Keppel O&M delivers first of three jackup equipages novated by Borr Driling to ADNOC Drilling
Keppel Offshore & Marine Ltd( Keppel O&M), through its wholly- possessed attachment Keppel FELS Limited( Keppel FELS), has delivered the first of three jackup equipages to ADNOC Drilling Company PJSC( ADNOC Drilling).
The three equipages were part of a series of five equipages that Keppel FELS had been erecting for Borr Drilling. As set out in Keppel’s advertisement dated 12 October 2022( 1), Keppel O&M entered into an agreement with Borr Drilling and certain of its accessories to, among other effects, accelerate the delivery of three jackup equipages to Borr Drilling( or a third party whom Borr Drilling intends to vend the equipages to) between October 2022 and July 2023. The construction contracts for the three equipages have ago been novated by Borr Drilling to ADNOC Drilling, and this is the first of three equipages to be delivered to ADNOC Drilling.
Keppel O&M has entered a full payment of roughlyUS$ 160 million having delivered the first carriage. As part of the novation agreement, Keppel O&M will also admit full payments for each of the two remaining equipages on delivery. Keppel O&M expects to admit at leastUS$ 352 million for all three equipages between 2022 and 2023. This is in addition to down payments Keppel O&M had originally entered from the former guests for the equipages( 2).
Mr Tan Leong Peng, Managing Director( New Builds) of Keppel O&M said, “ We’re pleased to support ADNOC Drilling in the growth of their carriage line and drilling operations with the delivery of the first of three newbuild equipages. Keppel O&M stands ready to support our client with fresh revision services as they prepare their equipages for deployment.
“ With the novation of the three jackup contracts to ADNOC Drilling, we’ve indeed lesser certainty of delivering these equipages, entering further cash payments sooner, and reducing Keppel O&M’s fiscal exposure to the heritage means.
“ Our high quality and cost-effective KFELS B Class family of equipages have a strong track record in the Middle East. Since the launch of 2022, all nine of our personal jackup equipages have been contracted for deployment in the Middle East. As drilling carriage utilisation rates continue to increase, we’re seeing further demand for high quality equipages that our heritage equipages are well suited to meet. ”
The KFELS B Class family of designs are the assiduity standard for jackup equipages. It has proven its robustness and effectiveness in numerous fields around the world over the times, including in the Middle East.
This first carriage delivered is erected to the KFELS Super B Class design, which is able of operating in water depths of over 400 bases, drilling to depths of,000 bases, and drilling deep wells both vertically and horizontally. It’ll be equipped with an advanced and completely- automated high capacity rack and pinion jacking system, tone- Positioning obsession System, and also has accommodation with full amenities for 150 persons.
As part of the definitive agreements Keppel Corporation has inked in connection with the proposed Offshore & Marine deals( 3), these equipages are part of Keppel O&M’s heritage equipages, and similar equipages as well as any deals proceeds, will be transferred to Asset Co that’s maturity- possessed by external investors on legal completion.
The abovementioned sale won’t have any material impact on the net palpable means and earnings per share of Keppel Corporation Limited for the fiscal time ending 31 December 2022.
- End- About Keppel Offshore & Marine
Keppel Offshore & Marine( Keppel O&M) is a world leader in furnishing total results to the coastal, marine and energy diligence. Bolstered by a global network of yards and services, it has expansive know- style across a wide range of capabilities – design & engineering, new shapes, transformations & repairs, and support services A colonist in coastal results, Keppel O&M has a strong track record in designing and erecting high- performance coastal drilling equipages, product platforms and specialised vessels. It’s a trusted mate in the conversion, form and revision of different and complex equipages and vessels, and is also a inventor of intertwined results for the coastal renewable and structure diligence.
Backed by robust functional excellence, Keppel O&M innovates and leverages new technologies to deliver systems on time, on budget, safely, reliably, and to the loftiest quality. For further information, visitwww.keppelom.com.
About ADNOC Drilling ADNOC Drilling, listed on the Abu Dhabi Securities Exchange( ADX symbol “ ADNOCDRILL ”; ISIN AEA007301012), is the largest drilling company in the Middle East retaining and operating one of the largestmulti-discipline drilling lines in the world. The Company is a critical link in ADNOC’s upstream business, as ADNOC continues to move towards its oil painting product capacity targets and enables gas tone- adequacy for the UAE. ADNOC Drilling incorporated Integrated Drilling Services into its portfolio in 2018 and now offers launch- to- finish wells and services that encompass the entire drilling value chain.
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