Seadrill Ltd has been awarded an 18 month contract extension for the drillship West Tellus by Petroleo Brasileiro SA. The contract will commence in April 2018 and it secures work for the unit until the end of October 2019. The total backlog for the contract extension is approximately US$164 million.
As part of the agreement, the company has agreed to a dayrate reduction on the current contract effective from 26 February 2016, resulting in a US$132 million reduction in backlog.
The net effect of this agreement is a US$32 million increase in backlog.
This information is subject of the disclosure requirements pursuant to section 5-12 of the Norwegian Securities Trading Act.
Edited from press release by Angharad Lock
Read the article online at: https://www.oilfieldtechnology.com/drilling-and-production/23032016/sdrl-receives-contract-extension-for-west-tellus-358/