Seadrill wins $420M Indonesia contract and extends other projects

what happened

Seeking Alpha reported that Seadrill announced after Monday’s market close a contract worth about $420M for its West Carina ultra-deepwater drillship. An undisclosed operator will use the rig offshore Indonesia for an estimated firm period of 880 days, with paid options covering as many as 880 additional days. The program is scheduled to start in H1 2027.

In Malaysia, every remaining priced option for West Capella has been taken up, adding 120 days to the current assignment and $41M to its total value. A further 120 days under unpriced options adds $53M. The work is expected to continue without a break through February 2028.

In Angola, Sonadrill Holding, Seadrill’s 50:50 venture with Sonangol, received an extension, while all remaining priced options on Sonangol Libongos were exercised. That keeps the rig committed for three more years, through January 2030. Sevan Louisiana also won a 25-day Kosmos contract in the U.S. Gulf, with operations due to begin next month. Seadrill President and CEO Samir Ali said the West Carina award fulfills a long-term goal of repricing three legacy dayrate contracts to current market levels.

why it matters

The awards provide Seadrill with greater forward visibility for rig utilization and extend committed work across Indonesia, Malaysia, Angola and the U.S. Gulf.

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