NIGERIA: Dolphin Drilling Announces new LOA with General Hydrocarbon

Dolphin Drilling has announced a new Letter of Award (LOA) for the Blackford Dolphin.

Blackford Dolphin has signed a Letter of Award for additional work in Nigeria in direct continuation with the previously announced contract with General Hydrocarbon Limited (GHL). The LOA has the potential to extend the backlog by a minimum of 120 days and up to 485 days, in addition to the existing GHL backlog. The effective day rate associated with the minimum firm period of the LOA is USD 325,000, including the mobilization fee.

Following a delayed departure from Mexico and reduced transit speed, Blackford Dolphin arrived in Las Palmas, Canary Islands, and was safely moored quayside on 24 November 2022. At the shipyard in Las Palmas the rig has undergone a Special Periodic Survey (‘SPS’) allowing for continuous work until 2028. Blackford Dolphin will remain at the shipyard until early February 2023. The capital cost associated with the SPS is in line with the budget of $15 million.

After the SPS, the rig will transit to Port Harcourt in Nigeria and commence its contract with GHL.

At 31 Dec 2022 Dolphin Drilling held cash and cash equivalents in excess of $35 million