Chevron Dishes Out Extensions For Shelf Drilling Rig Duo

Offshore drilling contractor Shelf Drilling has won long-term contract extensions with Chevron for two jack-up rigs which will continue working in the Gulf of Thailand.

Shelf Drilling said that the contracts were awarded by Chevron’s subsidiary, Chevron Thailand Exploration and Production. The two long-term extensions were for the Shelf Drilling Chaophraya and Shelf Drilling Krathong jack-up rigs.

“We are very pleased to announce the contract extensions for the Shelf Drilling Chaophraya and Shelf Drilling Krathong with Chevron in the Gulf of Thailand. The high specification jack-up rigs were uniquely built fit for Gulf of Thailand drilling activity. The extension of both rigs further demonstrates our valued relationship with Chevron and our commitment to the Kingdom of Thailand,” David Mullen, Chief Executive Officer of Shelf Drilling, stated.

The company added that the extensions were in direct continuation of the planned out of service projects at the end of each rig’s current contract with the same client.

The duration of the contract extension for the Shelf Drilling Chaophraya rig is 39 months, while the Shelf Drilling Krathong rig’s extension is for 36 months and the start of the two contracts is expected in the third quarter of 2022 and the fourth quarter of 2022, respectively.

As seen in the data provided by Shelf Drilling’s fleet status report from November 2021, the Shelf Drilling Chaophraya rig has been under a contract with Chevron in Thailand since December 2016. On the other hand, the Shelf Drilling Krathong has been under a contract with the same client since June 2017.

The Krathong and the Chaopraya are two sister rigs. The latter was delivered to Shelf Drilling by Lamprell in September 2016. The former was built to the specifications of its sister rig and delivered to Shelf Drilling in April 2017, also by Lamprell.

Both are LeTourneau Super 116 Enhanced Class offshore drilling rigs with high-specification offshore drilling technology and the capability to accommodate up to 160 people.

Shelf Drilling has had a fruitful December as it secured an extension for a jack-up rig contract currently operating in the Adriatic Sea offshore Italy earlier this month.

The 18-month extension was awarded by Eni for the Key Manhattan jack-up drilling rig. This extension will be in direct continuation of its current contract for drilling operations in the Adriatic Sea.

The rig has been on contract with the Italian giant since April 2016. Following the award of the extension, Key Manhattan’s expected availability is August 2023.