Seadrill and Gulf Drilling International (GDI) have formed a jointly owned rig firm to conduct exploration on behalf of Qatar Petroleum from 2020 to 2024, Seadrill said late on Aug. 15.
GulfDrill, a 50-50 joint venture between Seadrill and GDI, will initially operate five so-called jackup rigs on a $656 million contract with Qatar Petroleum. It did not say where the exploration would take place.
The state-owned energy firm also has the option to order further drilling with an additional contract value of up to $700 million.
The GulfDrill venture will charter two of its rigs from Oslo- and New York-listed Seadrill and three more from an unnamed shipyard.
“We are excited to establish a significant presence in an important jackup market and to partner with GDI,” Anton Dibowitz, Seadrill CEO, said in a statement.
“GulfDrill will give us the opportunity to improve our access to a market that is expected to show significant growth over the next years and strengthen our relationship with Qatar Petroleum,” Dibowitz added.
Roughly four months since making its debut with its first acquisition, Jay Graham’s new Permian-focused venture has landed another deal.
Alta Mesa Resources, a Houston-based independent which bet big on Oklahoma’s Stack, joins a growing number of U.S. shale producers that have filed for bankruptcy so far this year.
PDC is set to become the second-largest producer in the D-J Basin through its acquisition of SRC Energy and will also remain committed to its Permian position.