Seadrill, Gulf Drilling Form JV for Qatar Project

Seadrill and Gulf Drilling International have entered into a 50:50 joint venture, GulfDrill, which will initially manage and operate five jackup rigs on behalf of Qatar Petroleum, Seadrill said August 15.

The five well based contracts will have staggered commencements throughout 2020 with initial terms concluding in 2023 and 2024, respectively. The total contract value is expected to be $656mn, Seadrill said. Each contract has five single well options which could add up to an estimated 13.7 cumulative years of term and an additional contract value of $700mn, the company added.

GulfDrill will initially bareboat charter the West Telesto and West Castor from Seadrill and has secured bareboat charters for three additional units from a third-party shipyard.

Qatar Petroleum is planning to expand its LNG production from 77mn mt/yr to 110mn mt/yr by 2024 and is undertaking the North Field Expansion project.