Sevan Drilling ASA: Monthly performance update
Sevan Driller had a technical uptime of 83.67% in August 2011.
The majority of downtime in August was due to the failure of a valve in the crown mounted compensator (CMC)and issues related to the internal blowout preventer ("IBOP") and the riser spacer joint. The failed valve has been replaced and the other valves checked. The CMC, IBOP and the riser spacer joint are currently performing as designed.
As previously disclosed Sevan Drilling have had discussion with Petrobras regarding the uptime for Sevan Driller in June 2011. Initial evaluation of the parted pipe indicated that the failure was not a result of any conditions related to Sevan Drilling's area of responsibility. Petrobras has now confirmed they agree to this conclusion and will pay the outstanding day rates accordingly.
The construction of Sevan Brasil is progressing according to plan. The rig is scheduled to be delivered from Cosco Shipyard in first quarter 2012 and will commence operation under the 6 year charter contract with Petrobras in the second quarter 2012.
A naming ceremony is scheduled for November 3rd. The vessel will go into Dry dock in December. Sea trials are scheduled for January 2012, and the window for heavy lift transport is Mid-february to Mid-march.
We will as from October 2011 provide an more comprehensive operational update on a monthly basis. We will continue to inform about the uptime on a monthly basis unless there are incidents which will or is expected to cause a downtime of more than 10 % per month. Such incidents will be reported separately.
The information in this announcement is subject to the disclosure requirements of the Norwegian Securities Trading Act section 5-12 and/or the Oslo Børs - Continuing Obligations.
Sevan Drilling ASA is an international offshore drilling contractor specializing in the ultra deepwater segment. Sevan Drilling ASA is listed on Oslo Axess.
For further information, please contact:
Scott Kerr, CEO, Sevan Drilling ASA (Media)
+47 99283890 mobile
Jon H. Wilmann, CFO, Sevan Drilling ASA (Analysts)
+47 90560406 mobile