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Eni Terminates Contract for Ultra Deepwater Drillship ‘Ocean Rig Olympia

Eni Terminates Contract for Ultra Deepwater Drillship ‘Ocean Rig Olympia
Italian oil company Eni has terminated its contract for the ultra deepwater drillship Ocean Rig Olympia due to collapsing oil prices.

Italian oil company Eni has terminated its contract for the ultra deepwater drillship Ocean Rig Olympia due to collapsing oil prices. 

The early termination was announced Thursday by offshore drilling contractor and owner of the drillship, Ocean Rig.

Ocean Rig said that the decision was made “due to the dramatic fall of the crude oil price and the volatile market context”, causing Eni to reassess its drilling activities and exercise its right to terminate the contract early.

The Ocean Rig Olympia was contracted by Eni in May 2015 to drill offshore Angola commencing in the third quarter of 2015 for minimum of 8 months, putting the contract expiration to at least February 2016.

The 6th generation ultra deepwater drillship Ocean Rig Olympia was delivered in 2011 by Samsung Heavy Industries Shipyard in South Korea. It is one of 13 ultra deepwater drillships in the Ocean Rigs fleet, including three drillships that scheduled for delivery in 2017, 2018 and 2019.

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