Viking Secures Charter for Second Land Drilling Rig Worth USD 31 Million


Tuesday / July 7, 2015

VikingOnMSGX-listed Viking Offshore & Marine Limited announced today that it has secured a 48-month charter for a second land drilling rig system for approximately USD 31 million, as it continues to build up its portfolio of mainstream offshore, marine and drilling assets.

Viking’s subsidiary Viking LR2 Pte Ltd will charter the 1,500-bhp train-type land rig and related drilling equipment system to a Chinese land rig specialist. It will be immediately deployed on a North African oilfield concession jointly owned by a South Asian energy operator and the local energy authority.

Viking had acquired from and leased back its first land rig in September 2014 to the same charterer which used it to uncover natural gas. After positive assessment of hydrocarbon potential in the locality, the second rig was chartered to accelerate drilling activities.

Viking expects to receive charter income from its second rig in the second half of the financial year ending 31 December 2015 (“FY2015”).

Mr Daniel Lin, Executive Director of Viking, said, “We are excited that our charterer is adding a second rig after the first rig. The second charter enhances our portfolio of earnings-accretive assets in a market environment of low oil prices. We intend to capitalise on our track record to build up our charter fleet to enhance shareholder Value.”

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SNM Events News Service
Contact Editor: editor@snmevents.com

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