DUBAI — Shelf Drilling has received a notice of suspension of operations of four jackup rigs from a customer in the Middle East. The company is in active discussions with the customer to determine which rigs will be suspended and the exact timing of the suspensions.
Shelf Drilling will have the right to actively market the rigs to others.
It is anticipated that the suspensions will impact the financial guidance given in Shelf Drilling’s fourth-quarter 2023 reports. Once precise details on the rigs and timing are known, the company will assess the impact and provide an update to the guidance as part of its first-quarter 2024 reporting.
“We are disappointed with the decision to suspend four of our rigs," CEO David Mullen said. "This recent development will create near-term challenges, but we remain optimistic on the long-term outlook for the business."
