Ocean Rig gets $100 million loan facility
Ocean Rig reports that it has successfully completed a five-year, $100 million loan facility to finance the remaining completion costs of its two Bingo 9000 rigs. Meantime, the second of those rigs has now left Friede Goldman Halter's Pascagoula, Miss, yard and is headed for Halifax Nova Scotia, for completion.
The new loan facility refinances a credit facility entered into in 1998 with Fortis Bank (Nederland) N.V. and Christiania Bank og Kreditkasse ASA. The arranger and administrative agent for the facility is Credit Suisse First Boston. Ocean Rig has also agreed to the terms of a proposed six-year take-out facility with Fortis and Christiania Bank to replace the loan facility when the second Bingo 9000 is delivered. As currently contemplated by Ocean Rig, the term of the combined loans will be approximately seven years, over which the average interest rate will be approximately LIBOR + 4%.
Ocean Rig has also gotten the consents from the holders of senior secured notes and loans that it needed to go ahead with a drilling contract with PanCanadian Petroleum Ltd. for the second Bingo, Eirik Raude, to drill offshore the East Coast of Canada.
Eirik Raude has now left Friede Goldman's Pascagoula, Mississippi, yardand is en route for Irving Shipbuilding Inc.'s Halifax Shipyard in Nova Scotia, where outfitting and commissioning will be completed. The rig will also undergo the winterization necessary to operate year round offshore the East Coast of Canada.
Ocean Rig says that "to ensure continuity," some of the key specialist vendors working on the rig in Pascagoula will relocate key employees to the Halifax Shipyard to continue work on the rig.
"To further enhance continuity on the project," says Ocean Rig, it is moving all necessary members of its site team and Det Norske Veritas from Friede Goldman's yard to the Halifax Shipyard.
Under a transitional agreement between Ocean Rig and PanCanadian, PanCanadian has advanced Ocean Rig $10 million to cover the cost of mobilizing the rig to Nova Scotia. The remaining work (including winterization) will be completed by the Halifax Shipyard in accordance with the schedule contemplated under the PanCanadian/Ocean Rig partnership drilling contract.
On July 11, 2001, notes Ocean Rig, the Chancery Court of Jackson County, Mississippi rejected in its totality an application for attachment of the "Eirik Raude" sought by Maritima Petroleo e Engenharia, Ltda.
Orders for FGH's Amclyde unit
FGH Engineered Products Group, the equipment segment of Friede Goldman Halter, Inc., reports that its AmClyde unit has signed new contracts in excess of $13.5 million with customers in Freeport, Texas and Abu Dhabi, U.A.E.
"AmClyde is very pleased to receive these key orders from our long-standing customer NPCC (National Petroleum Construction Company) of Abu Dhabi in the United Arab Emirates and our new customer Cabett Subsea Products, Inc. of Houston, Texas," said Dick Juelich, AmClyde President.
AmClyde has a contract with NPCC to provide a significant operating increase of the lifting capacity and reach for its 2000-ton model 76 marine crane, originally built in 1973. The uprate design and manufacturing work will include new hoists, A-frame assembly and main hook block for the crane, as well as components to enable future additional capacity increases. The uprate will be completed in April of 2002.
AmClyde-Norson Engineering, the Glasgow, Scotland, segment of AmClyde, received a contract to design and build umbilical handling equipment at the new Cabett Subsea Products, Inc. (Cabett Services and WW Products International) production facility at Port Freeport, Texas. This equipment includes three 1,000-ton capacity carousels, loading towers, tensioners and related machinery. The addition of AmClyde-Norson Engineering further complements the existing product lines of AmClyde.
Semisub ballast control alliance
MIL Systems, Ottawa, Canada and Marine Interface Corporation, Deer Park, N.Y., have formed a working alliance to provide semi-submersible oil rig ballast control systems.
The alliance will bring together the engineering, design, naval architecture and project management of MIL Systems and Marine Interface's ABS type approved tank level indication and valve control systems fabrication and production capabilities.
The alliance will offer ballast control systems for semis for both new construction and retrofit/modernization applications. Using MIL System's naval architecture and engineering capabilities and Marine Interface's software design, component fabrication and production capability allows for the providing of fully integrated ballast and stability monitoring and control systems on a turn-key basis.