Songa Offshore says that a drilling contract has been concluded between its subsidiary Songa Offshore Drilling Ltd and Oilex (JPDA 06-103) Ltd on behalf of its Joint Venture for contract area JPDA Block 06-103 in the Joint Petroleum Development Area (JPDA) between Timor Leste and Australia for utilization of the semisubmersible Songa Mercur drilling rig.

The contract covers a drilling campaign of 2 wells plus 1 optional well in the JPDA, with a mobilization and de-mobilization element included into the agreement.

Total estimated contract duration for drilling operations is 50 days plus an additional 25 days if the optional well is exercised, the Drilling operations day rate is US $280,000 per day, reducing to US $250,000 applying if the combined Woodside and Oilex contract period exceed an agreed period.

Tags: Songa Offshore ASA