Singapore yard Keppel terminates contracts, keeps rigs

Singapore yard Keppel terminates contracts, keeps rigs

Singapore yard Keppel Offshore & Marine (Keppel O&M) is terminating jack-up rig construction contracts signed with an affiliate of Clearwater Capital Partners, and Fecon International, in October 2013 and February 2014, respectively. Significantly, the yard will keep the drilling units and is exploring the sale and charter of the rigs.

Keppel in October 2013 said it had received two jack-up rig orders from an affiliate of Clearwater Capital Partners, with the rigs due to be finished in 4Q 2015 and 1Q 2016. Yesterday, according to Keppel, one of the two rigs, worth about $200 million remains undelivered.

Clearwater in 2014 sold one of the two rigs ordered to Arabian Drilling Company (ADC), while it was still under construction.