Oil and Gas World

ODL - Equinor exercises more work for Deepsea Atlantic



Equinor has today exercised three new wells for Deepsea Atlantic. The wells have been exercised under the Continued Optionality mechanism in the contract entered into between the parties in May 2018, as part of the overall Master Frame Agreement. The work shall commence after the completion of the current scope estimated to be in Q4 2020.

The commercial terms are materially the same as for the recently announced Johan Sverdrup Phase 2 letter of intent that is set to commence in Q1 2022.

Odfjell Drilling signs contracts with Equinor on Johan Sverdrup and Breidablikk

Reference is made to the stock exchange notices of 7 July 2020 and 5 October 2020 in which Odfjell Drilling Ltd announced the award of letters of intent with Equinor on Johan Sverdrup Phase 2 and Breidablikk drilling campaigns for Deepsea Atlantic and Aberdeen, respectively. The Breidablikk drilling campaign is subject to PDO approval. Final contracts for both drilling campaigns have now been signed on such conditions as disclosed in aforementioned stock exchange notices.

ODL – Deepsea Atlantic receives more work from Equinor



Equinor has exercised one new well for Deepsea Atlantic. The well has been exercised under the Continued Optionality mechanism in the contract entered into between the parties in May 2018, as part of the overall Master Frame Agreement. The work shall commence after the completion of the current scope estimated to be in Q2/Q3 2021. The commercial terms are materially the same as for the recently announced Johan Sverdrup Phase 2 contract award.

ODL – Options Exercised for Deepsea Atlantic on Johan Sverdrup Phase 2

PUBLISHED 28.11.2022

Odfjell Drilling Ltd, (“Odfjell Drilling”) is pleased to note that Equinor Energy AS (“Equinor”) has exercised its priced options for the Deepsea Atlantic
to drill five additional wells on the Johan Sverdrup Phase 2 development under the contract entered into by the parties on 23.11.2020.

The five wells are anticipated to take approximately 190 days with an approximate value of USD 64M and extends the Deepsea Atlantic’s firm backlog
into Q1 2024.

Odfjell Drilling Ltd. Letters of Intent signed for Deepsea Atlantic

PUBLISHED 31.03.2023

Odfjell Drilling Ltd. is pleased to announce the signing of two Letters of Intent (“LOI’s”) with a single client for the Deepsea Atlantic to conduct
operations in the north sea region. The LOI’s have a combined firm duration of 23 months and a value of approximately USD 290 million excluding integrated services, upgrades/modifications or mobilisation fees. In addition to the base value, the LOI’s include provisions for performance bonuses and fuel incentives.

Following the firm period, there are four priced one well options. The arrangement also provides for three further optional periods of approximately
one-year each with the rates for each period to be mutually agreed prior to exercising.

The LOI’s are contingent on license approval with one of the LOI’s also contingent on governmental approval and formalisation of contract. The work will begin consecutively following completion of the Special Periodic Survey, currently planned during first half of 2024.

Kjetil Gjersdal, Chief Executive Officer of Odfjell Drilling AS commented:

“In the year of our 50th anniversary these LOI’s are testament to Odfjell Drilling’s experience and continued drive to innovate and remain at the forefront of change in our industry. While providing valuable, continuous and lengthy backlog these contracts are also a platform for us to take the next step in terms of automation, digitalisation and carbon reduction together with our valued client.

“Over the last decade the Deepsea Atlantic has proven itself to be one of the most efficient ‘well factories’ in the harsh environment segment. We intend to build on this impressive track record and set a new efficiency benchmark for the industry to chase.”