Maersk Drilling, a unit of Danish shipping and oil group A.P. Moller-Maersk (MAERSKb.CO), has signed a contract with British utility Centrica (CNA.L) worth at least $60 million for use of its Maersk Giant rig in Norway, Reuters reports. "With this contract the company's rig capacity in Norway is sold out until the second quarter of 2014," Maersk Drilling said in a statement on Monday. "The demand for ultra harsh environment rigs keeps growing while rig supply remains tight."
The ultra harsh environment Maersk Giant jack-up rig will drill two or three wells for Centrica with an estimated duration of 170-210 days starting in the fourth quarter of 2013 at a daily rate of $350,000, Maersk Drilling said.
Maersk Drilling said it is the market leader in the Norwegian jack-up market, currently owning and operating six of the nine jack-up rigs working in the area.
"At the current oil price level oil and gas companies are increasing their business activity in the Norwegian market," the company said.
The ultra harsh environment Maersk Giant jack-up rig will drill two or three wells for Centrica with an estimated duration of 170-210 days starting in the fourth quarter of 2013 at a daily rate of $350,000, Maersk Drilling said.
Maersk Drilling said it is the market leader in the Norwegian jack-up market, currently owning and operating six of the nine jack-up rigs working in the area.
"At the current oil price level oil and gas companies are increasing their business activity in the Norwegian market," the company said.