Rowan Companies Plc said it was forming a joint venture (JV) with Saudi Arabia's Saudi Aramco to operate offshore drilling rigs in the country.
Rowan said it would provide three jackup rigs, and Saudi Aramco, two, when the JV begins operations in the second quarter of 2017.
Both companies would contribute $25 million as working capital, Rowan said in a regulatory filing on Nov. 21.
Rowan will supply two more rigs in late 2018 and Saudi Aramco will make a matching cash contribution.
Rowan said the rigs would receive contracts for an aggregate 15 years, renewed and re-priced every three years, provided that the rigs meet the technical and operational requirements of Saudi Aramco.
Nabors Industries Ltd. said in October that it would form a JV with Saudi Aramco to operate onshore drilling rigs.
Saudi Aramco is targeting 2018 for what could be the world's largest public listing, CEO Amin Nasser said in October.
Recommended Reading
TotalEnergies Starts Production at Akpo West Offshore Nigeria
2024-02-07 - Subsea tieback expected to add 14,000 bbl/d of condensate by mid-year, and up to 4 MMcm/d of gas by 2028.
E&P Highlights: Feb. 5, 2024
2024-02-05 - Here’s a roundup of the latest E&P headlines, including an update on Enauta’s Atlanta Phase 1 project.
CNOOC’s Suizhong 36-1/Luda 5-2 Starts Production Offshore China
2024-02-05 - CNOOC plans 118 development wells in the shallow water project in the Bohai Sea — the largest secondary development and adjustment project offshore China.
US Drillers Cut Oil, Gas Rigs for First Time in Three Weeks
2024-02-02 - Baker Hughes said U.S. oil rigs held steady at 499 this week, while gas rigs fell by two to 117.
Equinor Receives Significant Discovery License from C-NLOPB
2024-02-02 - C-NLOPB estimates recoverable reserves from Equinor’s Cambriol discovery at 340 MMbbl.