Total’s West African rig-signing spree continued with the French operator contracting Ensco’s newbuild drillship Ensco DS-8 for a long-term program offshore Angola.
The DP3 drillship is under construction at Samsung in South Korea, with Total signing it in a 5-year deal. It is the fourth Ensco drillship contracted by the French operator.
Ensco said the contract adds about US $1.2 billion to its revenue backlog, with the unit expected to start operations offshore Angola in third-quarter 2015 upon completion of mobilization and testing.
The initial dayrate is put in the “high $610,000s” according to Ensco’s latest fleet update, with periodic rate increases to result in rates averaging about $650,000 over the whole drilling program. There will also be a mobilization fee of about $26 million.
Recommended Reading
CEO Darren Woods: What’s Driving Permian M&A for Exxon, Other E&Ps
2024-03-18 - Since acquiring XTO for $36 billion in 2010, Exxon Mobil has gotten better at drilling unconventional shale plays. But it needed Pioneer’s high-quality acreage to keep running in the Permian Basin, CEO Darren Woods said at CERAWeek by S&P Global.
Mesa III Reloads in Haynesville with Mineral, Royalty Acquisition
2024-04-03 - After Mesa II sold its Haynesville Shale portfolio to Franco-Nevada for $125 million late last year, Mesa Royalties III is jumping back into Louisiana and East Texas, as well as the Permian Basin.
Mighty Midland Still Beckons Dealmakers
2024-04-05 - The Midland Basin is the center of U.S. oil drilling activity. But only those with the biggest balance sheets can afford to buy in the basin's core, following a historic consolidation trend.
Enverus: 1Q Upstream Deals Hit $51B, but Consolidation is Slowing
2024-04-23 - Oil and gas dealmaking continued at a high clip in the first quarter, especially in the Permian Basin. But a thinning list of potential takeout targets, and an invigorated Federal Trade Commission, are chilling the red-hot M&A market.
Life on the Edge: Surge of Activity Ignites the Northern Midland Basin
2024-04-03 - Once a company with low outside expectations, Surge Energy is now a premier private producer in one of the world’s top shale plays.