Marine Log

October 5, 2006

Labroy books orders for two more jack up rigs

Singapore's Labroy Marine Limited says Standard Drilling ASA has exercised its option to build two additional jack up rigs of the Gusto MSC CJ-46-X100D design. These rigs will be built by Labroy Offshore Ltd, a wholly-owned subsidiary of Labroy.

Labroy says the total contract value of the two rigs is US$307 million, with each rig worth US$153.5 million.

Standard Drilling says it has negotiated earlier deliveries of rigs 3 and rig 4 than originally provided for in the option contract signed in March 2006 and that the cost of the accelerated delivery is $5 million a rig over the original option price of $148.5 million each.

The price of the first two rigs is $146.5 million each. They are scheduled for delivery in September 2008 and April 2009, however Standard and Labroy are discussing acceleration of delivery of the second unit by two months.