Samsung Heavy Industries can breathe a sigh of relief after Pacific Drilling was denied leave to appeal against a $320 million arbitration award made earlier this year to the South Korean contractor relating to a dispute over the ultra-deepwater drillship Pacific Zonda.

Pacific back in October 2015 opted to cancel its contract with Samsung for the newbuild rig it had constructed at its Geoje Island yard after a delivery milestone was missed.

The Luxembourg-based drilling contractor at the time said it had rescinded the contract for the drillship Pacific Zonda due to Samsung's "failure...