Seadrill Limited SDRL on Friday said Petrobras has awarded 1,064-day fixed-term contracts to each of the West Auriga and the West Polaris following a competitive bidding process.
The contracts are expected to commence in the fourth quarter of 2024 and represent a total contract value of approximately $1.1 billion.
The West Auriga and the West Polaris will transition to Seadrill from the existing third-party managers before undertaking the campaigns with Petrobras.
Commenting on the awards, Simon Johnson, Seadrill's President & Chief Executive Officer, stated, "We have secured long-term contracts for the West Auriga and the West Polaris alongside our four high-specification drillships already working in Brazil."
The total contract value for the West Auriga is approximately $577 million, inclusive of mobilization fees and additional services.
The total contract value for the West Polaris is approximately $518 million, inclusive of mobilization fees and additional services.
"We are excited to expand our contractual relationship with them and increase our rig count in this key geography," Johnson added.
Earlier this month, the company completed its $250 million share repurchase program, which was announced in September 2023.
Price Action: SDRL shares are trading higher by 3.09% to $46.26 on the last check Friday.
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