DD-KG2 coming off contract in July

Vol 18, PW 18 (07 May 15) News in Brief

Reliance continues to deploy DD-KG2 for well completions at KG-D6 amid continued uncertainty over whether it will re-hire the Transocean-owned rig after July when a 5-month extension to her 5-year contract expires.

DD-KG2 will begin completing well KG-D6-A1-Sub-ST1 in water depths of 668 metres on May 8 or 9 at KG-D6. Expect this assignment to take 15-20 days after which DD-KG2 will carry out another well completion.

Earlier DD-KG2 was carrying out a completion at exploration well KG-D6-B7-Sub1-PH in water depths of 922 metres. DD-KG2’s five-year Reliance contract ended in February (2015) after which she was re-hired at a sharply reduced rate of $395,000/day against her original $510,000/day rate.

Most predict Reliance will re-hire DD-KG2 after her extension ends in July as she is the only rig it has and several KG-D6 wells still need completions or side-tracks. Reliance first hired DD-KG2 in March 2010 but sub-let her in August 2011 to Petronas until November 2012.