Ultra Harsh Environment Rig Demand Increases Offshore Norway, Centrica Energi Hires the Maersk Giant

COPENHAGEN (Dow Jones)–Danish industrial conglomerate A.P. Moller-Maersk A/S (MAERSK-B.KO) said Monday its oil and gas drilling services arm Maersk Drilling has received a $60 million contract from Centrica Energi for its ultra harsh environment jack-up rigs for a drilling project in the Norwegian North Sea.

The Maersk Giant rig will be commissioned for the drilling of two to three oil exploration wells within 170 to 210 days. Work is scheduled to commence in the fourth quarter of 2013.

With the latest contract, the company’s rig capacity in Norway — currently counting six rigs — is now sold out until the second quarter of 2014, the company said.

“The demand for ultra harsh environment rigs keeps growing while rig supply remains tight,” it said.

Maersk Drilling invested $1.2 billion in two new ultra harsh environment rigs for the Norwegian market, which will be delivered in 2014, and will also invest in life-time extending upgrades for its existing fleet.

“These significant investments reflect our strong view on the drilling activity in Norway. We see a continued strong growth potential and will continue to evaluate the opportunites for additional growth,” said Maersk Drilling Chief Commercial Officer Martin Fruergaard.

-By Flemming Emil Hansen, Dow Jones Newswires

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