Seadrill Announces Brazil Contract Award for West Tellus
18 December 2024 - 9:05AM
Business Wire
Seadrill Limited ("Seadrill" or the "Company") (NYSE: SDRL)
today announced the ultra-deepwater drillship, West Tellus, was
awarded a 1,095-day contract for the Sépia and Atapu fields in the
Santos Basin, offshore Brazil, following a competitive tender
process. The contract, awarded by Petrobras, will contribute
approximately $498 million to Seadrill’s order backlog, including
additional services and excluding a mobilization fee of $41
million. The program is expected to commence in the first quarter
of 2026 and includes an optional period of up to 305 additional
days. Petrobras holds a 65.7% stake in the shared Atapu field, a
55.3% stake in the shared Sépia field and is the Operator in both
areas.
“This contract and the recently announced award for West Jupiter
deepens our relationship with a key customer at the heart of the
deepwater market,” said President and Chief Executive Officer,
Simon Johnson. “These fixtures provide approximately $1 billion of
additional backlog and a meaningful uplift to earnings and free
cash flow beginning in 2026.”
About Seadrill
Seadrill is setting the standard in deepwater oil and gas
drilling. With its modern fleet, experienced crews, and advanced
technologies, Seadrill safely, efficiently, and responsibly unlocks
oil and gas resources for national, integrated, and independent oil
companies. For further information, visit www.seadrill.com.
Forward-Looking Statements
This news release includes forward-looking statements within the
meaning of Section 27A of the Securities Act of 1933, as amended,
and Section 21E of the Securities Exchange Act of 1934, as amended.
All statements other than statements of historical facts included
in this news release, including, without limitation, those
regarding the Company’s plans, strategies, business prospects and
rig activity, including with respect to backlog and contract
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results to differ materially from those expressed or implied in the
forward-looking statements. Important factors that could cause
actual results to differ materially from those in the
forward-looking statements include, but are not limited to: those
described under Item 3D “Risk Factors” in the Company’s Annual
Report on Form 20-F for the year ended December 31, 2023, filed
with the U.S. Securities and Exchange Commission (“SEC”) on March
27, 2024, offshore drilling market conditions, including supply and
demand, day rates, customer drilling programs and effects of new or
reactivated rigs on the market, fluctuations in the international
price of oil, international financial market conditions, inflation,
changes in governmental regulations that affect the Company or the
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our information technology systems, including our rig operating
systems, and other important factors described from time to time in
the reports filed or furnished by us with the SEC.
The foregoing risks and uncertainties are beyond our ability to
control, and in many cases, we cannot predict the risks and
uncertainties that could cause our actual results to differ
materially from those indicated by the forward-looking statements.
Should one or more of these risks or uncertainties materialize, or
should underlying assumptions prove incorrect, actual results may
vary materially from those indicated. All subsequent written and
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acting on our behalf are expressly qualified in their entirety by
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version on businesswire.com: https://www.businesswire.com/news/home/20241216724232/en/
Kevin Smith Vice President – Corporate Finance and Investor
Relations ir@seadrill.com
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