Brazil's Petrobras cancels five drill rigs order from Ocean Rig

Brazil's state-led oil company Petrobras cancelled on Thursday an order for five drill ships from Ocean Rig Group, according to a securities filing, saying it needed to drill fewer wells in the Santos Basin than originally expected, Reuters reports.

In February, Petrobras agreed to lease five offshore drill rigs from Ocean Rig for $548,000 a day over a 45- to 90-month period as part of $225 billion expansion plan aimed at tapping vast oil reserves recently discovered off Brazil's coast.