Keppel unit wins $329.6m contract to build jack-up rig for Ensco

Keppel Fels, a subsidiary of Keppel Offshore & Marine, has clinched a contract worth US$265 million (S$329.6 million) to build a jack-up rig (pictured) for a unit of London-headquartered drilling company Ensco.-- ST FILE PHOTO: CAROLINE CHIA
Keppel Fels, a subsidiary of Keppel Offshore & Marine, has clinched a contract worth US$265 million (S$329.6 million) to build a jack-up rig (pictured) for a unit of London-headquartered drilling company Ensco.-- ST FILE PHOTO: CAROLINE CHIA

Keppel Fels, a subsidiary of Keppel Offshore & Marine, has clinched a contract worth US$265 million (S$329.6 million) to build a jack-up rig for a unit of London-headquartered drilling company Ensco.

This will be the fourth such rig that Ensco has ordered from Keppel Fels since 2011, said Keppel Corp in a statement on Thursday. Keppel Offshore & Marine is a wholly-owned subsidiary of Keppel Corp.

The rig is scheduled for delivery in the second quarter of 2016. Ensco has an option to order another similar rig as part of the contract.

"We are pleased that Ensco, which has the largest fleet of premium jackup rigs in the world, continues to expand its fleet of harsh environment jackup rigs with Keppel Fels," said Mr Tong Chong Heong, chief executive officer of Keppel Offshore & Marine.

"It marks the strength of our reputation for providing proven rigs that are the best in class."

The contract is not expected to have a material impact on the net tangible assets or earnings per share of Keppel Corp for the current financial year.

Keppel Corp shares were 7 cents lower at $11.04 by 10.45am on Thursday.