Prospector wins newbuild extensions

Total deal: for the first of the newbuild jack-ups Prospector 1 under construction at Dalian

Prospector Offshore Drilling has secured extensions on six jack-up newbuild options with a pair of Chinese yards as it faces financing challenges for the units.

The Oslo-listed rig contractor currently has four such newbuild rigs on order at Dalian Shipbuilding and Shanghai Waigaoqiao Shipbuilding (SWS) – two at each yard – having earlier secured deals worth a total of around $111 million with Mexican players to dispose of two out of six jack-ups originally ordered.

While it has won a lucrative contract with Total for the first unit, due for delivery early this year, Prospector has yet to line up work for the remaining rigs set for delivery later this year and next, and may be forced to sell additional units to raise cash.

There could be…

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