SeaDrill to Build Jack-Up Rig with Keppel FELS

Thursday, March 23, 2006
SeaDrill Limited has declared its option to build a fourth jack-up rig with Keppel FELS Ltd in Singapore. The rig will be of the KFELS B Class design, capable of operating in water depths of up to 400 feet and drilling depth of 30,000 feet. The contract price for the unit is US $132 million and is composed of a basis price of $117M, plus additional upgrades on the specification of USD 15 million in order to make the unit to a sister rig of SeaDrill 1 (Hull B-277) presently under construction by the same yard. The delivery of the rig is expected to take place in the second quarter 2008. This order was secured via an option given to Odfjell Partners Ltd (Odfjell) when it ordered its first rig in March 2004. Odfjell placed an order for its second rig in March 2005. In mid 2005, SeaDrill acquired Odfjell Invest Ltd. and was given the right to exercise Odfjell's option with Keppel FELS.
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