BP, PLC has reached agreement to sell its recently acquired interests in four mature producing deepwater fields in the Gulf of Mexico to Marubeni Oil & Gas (USA), Inc. for $650 million. BP acquired the interests in the Magnolia, Merganser, Nansen, and Zia fields from Devon Energy Corporation earlier this year. BP’s net production from these fields is about 15,000 boe/d.

Tidewater, Inc. has entered into a contract with Drydocks World for the construction of four 265-ft deepwater platform supply vessels at its shipyard in Batam, Indonesia. The delivery of these vessels is estimated to begin in April 2012 and conclude in late 2012.

 

Gulf Coast Fractionators, a partnership of ConocoPhillips, Devon Energy Corporation, and Targa Resources Partners, LP, plans to expand the capacity of its natural gas liquids fractionation facility located in Mont Belvieu, Texas.

Jackup Rowan Gorilla II completed its short P&A in West Cameron Block 561, completing its contract with Devon Energy.  The rig is now on location in Vermilion Block 348 for the start of a newly awarded 14-day workover with ERT.  At present, Rowan has no follow-up work for the rig, but the company is in discussions with a number of operators.  Also, jackup Rowan EXL-I has about a week remaining on its well with McMoRan E&P in High Island Block A-531.  The rig will then move to Eugene Island Block 223, where it is scheduled to drill a 280-300 day well for McMoRan.  However, the operator has yet to secure its permit for the location, and the rig is expected to remain on location until the permit is approved.  Rowan also christened newbuild jackup Rowan EXL-II late last week and will take delivery of the rig August 30.  The rig will then be moved to Corpus Christi where it will undergo 30 days of preparatory work for its upcoming three-year contract with BP Trinidad, which starts around November 1.  It is scheduled to depart the Gulf of Mexico around October 1.

 

As has been rumored for some time, semi ...

Seawell, Ltd. and Allis-Chalmers Energy, Inc. announced their Boards of Directors have unanimously approved a definitive merger agreement providing for the acquisition of Allis-Chalmers by Seawell in a transaction valued at approximately $890 million. The combined company will operate its Drilling and Well Services offerings in the US, Gulf of Mexico, Brazil, Argentina, North Sea, Middle East, Africa and Southeast Asia/ Pacific.

 

Seahawk has secured contracts for two idle jackups.  The Seahawk 2600 arrived on location in West Cameron 487 on August 16 for the start of two completions with Tarpon O&G.  Upon completion, the rig will move to East Cameron Block 240 for the second well.  Operations for both wells are expected to keep the rig busy for around 70 days to late September.  The rig had been idle since July 23.  Meanwhile, Medco Energi will pick up the Seahawk 2001 for a side track/completion in Main Pass Block 64.  The rig, which had not worked since July 10, will move to location this week.
 

Repairs and maintenance to jackup Hercules 350 have been completed and the rig has now returned to work for Chevron in South Timbalier Block 130.  The rig’s current term runs through the ...

Devon Energy Corporation announced that Robert H. Henry and Duane C. Radtke have been appointed to its Board of Directors. These individuals fill the positions vacated by Tom Ferguson and Robert Howard who recently retired due to mandatory age limits.   Henry currently serves as President of Oklahoma City University. Radtke currently serves as President and Chief Executive Officer of Valiant Exploration, LLC.

 

Chevron Corporation announced further drilling success in the Carnarvon Basin, offshore Western Australia.  The Acme-1 exploration discovery well, located in the WA-205-P permit area, was drilled in 2,880 feet of water to TD 15,469 feet and encountered approximately 896 feet of net gas pay.

 

Noble Energy, Inc. has closed the previously announced sale of certain Mid-Continent and Illinois basin assets to an affiliate of Citation Oil & Gas.  Proceeds from the transaction were $552 million and included final closing adjustments from the effective date of April 1. 

Nexen Petroleum has junked its well in West Delta Block 45 and respud the well with jackup ENSCO 99 at the end of July.  Drilling now will take the rig into the first-half of September, although it is believed Nexen may be close to extending its contract for a second well in the block.

 

Further to a report from last week, Seahawk Drilling says that further jacking system repairs and SPS inspections will tentatively be completed around October 1.  In addition, the company has signed a five-well contract with Arena Offshore that will begin after scheduled wells with Energy XXI (7 days in East Cameron Block 334) and Badger Oil (40 days in High Island Block A-309).  Work for Arena in East Cameron Block 328 will run for around 150 days, keeping the rig busy into March 2011.

 

Chevron extended its contract with Transocean for two years on drillship Discoverer Deep Seas.  The new term will begin in February 2011 and now keeps the rig in place to 2013.  The rig has been on standby in Ship Shoal Block 362 since the drilling moratorium began.  Chevron had declared force majeure, but that was dropped when the new term ...