Valaris recently announced several contract awards:
A three-well contract with Eni Mexico offshore Mexico for the VALARIS DPS-5 semisubmersible. The contract is expected to commence in Q4 2022 and has an estimated duration of 240 days. The dayrate is $313,500, plus a mobilization fee of approximately $1.2 million.
A four-well contract extension with Shell in the UK North Sea for the VALARIS 122, a heavy-duty harsh-environment jackup. The extension will be in direct continuation of the existing program and has a value of over $60 million.
A one-well contract with an undisclosed operator offshore Australia for the VALARIS 107, a heavy-duty jackup. The contract is expected to commence in Q1/Q2 2023 with a dayrate of $120,000.
A one-well option exercised by DNO in the UK North Sea for the VALARIS 247, a heavy-duty, ultra-harsh-environment jackup. The one-well option has an estimated duration of 45 days and will be in direct continuation of the existing firm program.
In October, ADNOC Offshore awarded two new jackup contracts to ADNOC Drilling. One was a contract worth $1.53 billion covering the provision of 12 jackups and two island rigs and associated integrated drilling services. The second contract, worth $980 million, was for two jackups and associated manpower and equipment.
These contracts bring the total value of awards from ADNOC Offshore to ADNOC Drilling in 2022 to $5.95 billion. Two other awards had been given out in August worth $3.43 billion to hire eight jackups. Over 80% of the award value will flow back into the UAE’s economy under ADNOC’s In-Country Value Program.
ADNOC aims to expand production capacity to 5 million bbl/day by 2030 and enable gas self-sufficiency for the UAE.
KCA Deutag has secured contract awards, extensions and options worth around $112 million. The contracts are primarily related to land rigs in Saudi Arabia and Oman and were announced as work continued to close out the acquisition of Saipem’s land rig business.
In Saudi Arabia, the company has been awarded multiple one-year extensions worth a total of $35 million. In Oman, a one-year contract with a new client, which includes a further one-year option, in addition to contract extensions and options with existing clients on multiple rigs, have delivered an additional $70.5 million.
In Europe, KCA Deutag has been awarded almost $6 million in new contracts in Germany and the Netherlands.
APA Corp has announced an oil discovery offshore Suriname at Baja-1 in Block 53. Baja-1 was drilled to a depth of 5,290 m (17,356 ft) and encountered 34 m (112 ft) of net oil pay in a single interval within the Campanian. Evaluation of open-hole well logs, cores and reservoir fluids is ongoing.
APA recently received regulatory approval regarding an amendment to the Block 53 Production Sharing Contract (PSC), which provides options to extend the exploration period of the PSC by up to four years.
APA is operator and holds a 45% working interest in Block 53, with Petronas holding a 30% working interest and CEPSA holding a 25% working interest. Baja-1 was drilled using the Noble Gerry de Souza in water depths of approximately 1,140 m (3,740 ft). The drillship will mobilize to Block 58 following the completion of current operations, where it will drill the Awari exploration prospect, approximately 27 km north of the Maka Central discovery.
APA also announced that operations have concluded on the Dikkop exploration well in Block 58. The well encountered water-bearing sandstones in the targeted interval and has been plugged and abandoned.
TotalEnergies is the operator with a 50% working interest, and APA holds the remaining 50% working interest. The Maersk Valiant drillship will be moving to the Sapakara field to drill a second appraisal well at Sapakara South, where the joint venture conducted a successful flow test late last year.
Dolphin Drilling has secured a 12-month contract with Nigeria-based General Hydrocarbons Ltd (GHL) at a value of $96 million. The contract for the Blackford Dolphin rig will commence during Q4 of this year. The rig recently completed work in the Gulf of Mexico for PEMEX and will mobilize to Las Palmas for its special periodic survey prior to commencing operations in Nigeria.
“We are proud to announce the final award of the Blackford Dolphin contract, proving our position in the niche moored semisubmersible market,” said Bjørnar Iversen, CEO at Dolphin Drilling. The company owns a fleet of three fourth- and fifth-generation drilling rigs: the Borgland Dolphin, Blackford Dolphin and Bideford Dolphin.