Aquadrill Announces Charter Hire Agreement for the Vela

(Aquadrill, 31.Aug.2022) — Aquadrill LLC has extended a charter hire agreement with a subsidiary of Diamond Offshore Drilling, Inc. to provide the company’s Vela rig, an MPD outfitted 7th generation drillship, for operations in the US Gulf of Mexico for a drilling contract with a minimum duration of 225 days, plus three market based options for an additional five to seven wells. The charter hire agreement will be extended if the optional term is exercised.

The terms of the charter hire agreement are consistent with the current management services agreements in place between the company and the Manager. Further, the resulting financial benefits for the Company are as if the company had entered into the drilling contract directly.

The total contract value for the firm 225 day minimum term of the drilling contract is expected to be $88mn with commencement expected in mid-January 2023.