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Sunday, 20 July, 2008, 22:50 GMT | more prices >>

Ensco enters $372m contract

By Upstream staff

Offshore drilling contractor Ensco International has entered into a letter of intent for the Ensco 8503, an ultra-deepwater semisubmersible rig currently under construction.

The contract, with an unnamed company, will be for a two-year, $372 million term at a rate of of $510,000 per day.

Ensco 8503 is the company’s fourth ultra-deepwater semisubmersible rig and will increase the company’s deepwater fleet to five rigs.

Four 8500 series rigs are under construction at the Keppel FELS shipyard in Singapore. Deliveries are expected in the third quarter of 2008 for Ensco 8500, the first quarter of 2009 for Enco 8501, late in the fourth quarter of 2009 for Ensco 8502, and in the third quarter of 2010 for Ensco 8503.

All of the Ensco 8500 series rigs are now committed to customers for term work to begin upon delivery.

The Ensco 8500 series ultra-deepwater semisubmersibles are enhanced versions of Ensco 7500. Enhancements include a two million pound quad derrick, offline pipe handling capability, increased drilling capacity, greater variable deck load, and improved automatic station keeping ability.

The rigs will be capable of drilling in up to 8500 feet of water, and can be upgraded to 10,000 feet water-depth capability.