Shelf Drilling, Ltd. (Shelf Drilling, OSE: SHLF) announced on Tuesday (Oct 11) that it has secured a five-year contract for the recently acquired premium jack-up rig Shelf Drilling Victory for operations in the Arabian Gulf.
The contract value for the firm period, including mobilization revenue, is approximately USD 236 million.
The contract also includes a twoyear option, and the planned start-up of operations is late-March 2023. Prior to commencing the contract, the jack-up rig is scheduled to complete a reactivation and upgrade project which is currently underway in the United Arab Emirates.
David Mullen, Chief Executive Officer said: “We are very pleased to further expand our operations in the Middle East and strengthen our position in a strategically important market. This long-term contract is an opportunity for us to build and leverage the experience of our highly capable team and unique operating platform, and demonstrates our ability to consistently generate value for the company. The award will contribute significantly to our contract backlog growth and indicates an improving jack-up market outlook.”