Reference is made to the notice of a letter of award for the provision of a
Mobile Workover Unit in Southeast Asia made by Odfjell Technology Ltd on 27
August 2024. We are pleased to confirm that this letter of award has now been
firmed up with a fully executed contract with Brunei Shell Petroleum Company
Sendirian Berhad (the “Client”) and that we also have agreed a subcontract with
X Rig AS (the “Subcontractor”) for the use of their modular combined drilling
and hydraulic workover rig X RIG (the “Rig”) for this work.
Odfjell Technology and the Subcontractor have started the work of mobilising the
Rig and will, after completing Client acceptance testing in Labuan, Malaysia,
mobilise the Rig to the first drilling operation on one of the Client’s offshore
installations in Brunei waters. The Contract is expected to commence late Q2
2025 or early Q3 2025 and has a firm duration of twenty-four months with two
optional periods of 12 months each.
This is the first contract Odfjell Technology has secured for the use of a such
a modular rig and represents a major step in our growth strategy. In the
project, Odfjell Technology will manage the operation and maintenance of the
Rig, providing various services from all our business areas, such as engineering
and project management and equipment rental.
“This is a major new contract for significantly increasing our footprint in
Southeast Asia, which is well aligned with our global expansion strategy. With
strong fundamentals and a clear path forward, we are well positioned for growth
in this region. This contract also represents an important milestone where
Odfjell Technology enters the modular drilling unit market, which we firmly
believe will be important in the expected growth in slot recovery and plug and
abandonment work.” says CEO of Odfjell Technology AS, Simen Lieungh.
For further queries, please contact:
Gillian Basson, Corporate Secretary
+44 (0) 7796 547 889
gbas@odfjelltechnology.com
and/or
Gert Haugland, SVP Finance & Investor Relations
+47 92661638
gjha@odfjelltechnology.com
Aberdeen, United Kingdom
13 November 2024
Odfjell Technology Ltd