VALARIS DS-7
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Total terminates Ensco drillship contract
Offshore Driller Ensco has received a notice of early termination from Total for drillship Ensco DS-7, effective from around early in the fourth quarter of 2016 based on the Total’s current well program. Total hired the drillship in the fourth quarter of 2013 at an initial day rate of around $610,000. Total is obligated to pay Ensco daily termination fees through to November 2017 as well as a demobilization fee. For the first 90 days following the early fourth quarter 2016 effective date, the daily termination fee is equal to the operating day rate of approximately $585,000. For the remaining term through November 2017, the daily termination fee is equal to 75% of the operating day rate. Daily termination fees payable by Total will be defrayed during any period that Ensco contracts the rig to a third party through November 2017. http://splash247.com/total-terminates-ensco-drillship-contract/
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