Chevron’s Angola affiliate, Cabinda Gulf Oil Co. (CABGOC), sent an early cancellation notice to Maersk Drilling for the ultra deepwater semisubmersible Maersk Deliverer.

Chevron axes Maersk Deliverer contract

Ultra deepwater semisubmersible Maersk Deliverer - Image: Maersk Drilling

The Maersk Deliverer has been on contract with CABGOC since May 2012, and is due to end in December 2016. Upon the terms of agreement, Maersk Drilling is entitled to receive compensation for the remaining part of the contract. The contract cancellation will be financially neutral to Maersk Drilling.

“With regret we take note of the contract termination, and it is a reminder of the very challenging conditions in the offshore rig market with oil companies restraining activities and capital spending in response to the lower oil price environment. We expect to base the rig in West Africa, and will continue to explore opportunities with our customers in primarily West and East Africa, which remain strategic markets for us,” Michael Reimer Mortensen, Maersk Drilling head of global sales said.

Maersk Deliverer was built in 2009 and is designed for year-round operation in areas such as Brazil, the Gulf of Mexico, West and East Africa and Asia Pacific at water depths of up to 3000m (10,000ft.).

Source: OEdigital