area; and the shares of Rig Finance Ltd., which owns the Soehanah jackup, based in Indonesia.
Following completion, ADES will own seven jackups operating across waters offshore Indonesia, Thailand, India and the joint development area.
Despite Saudi Aramco’s recent suspension of multiple jackup contracts, the offshore market for these types of rigs generally is tight with high utilization and day rates, ADES said.
Southeast Asia, it added, is currently an undersupplied market while newbuild rig activity is at historical lows.
Subsidiaries of Vantage and ADES will enter an agreement to provide management services to ADES of the two rigs over a period of three years.
