SBM to supply semi-subs

The Dutch company SBM Offshore has received three letters of intent from Brazilian drilling contractors for the supply of DP semi-submersible drilling units. These loi’s were issued in the context of ongoing negotiations between two drilling contractors and Petrobras for the award of long term drilling contracts, starting in 2009.

The first contract is with Queiroz Galvao Perfura?oes S.A. for the supply of a new built dynamically positioned drilling unit of the GustoMSC TDS 2000Plus design. The unit will be able to operate in water depths up to 2,400 metres and be capable of drilling up to 7,500 metres below the seabed. Delivery is scheduled for the first quarter 2009.

The second contract is with Odebrecht Drilling Services LLC for the supply of a new built TDS 2000Plus drilling unit. The unit will be able to operate in water depths up to 2,000 meters and be capable of drilling up to 7,500 metres below the seabed and delivery is scheduled for the third quarter of 2009.

The fact that, in view of the third loi, SBM Offshore has secured yard capacity for delivery of a further drilling unit in early 2010 has attracted the interest of several other drilling contractors and negotiations are currently ongoing to possibly conclude in the near future a third turnkey supply contract.

GustoMSC has further received orders for the supply of basic design packages and components for one DSS38 type semi-submersible drilling rig to be built by KeppelFELS in Singapore for Queiroz Galvao Perfura?oes S.A. In addition, two jack-up multi purpose rigs are to be built by Labroy Offshore at Batam Indonesia.

The cumulative portfolio value of the above orders is in excess of $1.2 billion.