Singapore’s Keppel to sell oil rigs for $3.7 billion
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Keppel will divest six operational rigs in 2026 to the private fund Keppel Offshore Fund for $1.2 billion.
PHOTO: REUTERS
SINGAPORE – Singapore’s Keppel will divest up to 10 oil rigs for nearly $3.7 billion, the asset manager and operator said on July 27.
Keppel, through its indirect subsidiary Rigco Holding, will divest six operational rigs in 2026 to the private fund Keppel Offshore Fund (KOF) for $1.2 billion. The company is expected to receive US$478 million (S$617 million) in cash in 2026.
It also intends to divest four additional rigs, currently under construction, to KOF between 2027 and 2028. The transaction is expected to generate US$988 million in cash proceeds for Keppel.
The transaction is expected to add around $3.9 billion to Keppel’s funds under management and advance the monetisation of its non-core assets, as well as reduce debts and free up funds for new investments, Keppel said.
Keppel will book an accounting loss of $92 million from the divestment of the six operational rigs in its first-half results scheduled on July 30, it added. REUTERS
