World’s Biggest Rig Builder Delivers First Rig of 2018

A view of a Keppel Corporation shipyard in Singapore January 19, 2016. Singapore’s Keppel Corporation Ltd KPLM.SI said on Thursday its fourth-quarter net profit fell 44 percent and its 2015 profit dropped to a five-year low as plunging oil prices hit demand for offshore rigs. Picture taken January 19, 2016. REUTERS/Edgar Su

The world’s largest rig builder, Keppel FELS, has delivered its first rig of 2018 and the first of five jackups that it is building for Borr Drilling.

The jackup rig, SAGA, was delivered by Keppel FELS in Singapore. Keppel FELS is a subsidiary of Keppel Offshore & Marine.

“We are pleased to deliver the first rig to our new customer Borr Drilling,” said Mr Chris Ong, CEO of Keppel O&M. “As the drilling market recovers, the quality and capabilities of our KFELS B Class designs would be important differentiators for rig owners seeking efficient and reliable operations. Our rigs have set the industry benchmark and we are confident that this rig will be just as successful when deployed.”

The KFELS Super B Class rigs are designed to operate in 400 feet water depth and drill to 35,000 feet. They are equipped with a two million pound drilling system and a maximum combined cantilever load of 3,700 kips for high horsepower during drilling operations.

The delivery of SAGA marks the 12th KFELS Super B Class rig and the 66th rig of the KFELS B Class family to enter the market.

The CEO of Borr Drilling, Mr Simon Johnson, added, “Jackup utilisation is improving as we recover from the bottom of the business cycle. The market preferentially rewards contractors who invest in the latest designs from the best shipyards. Our partnership with Keppel FELS allows us to provide rigs with leading edge specifications ready to deliver the highest operational performance to our customer base. We are looking to be paid for the performance that we deliver and our relationship with Keppel FELS is one of several crucial partnerships we are fostering that are focused on improving industry outcomes. Our KPI’s are focused on accelerating time to first oil.”

Keppel FELS is actually listed in the Guinness Book of World Records as the world’s largest manufacturer of offshore drilling rigs. The record is based on Keppel FELS’ 21 rig delivery in 2013 – before the offshore market crashed.