Continue reading this on our app for a better experience

Open in App
Floating Button
Home News Offshore & Marine

Keppel O&M enters into second framework deed with Borr Drilling to defer delivery of rigs to 2023

Felicia Tan
Felicia Tan • 2 min read
Keppel O&M enters into second framework deed with Borr Drilling to defer delivery of rigs to 2023
The deferment comes after Keppel O&M entered into a framework deed on June 5, 2020, to defer the delivery of the rigs to 2022.
Font Resizer
Share to Whatsapp
Share to Facebook
Share to LinkedIn
Scroll to top
Follow us on Facebook and join our Telegram channel for the latest updates.

Keppel Offshore & Marine (Keppel O&M) has entered into a second framework deed with Borr Drilling to defer the scheduled delivery of the five jackup rigs to 2023.

The rigs will be delivered progressively with the first delivery in May 2023, with the final delivery to be made in December 2023.

The deferment comes after Keppel O&M entered into a framework deed on June 5, 2020, to defer the delivery of the rigs to 2022.


See: Keppel O&M enters into framework deed with Borr Drilling

Keppel O&M has indicated that it may sell any of the undelivered rigs to a third party at any time prior to delivery to Borr Drilling. This is provided that Borr Drilling has been notified of Keppel O&M’s intent to sell. Borr Drilling must also be given the option to purchase the rig.

In June 2020, three of the rigs which have already been delivered to Borr Drilling remain partly financed by Keppel O&M through a seller’s credit arrangement.

See also: Send Notif Breaking NewsQA Foreground

The second framework deed has further elaborated on the credit arrangement in that interest accruing up to the third year of the drawdown date be deferred to May 2023.

Furthermore, interest accruing from the third to the four year of the drawdown date be payable on the fourth year.

In addition, the final maturity date of the drawdown date will be deferred by one year.

See also: Seatrium secures FPSO topside modules fabrication contract from MODEC

The second framework deed will be become effective when certain conditions, including the obtaining of key creditor consents by Borr Drilling, are fulfilled.

Shares in Keppel Corp closed 8 cents higher or 1.5% up at $5.58 on Jan 27.

Highlights

Re test Testing QA Spotlight
1000th issue

Re test Testing QA Spotlight

×
The Edge Singapore
Download The Edge Singapore App
Google playApple store play
Keep updated
Follow our social media
© 2024 The Edge Publishing Pte Ltd. All rights reserved.