Sembcorp Marine wins $220 million rig order in Egypt
Sembcorp Marine Ltd., the world's second-largest maker of oil rigs, won a $220 million contract from A.P. Moeller-Maersk A/S's Egyptian venture to build a jack- up rig to produce oil.
Sembcorp Marine's PPL Shipyard unit will deliver the rig in mid-2010, according to a statement from the Singapore-based company today. Egyptian Drilling Co., controlled by Maersk and Egyptian General Petroleum Corp., operates in Egypt and Saudi Arabia.
Shipyards in Singapore and South Korea, the two biggest makers of offshore units, may win record orders for a sixth year on demand for rigs and floating platforms. Soaring oil prices are prompting companies such as Exxon Mobil Corp. and Royal Dutch Shell Plc to spend a record $98.7 billion on exploration and production this year.
Sembcorp Marine shares gained 2.4 percent, the most in more than two weeks, to S$4.22 in Singapore. The stock advanced 4.5 percent this year, compared with a 16 percent decline in the Straits Times Index.
Producers in the Persian Gulf and Africa, including Saudi Arabia and Nigeria, are ramping up drilling efforts to slow or reverse declining output from reservoirs first tapped in the 1930s and 1940s.
Crude oil climbed 51 percent this year to a record close of $145.29 a barrel on July 3.
Sembcorp Marine's PPL Shipyard unit will deliver the rig in mid-2010, according to a statement from the Singapore-based company today. Egyptian Drilling Co., controlled by Maersk and Egyptian General Petroleum Corp., operates in Egypt and Saudi Arabia.
Shipyards in Singapore and South Korea, the two biggest makers of offshore units, may win record orders for a sixth year on demand for rigs and floating platforms. Soaring oil prices are prompting companies such as Exxon Mobil Corp. and Royal Dutch Shell Plc to spend a record $98.7 billion on exploration and production this year.
Sembcorp Marine shares gained 2.4 percent, the most in more than two weeks, to S$4.22 in Singapore. The stock advanced 4.5 percent this year, compared with a 16 percent decline in the Straits Times Index.
Producers in the Persian Gulf and Africa, including Saudi Arabia and Nigeria, are ramping up drilling efforts to slow or reverse declining output from reservoirs first tapped in the 1930s and 1940s.
Crude oil climbed 51 percent this year to a record close of $145.29 a barrel on July 3.