Vantage Drilling, TotalEnergies announce drill rig joint venture

Vantage Drilling International Ltd. has announced the creation of a joint venture (JV) entity with TotalEnergies to be called TEVA Ship Charter LLC (TEVA).

Subsequent to the completion of the current Tungsten Explorer contract in Congo, TEVA will acquire the Tungsten Explorer from Vantage subject to customary sale and purchase conditions precedent.

TotalEnergies, Vantage and TEVA say they have executed all definitive agreements in support of the rig acquisition and JV management.

This includes a sale and purchase agreement by which TEVA will acquire the rig and a management agreement pursuant to which Vantage will operate the Tungsten Explorer for a 10-year term with the option to extend for an additional five years.

According to a previous announcement in early 2024 when TotalEnergies and Vantage first agreed to form the new JV, TotalEnergies said at the time it would pay $199 million for a 75% interest in the JV, with Vantage owning the remaining 25%.