Shelf Drilling bags $50m rig contract extension from Chevron

United Arab Emirates-based jackup rig pure-play Shelf Drilling has secured an extension for one of its rigs.

Namely, the 2008-built Shelf Drilling Scepter will continue its drilling operations offshore West Africa for one more year.

The name of the client was left undisclosed in an Oslo Bors filing. However, the company’s latest fleet status report states that the rig has been working for US oil and gas supermajor Chevron in Nigeria since June 2023.

The initial deal was set to expire in July 2025 but Chevron had a one-year extension option which was now exercised.

The extension will begin in direct continuation of the rig’s current contract, extending the commitment until July 2026. The total added contract value is around $50m.

Earlier this week, Shelf Drilling and Arabian Drilling signed a memorandum of understanding to form a strategic alliance which will see Shelf use some of Arabian Drilling’s high-specification jackups to meet contract requirements.

Arabian Drilling is the largest onshore and offshore drilling company in Saudi Arabia by fleet size and currently has 12 jackup rigs in its fleet.