UAE oil, gas and renewables engineering services firm Lamprell has announced that Abu Dhabi’s National Drilling Company (“NDC”)has exercised its options for Lamprell to proceed with the construction of two jackup rigs in addition to the rigs currently under construction by Lamprell for NDC.
The new agreement with NDC is for the construction and delivery of two jackup rigs valued at $166.65 million each. As with the existing rigs under construction, these additional rigs will be completely outfitted and equipped, LeTourneau designed, selfelevating Mobile Offshore Drilling Platforms of a Super 116E (Enhanced) Class design.
The announcement was released ahead of today’s trading on the London Stock Exchange, on which Lamprell is listed. The company took a 15% hit to its share price on news of $14.3 million hit to its books arising from cost overruns on windfarm ship contracts. The firm’s shares traded up 9 pence per share (2.4%) on the news in early trading.
The rigs consist of triangular hulls and three 310 foot truss-type legs per rig, each leg with an electro-mechanical rack and pinion elevating system, which will allow drilling in depths of up to 200 feet of water with a rated drilling depth of 30,000 feet. Deliveries are scheduled to be in Q1 2014 and Q2 2014 respectively. The work will be performed at Lamprell’s Hamriyah facility.
Nigel McCue, Lamprell’s Chief Executive Officer, commented in a company statement:
“We are delighted to announce today the exercise by NDC of its options, and for the opportunity to continue to strengthen our relationship with this prestigious customer. This is another significant contract award, demonstrating the strength of the market for jackup rigs, and reflecting our strong reputation for quality and service, whilst further extending our growing order book.”
