Shelf Drilling Sells Jack-Up Rig to ADNOC for $77.6M

December 21, 2020
Credit: Gusto

Credit: Gusto

Oslo-listed offshore drilling company Shelf Drilling has agreed to sell a jack-up drilling rig to UAE-based ADNOC Drilling.

Under the agreement, ADNOC Drilling, a drilling subsidiary of UAE's national oil company ADNOC, will buy Shelf Drilling's Shelf Drilling Journey jack-up drilling unit.

ADNOC Drilling will pay $77.6 million. 

"The transaction is subject to customary closing conditions, and the rig is expected to be delivered during the first quarter of 2021," Shelf Drilling said.

The Shelf Drilling Journey rig is a Gusto CJ-46 design rig, delivered by China's China Merchants in 2019. 

To remind, back in February 2019, Shelf Drilling signed a deal to buy two CJ-46 jack-ups from China Merchants for $87 million worth of its stock and agreed to charter two more rigs of the same type with an option to buy.

The first two three-legged jack-up rigs - Shelf Drilling Achiever and Shelf Drilling Journey - were delivered. However, the charter and the included option to buy the other two jack-ups of the same type were canceled in September.

Shelf Drilling Sells Jack-Up Rig to ADNOC for $77.6M Shelf Drilling Sells Jack-Up Rig to ADNOC for $77.6M Reviewed by Crude Oil Facilitators on 08:49 Rating: 5

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