Seadrill Secures $380 Million Contract On Bacalhau Field

Seadrill Secures Equinor’s four-year contract

OpenLife Nigeria reports that Seadrill, a drilling company listed on the Oslo Stock Exchange and setting the standard in shallow, ultra-deep water and offshore drilling in both harsh and benign environments, has secured a four-year firm contract with four one-year options, for the West Saturn drillship with Equinor for work on the Bacalhau field in Brazil.
This is contained in the latest edition of Drilling Contractor, the official magazine of the International Association of Drilling Contractors, IADC, made available to OpenLife Nigeria.
According to the information, the total value for the firm portion of the contract is expected to be approximately $380 million (inclusive of mobilization, upgrades and integrated services revenue) with a performance bonus providing meaningful incremental opportunity.
The total contract value is contingent on the final investment decision by the partnership for Bacalhau. Commencement is expected in Q1 2022.
The West Saturn has Seadrill’s existing, bespoke, managed pressure drilling (MPD) system already installed and, in conjunction with Equinor, will receive further upgrades and enhancements in safety, efficiency, and environmental control.
Human factor safety enhancements to red zone management will be automated through the use of Seadrill’s AI-enabled safety technology Vision IQ.
The efficiency of the drillship will be further enhanced through the company’s Plato Performance solution, driving continuous improvement in repetitive drilling activities whilst delivering consistent process execution and optimization of the drilling program with improved safety.
In line with Seadrill’s efforts to reduce emissions, the fuel consumption of the West Saturn is expected to be reduced by between 10-15% with the introduction of a combined hydrogen and methanol injection system along with other energy efficiency upgrades. Emissions of carbon dioxide (CO2) are expected to reduce by between 10-15%, and Nitrous Oxide (NOx) by between 30-80%.
“This further broadening of our long-standing relationship with Equinor is a testament to the experience and consistent operational excellence of our team,” said Stuart Jackson, CEO of Seadrill. “The West Saturn’s planned upgrades are a key development in Seadrill’s innovation pipeline, as the adoption of new technologies will improve drilling efficiency and reduce the environmental footprint of Seadrill and our clients’.”