Maersk Drilling nets North Sea Breagh contract, sells two rigs

Offshore staff

LYNGBY, Denmark – INEOS Oil & Gas UK has contracted the harsh-environment jackup Maersk Resolve for drilling and hydraulic stimulation of the Breagh Alpha A11 well in the UK southern North Sea.

The 140-day program, in block 42/13, will start this summer in direct continuation of the rig’s current work scope, with an estimated value of around $11.3 million.

The contract includes four additional one-well options.

According to Morten Kelstrup, COO of Maersk Drilling, this will be the rig’s third successive campaign drilling through the complex Zechstein formations found in this part of the North Sea.

The Maersk Resolve, an MSC CJ50 design, is currently operating for Spirit Energy in the UK sector.

Maersk Drilling also announced that it has sold the jackup Maersk Guardian (now re-named Guardian) to New Fortress Energy, and is close to an agreement to sell the jackup Mærsk Gallant to the same buyer.

Total sales price for the two rigs is $31 million.

New Fortress Energy plans to use the rigs for non-drilling purposes, as part of its planned Fast LNG project.

Maersk Drilling CEO Jørn Madsen said his company’s priority was to focus on a fleet of modern assets. The Guardian, a-harsh environment jackup previously converted to an accommodation rig, was delivered in 1986 and has been warm-stacked in Esbjerg after completing a contract offshore Denmark in 2020.

The Mærsk Gallant, delivered in 1993, is cold-stacked in Dundee, eastern Scotland, after finishing its latest contract offshore the UK in 2017.

Once the two transactions have closed, Maersk Drilling’s fleet will comprise 12 jackups, 11 of which are suited for harsh-environment operations, and eight floaters.

05/17/2021