Keppel FELS to Build ENSCO Rig

Wednesday, August 13, 2008

Keppel FELS Limited (Keppel FELS) has won the contract to build the seventh ENSCO 8500 Series deepwater semisubmersible (semi) worth $560m. This sum includes equipment specified by the owner.
To be delivered in the second half of 2012, the ENSCO 8506 will be the seventh consecutive semi that Keppel FELS is constructing for ENSCO International Incorporated (ENSCO). The contract follows shortly after the award of the sixth semi, ENSCO 8505, that was announced on 1 June 2008.
The first unit in the seven-strong fleet of 8500 Series semis was contracted in 2005 and is on track for shipyard delivery in the third quarter of this year. It has been chartered to Anadarko and Eni for operations in the U.S. Gulf of Mexico.
The ENSCO 8506 is capable of drilling in up to 8,500 feet of water. Her features include a two million pound quad derrick, offline pipe handling capability, 35,000 ft drilling capacity, and station keeping capabilities meeting DP2 requirements. With these features, the 8500 Series rigs will be especially well-suited for deepwater development drilling.
The ENSCO 8506 contract is not expected to have any material impact on the net tangible assets or earnings per share of Keppel Corporation for the current financial year.

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